Factores que inciden en la quiebra de empresas ecuatorianas del sector manufacturero en el periodo 2014-2018.

Abstract

The manufacturing industry is one of the main productive engines of Ecuador, a generator of employment and economic development. Given its importance, the main objective of this study is to identify and analyze the factors that influence the probability of bankruptcy of Ecuadorian manufacturing companies. For this purpose, a probit model was employed using information from the Superintendence of Companies, Securities, and Insurance, on the accounting and financial information presented in the balance sheets of companies in the manufacturing sector in the period from 2014 to 2018. The main findings show that the ratios of short and long-term indebtedness, advertising expenditure, return on assets (ROA) and to some extent accounts receivables reduce the probability of bankruptcy. While the wage expense ratio increases the probability of bankruptcy. It was also found that the probability of bankruptcy is higher when firms are young, small, or micro firms. Finally, if a firm is located in a small city or if it is part of the key sector or the base sector the probability of bankruptcy is lower.