RESEARCH AND REPORTS

Esmaeilzadeh Holding / RESEARCH AND REPORTS

RESEARCH AND REPORTS

Esmaeilzadeh Holding AB (publ) employs a scientific approach in every aspect of our business. We have a team of researchers and scientists who regularly conduct in-depth studies in our key areas of operation so that we have better insights and can make more informed decisions supported by their work. Here, you can read more about some of these undertakings.

Employee’s Entrepreneurial Human Capital and Firm Performance

Pontus Braunerhjelm, Emma Lappi

 

A new measure of human capital is introduced, defined as employees’ former involvement in entrepreneurship. Such entrepreneurial human capital (EHC) complements traditional human capital measures accumulated through work experience and education. The previous years of entrepreneurial experience for the population of employees in Swedish private sector firms are tracked using detailed longitudinal register data. The baseline result indicates that a 10% increase in employees being former entrepreneurs increases firm-level productivity by 3.9%. Additionally, evidence shows that heterogeneity in employees’ previous entrepreneurial experience (e.g., the reason for entering and exiting entrepreneurship, type of venture, length of entrepreneurial experiences) influences the impact of EHC on productivity.

 

Research Policy, 2023

 

Länk: https://www.sciencedirect.com/science/article/pii/S0048733322002244

Equity Capital FInancing of Swedish SMEs, Innovation, and Decentralized Management

Viktor Ström, Nima Sanandaji, Saeid Esmaeilzadeh, Mouna Esmaeilzadeh

 

This paper explores Sweden’s strong emphasis on equity capital for SMEs and its connection to being Europe’s top innovative economy. It suggests that Sweden’s high levels of trust in society contribute to the prevalence of private equity financing among SMEs. The study finds that SMEs that rely more on equity financing are associated with higher innovation rankings, especially in product innovation. This correlation is more pronounced in countries with higher levels of trust.

 

International Journal of Innovation Science, 2023

 

Länk: https://www.emerald.com/insight/content/doi/10.1108/IJIS-10-2022-0200/full/html

Making an M&A Work: Equal Strategic Partnerships Smooth the PatH

Viktor Ström, Pontus Braunerhjelm, Saeid Esmaeilzadeh

 

This paper aims to enhance our understanding of the determinants underlying successful M&As involving knowledge-intensive, innovative, and entrepreneurial (KIE) firms by equally considering the perspectives of both buyers and sellers. Through a multiple case study based on eight semi-structured interviews with CEOs of both acquiring and acquired firms, the research identifies four key measures that promote entrepreneurial intentions and value creation in M&As: buyer-seller fit, aligned incentives, long-term thinking, and perpetual alliance. This study’s unique approach of balancing the perspectives of buyers and sellers provides a nuanced understanding of the integration challenges in M&As involving KIE firms.

 

Journal of Business Strategy, 2024

 

Länk: https://www.emerald.com/insight/content/doi/10.1108/JBS-01-2023-0003/full/html

Nordic Innovation Triangle 2023

Nima Sanandaji, Mouna Esmaeilzadeh, Saeid Esmaeilzadeh

 

The 2023 Nordic Innovation Triangle Index now includes comparisons of SME innovation and growth financing across regions, including the Baltic regions. It shows that Norway is the leading Nordic country in SME innovation, while Swedish SMEs excel in product and business process innovations but lag in collaboration. Finnish and Icelandic SMEs show strong collaboration in innovation, while Danish SMEs focus primarily on business process innovations. Additionally, Baltic SMEs demonstrate unexpected strength in product innovations despite lower overall innovation activity.

 

Innovation index, 2024

 

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M&A with Decentralized Management in Practice

Viktor Ström, Saeid Esmaeilzadeh

 

Building on the prior whitepaper Empowering Entrepreneurs through Decentralized Management, this whitepaper focuses on M&A challenges, particularly the principal-agent problem resulting from ownership and control separation. Esmaeilzadeh Holding advocates for The Alliance Strategy, a decentralized management approach that preserves acquired firms’ autonomy while enhancing access to resources. It also discusses how portfolio companies manage M&A complexities, emphasizing key elements like buyer-seller fit, aligned incentives, long-term perspective, and perpetual alliance for decentralized M&A success.

 

 

Whitepaper, 2023

 

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Empowering Entrepreneurs through Decentralized Management

Viktor Ström, Saeid Esmaeilzadeh

 

This whitepaper delves into the extensive literature on acquisition strategies, focusing on two critical aspects: organizational management and the necessity for strategic interdependence. These factors help explain why many acquisitions fall short of expectations while highlighting the determinants that enable some acquisitions to meet or exceed projected outcomes. The exploration is set within the context of entrepreneurship, recognizing entrepreneurs as pivotal in achieving abnormal returns. The paper concludes by connecting this discussion to the strategy at Esmaeilzadeh Holding, providing insights into how superior returns are delivered while minimizing risks.

 

Whitepaper, 2023

 

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Nordic Innovation Triangle 2022

Nima Sanandaji, Mouna Esmaeilzadeh, Saeid Esmaeilzadeh

 

The 2022 Nordic Innovation Triangle Index examines successful new companies in the Nordic economic regions, analyzing their types of innovation and business sectors. It identifies Finland as the center of industrial innovation, with Norway excelling in manufacturing, digital, and services. Denmark and Sweden mainly focus on digital innovations, with some regions emphasizing industrial and service innovations. Areas like Sjaelland in Denmark and North Norway serve as mixed innovation hubs with diverse innovation processes.

 

Innovation index, 2023

 

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The Evolution of the Swedish Market Mode

Nima Sanandaji, Viktor Ström, Mouna Esmaeilzadeh, Saeid Esmaeilzadeh

 

This article highlights Sweden’s pioneering role in shaping modern market economies, including the establishment of the first share company, the first European credit notes, and the first central bank. It discusses Anders Chydenius’s early contributions to economic thought, predating Adam Smith’s seminal work. Additionally, it explores Sweden’s unique blend of high taxes, economic freedom, and a culture of trust, which fosters investment, cooperation, and decentralized decision-making in Nordic business management.

 

Economic Affairs, 2023

 

Länk: https://onlinelibrary.wiley.com/doi/full/10.1111/ecaf.12573