Were the manufacturing companies resilient in the face of COVID-19 or did they take advantage?

    Claudia Diana Sabău-Popa Affiliation
    ; Luminita Rus Affiliation
    ; Adrian Florea Affiliation
    ; Olimpia-Iuliana Ban Affiliation
    ; Simona Dzitac Affiliation
    ; Olivia Andreea Marcu Affiliation


The research paper aims to build a composite index of the financial performance of companies, to find if the impact of the COVID-19 crisis was significantly positive for most manufacturing companies listed on Bucharest Stock Exchange, and to look if the manufacturing companies were resilient being prepared with savings that could have mitigate the effects of this pandemic crisis. The results of the FE model selected show that 31.67% of the company’s equity variation is justified by the two independent variables, the stronger correlation of equity being with reserves. Based on the composite index of financial performance built, the manufacturing companies were grouped in three clusters: a cluster with low financial performance companies (z < 4), a cluster with good financial performance companies (4 ≤ z ≤ 8) and a cluster with high financial performance companies (z > 8). The third cluster groups the most analysed companies, on which the pandemic crisis had a positive impact, which achieved the highest financial performance; they are those companies that “take advantage” from the COVID-19 crisis, adapting their business strategy to the market conditions imposed. The article adds value to the specialty literature by building the financial performance’s composite indicator, clustering the manufacturing companies by financial performance’ Z-score.

Keyword : composite index, financial performance, principal component analysis, manufacturing companies, COVID-19, cluster

How to Cite
Sabău-Popa, C. D., Rus, L., Florea, A., Ban, O.-I., Dzitac, S., & Marcu, O. A. (2024). Were the manufacturing companies resilient in the face of COVID-19 or did they take advantage?. Technological and Economic Development of Economy, 30(5), 1372–1391.
Published in Issue
Jul 9, 2024
Abstract Views
PDF Downloads
Creative Commons License

This work is licensed under a Creative Commons Attribution 4.0 International License.


Achim, M. V., Safta, I. L., Văidean, V. L., Mureșan, G. M., & Borlea, N. S. (2022). The impact of COVID-19 on financial management: Evidence from Romania. Economic Research-Ekonomska Istraživanja, 35(1), 1807–1832.

Aslam, M., & Albassam, M. (2019). Inspection plan based on the process capability index using the neutrosophic statistical method. Mathematics, 7(7), Article 631.

Aslam, M., Bantan, R. A. R., & Khan, N. (2019). Design of S2N–NEWMA control chart for monitoring process having indeterminate production data. Processes, 7(10), Article 742.

Atayah, O. F., Dhiaf, M. M., Najaf, K., & Frederico, G. F. (2022). Impact of COVID-19 on financial performance of logistics firms: Evidence from G-20 countries. Journal of Global Operations and Strategic Sourcing, 15(2), 172–196. https://doi.org10.1108/JGOSS-03-2021-0028

Baltagi, B. H. (2001). Econometric analysis of panel data (2nd ed.). Wiley.

Barbu, A., Militaru, G., Deselnicu, D., & Catana, S. A. (2021). Key success factors that enable IT service providers to achieve organizational performance: Evidence from Romania. Sustainability, 13(19), Article 10996.

Batrancea, L. (2021). The nexus between financial performance and equilibrium: Empirical evidence on publicly traded companies from the global financial crisis up to the COVID-19 pandemic. Journal of Risk and Financial Management, 14(5), Article 218.

Beleneși, M., Bogdan, V., & Popa, D. N. (2021). Disclosure dynamics and non-financial reporting analysis. The case of Romanian listed companies. Sustainability, 13(9), Article 4732.

Boloș, M. I., Bradea I., & Delcea, C. (2019a). Modeling the performance indicators of financial assets with neutrosophic fuzzy numbers. Symmetry-Basel, 11(8), Article 1021.

Boloș, M. I., Bradea I., & Delcea, C. (2019b). A fuzzy logic algorithm for optimizing the investment decisions within companies. Symmetry-Basel, 11(2), Article 186.

Breusch, T. S., & Pagan, A. R. (1980). The Lagrange multiplier test and its applications to model specification in econometrics. Review of Economic Studies, 47(1), 239–253.

Ding, W., Levine, R., Lin, C., & Xie, W. (2021). Corporate immunity to the COVID-19 pandemic. Journal of Financial Economics, 141(2), 802–830.

Dospinescu, O., & Dospinescu, N. (2018). A profitability regression model of Romanian stock exchange’s energy companies. In Proceedings of the IE 2018 International Conference (pp. 169–174).

