"Privatisation was expected to play a key role in facilitating the

restructuring of the former state-owned sector in Eastern Europe after 1989.

However, empirical studies show mixed results. This study investigates

whether privatised companies are more advanced than State-Owned Enterprises

(SOEs) in the restructuring process. It compares the experiences of four large

companies in the chemical sector in Romania, two of which have been

privatised and two SOEs. It focuses on ownership changes, the modifications of

the decision making processes, the mechanisms of resource allocation and the

market success of these companies. The findings suggest that privatisation does

not necessarily lead to a deeper restructuring and a separation of profitable and

non-profitable businesses."

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