01407nas a2200181 4500008004100000245007700041210006900118260000900187300000900196490000600205520081400211653001201025100002401037700001501061700001901076700001801095856011201113 2010 eng d00aEmployees, Firm Size, and Profitability in U.S. Manufacturing Industries0 aEmployees Firm Size and Profitability in US Manufacturing Indust c2010 a7-230 v73 aThis study examines the relation between firm size and profitability within 109 SIC four-digit manufacturing industries.  Depending on our measure of profitability, we find that profitability increases at a decreasing rate and eventually declines in up to 47 of our industries.   No relation between profitability and size is found in up to 52 of our industries.  These two categories account for 97 of our 109 industries.  Profitability continues to increase as firms become larger in up to 11 industries.   Hence, the relation between size and profitability is industry specific.  But, regardless of the shape of the size profitability function, we find that profitability is negatively correlated with the number of employees for firms of a given size measured in terms of total assets and sales. 10aFinance1 aBecker-Blease, John1 aKaen, Fred1 aEtebari, Ahmad1 aBaumann, Hans u/biblio/employees-firm-size-and-profitability-us-manufacturing-industries-0