FTSE Classification of Equity Markets. (2023). FTSE equity country classification interim announcement, March 2023. Retrieved September 12, 2023, from

Hausman, J. A. (1978). Specification tests in econometrics. Econometrica, 46(6), 1251–1271.

Hornuf, L., & Schwienbacher, A. (2017). Should securities regulation promote equity crowdfunding? Small Business Economics, 49, 579–593.

Hornuf, L., & Schwienbacher, A. (2018). Market mechanisms and funding dynamics in equity crowdfunding. Journal of Corporate Finance, 50(C), 556–574.

Hotelling, H. (1933). Analysis of a complex of statistical variables into principal components. Journal of Educational Psychology, 24(7), 498–520.

Ilinova, A., Dmitrieva, D., & Kraslawski, A. (2021). Influence of COVID-19 pandemic on fertilizer companies: The role of competitive advantages. Resources Policy, 71, Article 102019.

Imbrescu, C. M., & Hațegan, C. D. (2017). Ex-ante study about disclosure of non-financial information by Romanian companies from agriculture and manufacture of food products. Journal of Economics and Business Research, 23(2), 45–58.

Ionita, C., & Dinu, E. (2021). The effect of intangible assets on sustainable growth and firm value – Evidence on intellectual capital investment in companies listed on Bucharest Stock Exchange. Kybernetes, 50(10), 2823–2849.

Johnson, R. A., & Wichern, D. W. (2007). Applied multivariate statistical analysis (6th ed.). Prentice Hall.

Jolliffe, I. T. (2002). Principal component analysis (2nd ed.). Springer-Verlag Press.

Kaiser, H. F. (1960). The application of electronic computers to factor analysis. Educational and Psychological Measurement, 20(1), 141–151.

Kalaycı, B., Özmen, A., & Weber, G.-W. (2020). Mutual relevance of investor sentiment and finance by modeling coupled stochastic systems with MARS. Annals of Operations Research, 295, 183–206.

Kennedy, P. (2008). A guide to econometrics (6th ed.). Blackwell Publications.

Khalilpourazari, S., Teimoori, S., Mirzazadeh, A., Pasandideh, S. M. R., & Tehrani, N. G. (2019). Robust fuzzy chance constraint programming for multi-item EOQ model with random disruption and partial backordering under uncertainty. Journal of Industrial and Production Engineering, 36(5), 276–285.

Kraus, S., Clauss, T., Breier, M., Gast, J., Zardini, A., & Tiberius, V. (2020). The economics of COVID-19: Initial empirical evidence on how family firms in five European countries cope with the corona crisis. International Journal of Entrepreneurial Behavior & Research, 26(5), 1067–1092.

Kropat, E., Türkay, M., &Weber, G.-W. (2020). Introduction to the special issue on fuzzy analytics and stochastic methods in neurosciences. IEEE Transactions on Fuzzy Systems, 28(1), 1–4.

Kropat, E., Özmen, A., Weber, G.-W., Meyer-Nieberg, S., & Defterli, O. (2016). Fuzzy prediction strategies for gene-environment networks – Fuzzy regression analysis for two-modal regulatory systems. RAIRO – Operations Research, 50(2), 413–435.

Kumar, S., & Zbib, L. (2022). Firm performance during the COVID-19 crisis: Does managerial ability matter? Finance Research Letters, 47(B), Article 102720.

Lin, A., Chang, H. Y., & Hung, B. (2022). Identifying key financial, environmental, social, governance (ESG), bond, and COVID-19 factors affecting global shipping companies – A hybrid multiple-criteria decision-making method. Sustainability, 14(9), Article 5148.

Man, M., & Bogeanu-Popa, M. M. (2020). Impact of non-financial information on sustainable reporting of organisations’ performance: Case study on the companies listed on the Bucharest stock exchange. Sustainability, 12(6), Article 2179.

Marom, S., & Lussier, R. N. (2021). Business strategy at times of crisis: Leveraging core competencies to sustain competitive advantage. International Journal of Business Environment, 12(4), 321–337.

Mattera, M., Ruiz-Morales, C. A., Gava, L., & Soto, F. (2022). Sustainable business models to create sustainable competitive advantages: Strategic approach to overcoming COVID-19 crisis and improve financial performance. Competitiveness Review, 32(3), 455–474.

Milošević, D., Popović, J., Avakumović, J., & Kvrgić, G. (2020). The impact of the equity capital and trade credit financial sources on the company’s performances sustainability. Economics of Agriculture, 67(3), 735–746.

Nguyen, H. T. X. (2022). The effect of COVID-19 pandemic on financial performance of firms: Empirical evidence from Vietnamese logistics enterprises. Journal of Asian Finance Economics and Business, 9(2), 177–183.

