Work

The effect of working capital management on firms’ profitability : comparative study on Middle East and West Europe companies

Year: 2015

Type: dissertation

Abstract: This thesis investigates the relationship between working capital management and profitability of firms in the Middle East and Europe. This study used a sample of 54 firms listed in the Middle East and West Europe for the period of 2012-2013. The aim of this research is to test the effect of working capital management in the form of cash conversion cycle measurements on the profitability of firms in the Middle East and Europe. The results of this study revealed that there is no statistically significant relationship between cash conversion cycle measurements and profitability of firms measured as Return on Asset. Moreover, managers should use other tools and strategies to improve their firm’s profitability rather than managing the working capital efficiently.

Source: Portuguese National Funding Agency for Science, Research and Technology (RCAAP Project by FCT)

Author: Mhd Anas Husaria

Language: English

Topic: Working Capital and Financial Performance

Subfield: Accounting

Field: Business, Management and Accounting

Domain: Social Sciences

SDG: Decent work and economic growth

Open Access status: green

OpenAlex ID: W2343420785

Cites: 1

Cited by: 3

Related to: 10