Title: Corporate performance evaluation: a multicriteria methodology and an application on the Athens Stock Exchange

Authors: Panagiotis Xidonas, George Mavrotas, Theodore Krintas, Dimitrios Askounis, Charilaos Mertzanis, John Psarras, Constantin Zopounidis

Addresses: National Technical University of Athens, School of Electrical & Computer Engineering, Management & Decision Support Systems Laboratory, 9, Heroon Polytechneiou Str., 15780, Athens, Greece. ' National Technical University of Athens, School of Chemical Engineering, Laboratory of Industrial & Energy Economics, 9, Heroon Polytechneiou Str., 15780, Athens, Greece. ' Attica Wealth Management, Attica Bank, 8, Mavromichali Str., 10679, Athens, Greece. ' National Technical University of Athens, School of Electrical & Computer Engineering, Management & Decision Support Systems Laboratory, 9, Heroon Polytechneiou Str., 15780, Athens, Greece. ' Hellenic Capital Market Commission, 1 Kolokotroni & Stadiou Str., 105 62, Athens, Greece. ' National Technical University of Athens, School of Electrical & Computer Engineering, Management & Decision Support Systems Laboratory, 9, Heroon Polytechneiou Str., 15780, Athens, Greece. ' Technical University of Crete, Department of Production Engineering & Management, University Campus, 73100, Chania, Greece

Abstract: In this article, we present a multicriteria methodology for supporting decisions that concern the evaluation of the overall corporate performance of firms, on the basis of financial analysis. The methodology|s key-characteristic is that the firms participate in the evaluation process are categorised in classes, with respect to their corresponding industry. In this way, the huge issue of competition between rival firms is fully taken into consideration, while unreasonable comparisons between them are excluded. Moreover, the crucial importance issue of accounting singularities between business sectors is also strongly taken into account. The evaluation of each class of firms is based on specialised criteria set which correspond to the specific accounting plan each company belongs in. The validity of the proposed methodology is tested through a large scale application on the Athens Stock Exchange. Finally, an elaborate review of the coherent research studies is also provided.

Keywords: multiple criteria decision making; MCDM; corporate performance evaluation; financial analysis; Greece.

DOI: 10.1504/IJBEX.2011.042904

International Journal of Business Excellence, 2011 Vol.4 No.6, pp.645 - 677

Available online: 08 Oct 2011 *

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