Impact of COVID-19 on Working Capital Management in Selected Fourwheeler Automobile Companies in India

The recent outbreak of a novel coronavirus, named COVID-19 by the World Health Organization (WHO) has pushed the global economy and humanity into a disaster. This research study on working capital management in selected four-wheeler automobile companies in India, four-wheeler automobile companies in India tried to balance their working capital requirements by increasing payables, to offset increased inventory balances and reduced collections. As per our analysis, 69% four-wheeler companies in India increased their payables cycle in the 12 months ended 30 Sep 2020, when compared to the prior 12-month period. Hypothesis, before_ covid & after_ covid WCM in selected four-wheeler automobile companies in India were strongly and shows positively correlated (r = 0.838, p < 0.001). There was a significant average difference between Before_ covid & after_ covid on WCM in selected four-wheeler automobile companies in India (t = -1.736, p < 0.001). On average, before_ covid were -632.55 points higher than after_ covid (95% CI [-1373.80, 108.70]) Hence, result shows null hypothesis is rejected with significant at 10% and alternative hypothesis is accepted