Determinantes de la rentabilidad de las Pymes ecuatorianas: sector G474, periodo 2023

Abstract

Abstract: This study examines the determinants of profitability of Ecuadorian small and medium-sized enterprises (SMEs) in the G474 sector in 2023, applying a mixed approach combining documentary analysis with multiple linear regression modeling. From a sample of 207 firms, we evaluated the impact of liquidity, debt levels, firm size and age on some financial performance indicators, namely Return on Assets (ROA) and Return on Equity (ROE). The findings indicated that only firm age emerged as significant in explaining the variation in the model and was negatively correlated with ROA. This implies that older firms tend to be less efficient in their use of resources in operational processes. In contrast, liquidity, debt-to-equity ratios and firm size had no significant influence on profitability. These results suggest that there are other structural or strategic elements beyond those addressed that may affect innovation strategy along with administrative management or the macroeconomic context. This study provides information to help improve the international competitiveness of Ecuadorian SMEs.