Small Business Economics, otherwise known as SBA Economics, is a peer-reviewed academic journal published by Springer Science+Business Media focusing on research into the economic structure of small businesses. The SBA produces an independent professional journal, Small Business Economics, that comparing and contrasting small businesses with large corporations. The journal covers a wide range of topics in the small business economy, with special sections on health care, education, government and worker compensation, technology, and risk. Additionally, SBA has developed an International Small Business Guidebook that provides helpful data on issues such as government policy, legal considerations, technology transfer, venture capital, and mergers and acquisitions.
In addition to publishing a variety of professional journals on many different topics related to entrepreneurship, SBA is also responsible for the development of a series of industry Technology. These industry magazines include Small Business Factbook, Directory of Small Business Finances, and Accounting Today. In addition to providing up-to-date information on financing and cash flow, these publications also focus on issues that can have a direct effect on the profitability and growth of small businesses. This means that they are meant to help managers and owners understand the impact factors of the various policies and concepts that they are using.
Many non-profit organizations have also taken advantage of the insights provided by the SBA in their research. For example, the Center for Effective Leadership and Public Management at Stanford University has applied the insights of SBA’s Small Business Economics program to finding solutions to organizational challenges. Other nonprofit organizations, such as the Conservation Fund, have also used the knowledge and resources provided by SBA’s entrepreneurial programs. The nonprofit organizations provide entrepreneurs with the skills they need to start a new business. Both nonprofit organizations and large corporations realize that the way entrepreneurs make decisions and the impact they have on their company determines their future success.
Small business owners often use a variety of tools to gauge the performance of their companies. One popular tool is the Return On Investment or ROI. The Journal of Marketing Science Research even published an article in 2021 based on the 10th anniversary of the publication of the SJR. The report discusses the impact factor of the SJr metric for measuring company success. The metrics included in the report include profit margin, market share, customer satisfaction, financial and marketing position, first-year profits, total revenue, market share, cost of sales, return on equity, and patent activity.
In the paper referenced above, the author examines the impact factor of the SJr metric for measuring profitability. The metric was derived from a study examining the relationships between profitability and market shares. As the authors note in the paper, “The SJR metric has received high attention from many different fields of research and business leadership. The SJR is not widely used in any industry.” The study was conducted by Delton Wood, Robert Cialdini, and Christopher Norton. Wood and Cialdini were then cited in a post at the Center for Competitive Advantage.
The three researchers examined the relationship between profits, market shares, customer satisfaction, and the SJr metric. Wood and Cialdini found that accounting metrics had a negative impact on overall profitability, customer satisfaction, and overall business growth. Their estimate of the average effect of accounting metrics on profitability was -2.3 percent. The results from their regression analysis showed that the effect of accounting metrics on profitability essentially disappeared when controlling for other factors. Their regression estimate was therefore -.14 percent.
This article is just one of the many papers that the authors have written concerning the effects of accounting metrics on profitability and market shares. In a recent study, Delton Wood and Richard G. Smith presented findings from a large-scale survey of small business owners. Their survey result indicated that only 35 percent of small business owners expected to achieve at least a medium level of future profitability from their business activities. Only 20 percent expected to achieve at least a superior level of future profitability. Only 9 percent expected to achieve a level of future profitability that would allow small business owners to service investment debt at a level that is consistent with the performance history of the business.
When asked why they did not expect to achieve a superior level of future profitability, most owners reported that they did not know. Most owners reported that they did not think that there were plans or programs available to assist them in their efforts to achieve levels of future profitability. Only 10 percent of owners reported that they thought there were plans or programs available to assist them in their attempts to achieve levels of future profitability. Most owners reported that the only way to obtain a better understanding of their opportunities and the ability to take advantage of those opportunities is to become an economic or financial business. Only 3 percent of owners reported that they were already knowledgeable about the concepts of economics and finance.
