Given the current context, it is a challenge trying to build a bankruptcy
prediction function for the Romanian companies, primarily because the bankruptcy
process has completely different coordinates in Romania compared to most of the
countries for which bankruptcy prediction methodologies are developed. One of
the major difficulties was that Romania has a high number of bankruptcies de
facto, but a relatively small number of bankruptcies de jure. In fact, the
demarcation success failure could be a limit to the previously developed models:
the sample and the separation of the two groups were based only on the legal
declaration of bankruptcy.