Title :
Is bigger always better? [company size optimisation]
Abstract :
In business, growth is a key aim with growth strategies and five-year growth plans required by everybody from investors to staff. This article asks the question whether growth should always be pursued. It argues that there is a size beyond which an organization becomes less efficient and that government should stimulate the faster growth of mid- to intermediate-sized firms. It puts forward a method to do this by creating a progressive rate schedule of corporate profit taxes which would minimise profit taxes during the stage where small to intermediate businesses are growing into becoming large firms. It suggests that this would be a way to help revitalise the Western economy.
Keywords :
government policies; small-to-medium enterprises; taxation; business growth; company size optimisation; corporate profit taxes; growth plans; intermediate-sized firms; mid-sized firms; progressive tax rate schedule;
Journal_Title :
Engineering Management Journal
DOI :
10.1049/em:20050406