Journals / International Journal of Economics and Finance Studies / 2010 / Cilt: 2 Sayı: 2

EFFECTS OF WORKING CAPITAL MANAGEMENT ON PROFITABILITY: THE CASE FOR SELECTED COMPANIES IN THE ISTANBUL STOCK EXCHANGE (2005- 2008)

Pages
47–54
Publication Date
2010-12-01
DOI
—
🏛️Bibliographic metadata and full text access for this article are provided via DergiPark.
DergiPark Record ↗
✨

AI Summary & Key Takeaways

AI Insight
⚡ TL;DR(Too Long; Didn't Read)

The panel data methods are employed in order to analyze the mentioned effects

📌 3 Key Takeaways

🎯
Objective & Hypothesis:Working capital management is one of the essential determinants of firms’ market value because it directly affects profitability.
📊
Key Findings & Data:This paper mainly aims to provide some empirical evidence on the effects of working capital management on the profitability of selected companies in the Istanbul Stock Exchange for the period of 2005-2008.
💡
Conclusion & Impact:The panel data methods are employed in order to analyze the mentioned effects
🔬Design:Research Article
📍Scope:2005-2008 Verileri
⚙️Variables:Working capital management · profitability · Working capital management

Abstract

Working capital management is one of the essential determinants of firms’ market value because it directly affects profitability. And, working capital management is also extremely crucial from the point of firms’ sustainability. Hence, firms should establish a fine balance between profitability and risk when it comes to managing working capital. This paper mainly aims to provide some empirical evidence on the effects of working capital management on the profitability of selected companies in the Istanbul Stock Exchange for the period of 2005-2008. The panel data methods are employed in order to analyze the mentioned effects

🔖

Cite This Article

Karaduman, H. A., Akbas, H. E., Ozsozgun, A., Durer, S. (2010). EFFECTS OF WORKING CAPITAL MANAGEMENT ON PROFITABILITY: THE CASE FOR SELECTED COMPANIES IN THE ISTANBUL STOCK EXCHANGE (2005- 2008). International Journal of Economics and Finance Studies, Cilt: 2 Sayı: 2, 47–54. https://ajindex.com/articles/993855

📄 Full Text PDF Viewer

📄

PDF görüntüleyici hazırlanıyor...

References (21)

  1. Baltagi, Badi (2001), Econometric Analysis of Panel Data, Chichester: John Wiley & Sons.
  2. Chiou, Jeng-Ren, Li Cheng and Han-Wen Wu (2006), “The Determinants of Working Capital
  3. Management”, Journal of American Academy of Business, Vol. 10, Issue 1, pp. 149-155. Deloof, Marc (2003), “Does Working Capital Management Affect Profitability of Belgian
  4. Firms?”, Journal of Business Finance and Accounting, Vol. 30, Issue 3/4, pp. 573-587. Eljelly, Abuzar M. A. (2004), “Liquidity – Profitability Tradeoff: An Empirical Investigation in an
  5. Emerging Market”, International Journal of Commerce and Management, Vol. 14, No. 2, pp. 48- Filbeck, Greg and Krueger, Thomas M. (2005), “An Analysis of Working Capital Management
  6. Results Across”, Mid-American Journal of Business, Vol. 20, Issue 2, pp. 11-18. Garcia-Teruel, Pedro Juan and Pedro Martinez-Solano (2007), Effects of Working Capital
  7. Management on SME Profitability”, International Journal of Managerial Finance, Vol. 3, No. 2, pp. 164-177. Lazaridis, Ionannis and Dimitrios Tryfonidis, (2006) “Relationship Between Working Capital
  8. Management and Profitability of Listed Companies in the Athens Stock Exchange”, Journal of Financial Management and Analysis, Vol. 19, No. 1, pp. 26-35. Hausman, Jerry (1978), “Specification Tests in Econometrics”, Econometrica, Vol. 46, No. 6, pp.1251-1271.
  9. Nazir, Mian Sajid and Talat Afza (2009), “Working Capital Requirements and the Determining
  10. Factors in Pakistan”, Journal of Applied Finance, Vol. 15, Issue 4, pp. 28-38. Padachi, Kesseven,, M. S. Narasimhan, R. Durbarry and C. Howorth (2008), “An Analysis of
  11. Working Capital Structure and Financing Pattern of Mauritian Small Manufacturing Firms”, Journal of Applied Finance, Vol. 14, Issue 7, pp. 41-62. Ricci, Cecilia and Nino Di Vito (2000), “International Working Capital Practices in the UK”,
  12. European Financial Management, Vol. 6, Issue 1, pp. 69-84. Sathyamoorthi, C. R. and L. B. Wally-Dima (2008), “Working Capital Management: The Case of
  13. Listed Retail Domestic Companies in Botswana”, Journal of Management Research, Vol. 7, Issue, pp. 7-24. Schilling, George (1996), “Working Capital's Role in Maintaining Corporate Liquidity”, TMA
  14. Journal, Vol. 16, Issue 5, pp. 4-7. Shin, H. H., and Soenen, L. (1998), “Efficiency of Working Capital Management and Corporate
  15. Profitability”, Financial Practice and Education, Vol. 8, No. 2, pp. 37-45. Stewart, Tammy (2009), “Creating Working Capital and Cash Flow Efficiencies”, Alaska Business
  16. Monthly, Vol. 25, Issue 10, pp. 16-17. Wooldridge, Jeffrey (2002), Econometric Analysis of Cross-section and Panel Data, Cambridge: The MIT Press.
  17. Yadav, Rakesh, Vani Kamath and Pradip Manjrekar (2009), “Working Capital Management: A
  18. Study Of Maharashtra's Bulk Drugs Listed Companies”, Chemical Business, Vol. 23 Issue 7, pp. 34. Zariyawati, M. A., M. N. Annuar, H. Taufiq and A. S. Abdul Rahim (2009), “Working Capital
  19. Management and Corporate Performance: Case of Malaysia”, Journal of Modern Accounting and Auditing, Vol. 5, Issue 11, pp. 47-54.
  20. Factors in Pakistan”, Journal of Applied Finance, Vol. 15, Issue 4, pp. 28-38. Padachi, Kesseven,, M. S. Narasimhan, R. Durbarry and C. Howorth (2008), “An Analysis of
  21. Listed Retail Domestic Companies in Botswana”, Journal of Management Research, Vol. 7, Issue, pp. 7-24. Schilling, George (1996), “Working Capital's Role in Maintaining Corporate Liquidity”, TMA