IDEAS home Printed from https://ideas.repec.org/a/ids/ijmede/v4y2007i2p119-127.html
   My bibliography  Save this article

A quantitative analysis on the impacts of bank loans for small enterprises

Author

Listed:
  • Bingguang Li
  • Van T. Nguyen
  • Binshan Lin

Abstract

This paper examines how the management team of enterprises can build a track record for their enterprises and thereby gain investor recognition. We examine the stock market's reaction to bank loan announcements for a sample of NASDAQ and NYSE listed firms. We classify firms according to their market capitalisation and listed exchange. We find that the stock market reacts more positively to announcements of banks loans from small capitalised firms and from NASDAQ firms. For the whole sample, the abnormal returns are significantly different from zero. We also find that the stock market reacts more positively to loan initiations than to loan renewals.

Suggested Citation

  • Bingguang Li & Van T. Nguyen & Binshan Lin, 2007. "A quantitative analysis on the impacts of bank loans for small enterprises," International Journal of Management and Enterprise Development, Inderscience Enterprises Ltd, vol. 4(2), pages 119-127.
    • Handle: RePEc:ids:ijmede:v:4:y:2007:i:2:p:119-127
    as

    Download full text from publisher

    File URL: http://www.inderscience.com/link.php?id=11787
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ids:ijmede:v:4:y:2007:i:2:p:119-127. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sarah Parker (email available below). General contact details of provider: http://www.inderscience.com/browse/index.php?journalID=89 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.