Přehled o publikaci

Managerial decision about the capital to labour ratio affects the profit and also the profitability maximization. It depends on the incomes from marginal products of both input factors just as on their unit cost. Moreover, the weighted average cost of capital is changing through the corporate life cycle and its minimal value is reached during stabilisation. Analogous findings about connection between corporate life cycle and wages still do not exist. The aim of this article is to research the proportion of capital and labour depending on the corporate life cycle. The capital to labour ratio is quantified using the labour income share, because the amount of each input factor is measured by a different natural unit. There is used an interannual change of corporate and market value added for identification individual phases. The sample consists of hotels and restaurants, where the possibilities of capital-labour substitution are limited. There is used the Welch´s t-test to consider differences in labour income share across phases. The labour income share is higher in declining than in growing companies. So, using digital technologies or modern forms of capital instead of labour can raise the corporate value added. But the results are distorted by an abnormal value, which was once reached in one company. Moreover, there was found no stabilising company.