Financial characterization of solidarity economies via cluster analysis. The rural Colombian case

Abstract

In the Colombian territory, there is a notable emergence of organizational entities operating within the framework of solidarity economies. These entities embody a semi-formal alternative model that diverges significantly from conventional approaches to value generation. They are driven by a long-term survival strategy and built upon the principles of self-governance and the establishment of collaborative agreements. The main objective of this article is to conduct a thorough characterization and in-depth analysis of the overall performance of 376 entities situated in rural Colombia. In the subsequent phase of the research, a cluster analysis is employed to categorize entities sharing common attributes, forming the basis for a comparative evaluation. To accomplish this, a comprehensive set of quantitative indicators is employed to assess the financial and operational aspects of the selected entities. This analytical framework, drawing on Porter's forces, aims to provide a comprehensive understanding of both external and internal factors influencing their performance. The findings highlight significant variations among groups of enterprises in terms of liquidity, profitability, investment efficiency, operational management, and net working capital.