O Uso da Rendibilidade Financeira como Indicador de Avaliação do Desempenho e da Contribuição de Empresas Públicas no bem-Estar Social: Uma Reflexão Teórica.

This paper presents a theoretical reflection on the fundamentals of using financial profitability as a performance indicator and on the contribution of state-owned enterprises to social wellbeing. In specific terms, it is intended to provide greater familiarity with academic discussions on the subject, to understand the limitations of transposing performance metrics of enterprises that pursue the greatest possible financial return for their shareholders, in measuring the performance of state-owned enterprises that in addition to pursuing economic objectives, they also pursue social, political and even national security objectives. The central question of the research is: does greater financial profitability reflect a good performance and contribution of state-owned enterprises to social well-being? In the search for the answer to the research question, a qualitative study was carried out through technical procedures of bibliographic research with a focus on critical content analysis. The conclusion of the research is that a high financial return does not always represent an efficient use of public resources and, therefore, a good performance of state-owned enterprises. Government policies, including those on setting and reviewing prices, the monopolistic nature in which some public companies operate can camouflage operational inefficiencies by companies, with high economic and social costs that are borne by the citizen. [ABSTRACT FROM AUTHOR]