The Efficiency and Strategy of Companies Operating in the Popular Market: A Study on the Furniture Industry in Brazil

Abstract

This study aims at confirming if during the years 2001 and 2012 companies of the furniture industry, which invested in the popular goods market, had greater financial efficiency and what were the main strategies used by these companies to achieve this efficiency. The study also sets out to investigate whether there is a relationship between the basic interest rate of the economy, inflation and the efficiency noted in this period. The results showed that firms that chose the popular market had greater financial efficiency and the interests show a reverse causality toward more efficient companies that have served this market.