Espahbodi, Reza; John, Teresa A; Vasudevan, Gopala - In: Review of Quantitative Finance and Accounting 15 (2000) 2, pp. 107-26
We examine the performance of 118 firms that downsized between 1989-93. We find that downsizing firms experience declines in operating performance prior to the downsizing announcement. Operating performance improves significantly following the downsizing. These firms are able to reduce the cost...
