The survival of a company is highly dependent on the management of its working capital. Effective working capital management can lead to greater profitability. Insufficient working capital or liquidity shortages can severely hinder profitability and operational sustainability. The primary...

Working capital management is an important fnancial management decision for the proftability of commercial banks. The purpose of this study is to examine the impact of working capital management on commercial banks' proftability. The study used secondary data from audited fnancial statements of...

This study explores the impact of adopting the quality management system according to the International Standardization for Organizations (ISO) standards called ISO 9001 on firms' working capital management efficiency (WCME). This study analyzes Small- and Medium-Sized Enterprises (SMEs) in the...

Using 719 Indian listed firms for 11 years from 2012 to 2022, this study provides evidence that the speed of adjustment (SOA) is higher (lower) for the sample firms with below (above) median net trade cycle (NTC). Our findings are robust to the alternative measure of WCM efficiency in the Indian...

This research examines the influence of firms’ innovation activities on the efficiency of their working capital management (WCM). We have used R&D expenditure to represent innovation. The cash conversion cycle (CCC), inventory days (IND), accounts receivable days (ARD), and accounts payable...

The critical components of working capital are receivables and inventory. Various published research commonly ends up with a conclusion that firms could improve profitability by monitoring inventory and receivables closely, suggesting that firms benefit from a reduction of these assets. Whereas...

The New Keynesian model, augmented with the working capital channel, predicts that a rise in the policy rate causes firms that use more working capital to increase their prices more, and that the pass-through is gradual because of price rigidity. Using a unique dataset on firm-product-level...

Businesses strive for effective working capital management (WCM) since ineffective WCM influences firms' failure in developing economies. However, the connection between WCM and the going concern of firms has not received significant quantitative attention. Hence, this study examines the impact...

The paper examines the nexus between working capital management (WCM) and financial performance of listed non-financial firms in Ghana. An unbalanced panel data for the period 2008 to 2021 was used for the study. It is observed that the residual terms of the models were cross-sectionally...

The current situation of slower economic growth is leading to a more difficult access to funds and unpredictable payment behaviour of customers, which predetermines growing importance of working capital management. The aim of the present article is to examine the effects of working capital...

Working capital management is always crucial in any business. Efficiency of working capital is determined based various tools used by the companies. However in practice, companies do follow different tools to reduce working capital which is directly impacting profitability of the company....

Working capital management requires careful attention from corporate managers because it plays an important role in corporate stability. The social belongingness of managers induced them to learn from their society, colleagues, and overall industrial movement. They also learn from their peers...

The study used sample of 3 of the 4 agricultural/agro-allied firms from 2007 to 2018 to examine the relationship between working capital measures and financial performance. The correlation and regression analysis were used to examine the relationship between them. The result of the study shows...

The management of current assets is similar to the management of long term assets in the sense that the both the cases a firm analyses their effects on its return and risk. The management of long term and current assets, however, differs in three important ways: first, in managing long term...

Efficient management of working capital is essential for firms to avoid overinvesting in short-term assets for maximum profitability while guaranteeing much-needed liquidity to run their operations. This study examines the impact of working capital management on firms' profitability in the...

Working capital is all about management of short-term assets and liabilities of an organization in order to enhance profitability and avoid insolvency situations. This paper appraises the linkage between working capital management, liquidity and financial performance in Kenya with a keen...

Working capital management (WCM) plays an important role in a firm's value, financial risk, and firm profitability. WCM requires continuous management to maintain a certain level of the numerous components of working capital (WC). The main aim of this study is to estimate the efficiency of WCM...

Working capital management (WCM) plays a significant role in company's operations. The aim of this research is to explain how working capital management affects profitability of Serbian companies measured by ROA indicator. In order to answer the question, a quantitative analysis of working...

This study investigates the possible nonlinear relationship between working capital and credit rating. Furthermore, it examines the relationship between the three components of working capital (inventory, accounts receivable, and accounts payable) and a firm's credit rating. Employing data for...

This paper examines the effectiveness of the Chief Financial Officer (CFO) in managing working capital (WC) days. We investigate female CFOs in US-listed firms given the recent surge in the literature on their significance in the corporate boardroom and show that female CFOs are associated with...

The recent covid 19 has increased the challenges for worldwide businesses to manage working capital. Compared to the studies on the financial crisis of 2008, management of working capital and firm performance relation during the covid 19 is less studied, particularly in developing countries....

Working capital management (WCM) is a key factor in the success of manufacturing companies when credit is restricted, as is the case in the current climate caused by the COVID-19 crisis. The main purpose of this paper is to investigate the relationship between working capital management,...

The report is about the working capital management of the two renowned companies Tesla and NIO. Tesla is now recognized as a strong supporter for electric car development. In 2015 it became the best-selling switch car in the world, with the legendary vehicle Tesla Model. NIO, on the other hand...

Small Manufacturing Units (SMUs) play an important role in the development of the country. The SMU sector has become very important for many economic activities in developing countries because of its special features of capital sparing and labour intensiveness. In fact, these small and tiny...

Extant empirical studies have predominantly focused on the nexus between working capital management (WCM) and corporate profitability. While there is a dearth of literature on the nexus between WCM and a firm's risk, the present study examines Pakistani-listed firms coming from 12 diverse...