Nguyen T. N. L., & Nguyen, V. C. (2020). The determinants of profitability in listed enterprises: A study from Vietnamese stock exchange. Journal of Asian Finance, Economics and Business, 7(1), 47–58.

Nyikos, G., Soha, B., & Beres, A. (2021). Entrepreneurial resilience and firm performance during the COVID-19 crisis – Evidence from Hungary. Regional Statistics, 11(3), 29–59.

Olczyk, M., & Kuc-Czarnecka, M. E. (2021). Determinants of COVID-19 impact on the private sector: A multi-country analysis based on survey data. Energies, 14(14), Article 4155.

Pearson, K. (1901). On lines and planes of closest fit to systems of points in space. Philosophical Magazine, 2(11), 559–572.

Popa, D. N., Bogdan, V., Sabău-Popa, C. D., Beleneși, M., & Bădulescu, A. (2022). Performance mapping in two-step cluster analysis through ESEG disclosures and EPS. Kybernetes, 51(13), 98–118.

Porter, M. E. (1997). Competitive strategy. Measuring Business Excellence, 1(2), 12–17.

Rababah, A., Al-Haddad, L., Sial, M. S., Chunmei, Z., & Cherian, J. (2020). Analyzing the effects of COVID-19 pandemic on the financial performance of Chinese listed companies. Journal of Public Affairs, 20(4), Article e2440.

Ren, Z., Zhang, X., Zhang, Z. (2021). New evidence on COVID-19 and firm performance. Economic Analysis and Policy, 72, 213–225.

Sabău-Popa, C. D., Popa, D. N., Bogdan. V., & Simut, R. (2021). Composite financial performance index prediction – A neural networks approach. Journal of Business Economics and Management, 22(2), 277–296.

Sabău-Popa, C. D., Simut, R., Droj, L., & Bențe, C. (2020). Analyzing financial health of the SMES listed in the AERO market of Bucharest stock exchange using principal component analysis. Sustainability, 12(9), Article 3726.

Savku, E., & Weber, G.-W. (2018). A stochastic maximum principle for a Markov regime-switching jump-diffusion model with delay and an application to finance. Journal of Optimization Theory and Applications, 179, 696–721.

Shen, H., Fu, M., Pan, H., Yu, Z., & Chen, Y. (2020). The impact of the COVID-19 pandemic on firm performance. Emerging Markets Finance and Trade, 56(10), 2213–2230.

Siminica, M., Ionascu, C., & Sichigea, M (2019). Corporate social performance versus financial performance of the Romanian firms. Prague Economic Papers, 28(1), 49–69.

Simionescu, L. N., & Dumitrescu, D. (2018). Empirical study towards corporate social responsibility practices and company financial performance. Evidence for companies listed on the Bucharest stock exchange. Sustainability, 10(9), Article 3141.

Song, J., Xia, S., Vrontis, D., Sukumar, A., Liao, B., Li, Q., Tian, K., & Yao, N. (2022). The source of SMEs’ competitive performance in COVID-19: Matching big data analytics capability to business models. Information Systems Frontiers, 24, 1167–1187.

Tirkolaee, E. B., Mardani, A., Dashtian, Z., Soltani, M., & Weber, G.-W. (2020). A novel hybrid method using fuzzy decision making and multi-objective programming for sustainable-reliable supplier selection in two-echelon supply chain design. Journal of Cleaner Production, 250, Article 119517.

Vuță, M., Cioacă, S. I., Vuţă, M., & Enciu, A. (2019). An empirical analysis of corporate social responsibility effects on financial performance for Romanian listed companies. Amfiteatru Economic, 21(52), 607–622.

Xie, J., Nozawa, W., Yagi, M., Fujii, H., & Managi, S. (2019). Do environmental, social, and governance activities improve corporate financial performance? Business Strategy and the Environment, 28(2), 286–300.

Xu, J., Liu, F., & Shang, Y. (2021). R&D investment, ESG performance and green innovation performance: Evidence from China. Kybernetes, 50(3), 737–756.

Yu, H. B. (2022). Does sustainable competitive advantage make a difference in stock performance during the COVID-19 pandemic? Finance Research Letters, 48, Article 102893.

Walthoff-Borm, X., Vanacker, T., & Collewaert, V. (2018). Equity crowdfunding, shareholder structures, and firm performance. Corporate Governance – An International Review, 26(5), 314–330.

Wenzel, M., Stanske, S., & Lieberman, M. B. (2020). Strategic responses to crisis. Strategic Management Journal, 41, V7–V18.