In this study the factors behind the decision‐makers’ erroneous judgements regarding failure prediction (classification of firms as bankrupt and non‐bankrupt) are analysed. The purpose is to find out the factors causing incorrect responses, i.e. the cases in which the decision‐maker is...

Purpose The purpose of this paper is to find out which different failure processes exist among the young manufacturing micro firms, and whether the representation of those processes differs first, in European countries, and second, among exporting and non-exporting firms....