Firms
in sentence
3712 examples of Firms in a sentence
Compared to developed countries, an unusually large number of small, unproductive
firms
coexist with a small number of large, productive
firms.
If the small, unproductive
firms
closed down and the larger, more productive
firms
hired their workers, total output and well-being would rise.
This should happen automatically through the invisible hand of competition, because the more productive
firms
should be able to deliver a better product at a lower price, while luring workers with higher wages.
Why do the inefficient
firms
survive, trapping resources in low-productivity activities?
For some, the problem is that government regulations make compliance too onerous for small
firms.
Others claim that tax evasion creates an unfair advantage for informal firms, or that family-wide health care gives households no incentive to have more than one member pay social-security taxes.
To bring these skills together, people have to be integrated into cooperative arrangements in the same firm or within clusters of related
firms.
The informal sector is mostly a consequence of the fact that people are disconnected from modern production networks – an inefficiency that will not be resolved simply by reducing the cost of registering a business or forcing small
firms
to pay taxes.
In a recent survey of 384
firms
in the eurozone by the management consultancy PricewaterhouseCoopers, two-thirds of the respondents said that they had reshored some activities during the past year, and 50% plan to do so in the next.
According to research by the economists Loukas Karabarbounis and Brent Neiman, half of this decline is the result of cheaper information technology, which has enabled
firms
to replace workers with computers.
The financial-reform law passed by the United States Congress last month requires improved transparency from banks and other financial-services
firms.
A number of dynamic emerging-market
firms
are on a path toward dominating their industrial sectors globally in the coming years – much in the same way that companies based in advanced economies have done for the past half-century.
In the years ahead, such
firms
are likely to press for economic reforms at home, serving as a force for increased integration of their home countries into global trade and finance.
Otherwise, their
firms
would have been able to tap the trillions of dollars now sitting on the sidelines, held by sovereign wealth funds, private equity groups, hedge funds, and others.
True, the Treasury will take equity stakes in some firms, so there is some upside potential.
The trade balance is seen as a country’s “bottom line,” as if countries were
firms.
But if all
firms
cut wages simultaneously, the resulting weakness of overall demand undermines companies’ incentives to invest, in turn depressing productivity growth.
South Korea is China’s fourth-largest trading partner, providing key intermediate inputs on which many Chinese
firms
rely.
The point is not to prop up dying industries, but to increase the birth rate and reduce the infant-mortality rate of
firms
in industries that can take their place, especially those that can sell to “outsiders,” reconnecting each location with external and increasingly global markets.
In the United States, the Labor Department reports that in 2003, 14% of US workers in
firms
with 100 or more employees were offered stock options.
But making it difficult for
firms
to lay off workers provides only an illusory benefit for workers, for it compromises companies’ ability to compete, and weakens their incentive to create jobs.
Chocolate’s Sustainability ChallengeHERSHEY, PENNSYLVANIA – In the 1970s and 1980s, when multinational
firms
first linked sustainability to business success, the chief catalyst was vulnerability, not altruism.
And it paid tribute to the ability of US markets and financial
firms
to create innovative instruments to “attract and sustain high levels of capital inflows.”
The most serious structural flaws concern high payroll taxes and labor-market regulation, which make it difficult – or at least prohibitively expensive – for
firms
to reduce their workforce when business conditions worsen.
Firms
and individuals need the prospect of higher incomes to save, invest, work hard, and innovate.
If taxation of profitable
firms
and rich households blunts those prospects, the result is reduced effort and lower economic growth.
It may also need to think more about support for small and medium-size
firms
that continue to face structurally clogged credit pipes.
Thus, even rapidly rising energy prices imply only a limited additional cost burden for
firms.
On May 15, two small independent energy companies (Turkey’s Genel Enerji and Canada’s Addax Petroleum) became the latest foreign
firms
to begin drilling in Kurdish-controlled territory under an agreement with the regional government.
That makes China an important market opportunity for a broad range of foreign
firms
– including car producers, technology suppliers, financial institutions, energy companies, and agricultural exporters.
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