This paper presents the problem of working capital management, profitability and risk represented by working capital … the profitability and risk connected to the liquidity. On the other hand we can expect that the lower the working capital … level and hence the liquidity the higher the profitability and risk., The author decided to test companies listed on the …

of capital stocks of MSEs in poor economies focusing on credit constraints and risk. The analysis is based on a unique … capital stocks in the early lifetime of MSEs. Furthermore, the analyses show that risk plays a key role for capital … accumulation. Risk-averse individuals seem to adjust their initially low capital stocks upwards when enterprises grow older. MSEs …