The results of the regression analysis are given in Table 12. The regression model is
statistically significant as indicated by the F-value and the explanatory variables together
(adjusted R2) explain about 45 per cent of the variation in the rate of growth of GVA. We
have ensured that all the assumptions of the multiple regression models held good. Both
the sector dummies (Ds1 and Ds2) are not statistically significant. Even the firm size
dummy (Ds) is significant only at the 0.20 level implying that the initial firm size did not
make much of a difference to the growth of GVA in the three SME sectors.