CRISTINA STEF,M.Sc. (cand.merc.) in International Business
Problem statement: How does a bank’s default probability affect firms that list this bank as their primary bank in terms of firm debt, growth and profitability during the time period 2008-2013 in Denmark. Research on this topic has been limited. Prior research only encompass indicators of bank health at a single point in time, whether before or after the financial crisis or a sudden increase in bank health due to imposed injunctions at a single point in time. We offer to add more granularity to the assessment of bank health and estimate it for the whole period 2008-2013. This analysis is meant to offer a more detailed explanation of the dynamic stature of a bank’s health on its corporate customers’ development.