The traditional link between the cash conversion cycle and the firm's profitability is that shortening the cash conversion cycle increases firm's profitability. On the other hand shortening the cash conversion cycle could harm the firm's operations and reduces profitability. However, identifying...

Prior studies contend that an unexpected increase in inventory reflects a firm's difficulty in generating sales and results in negative earnings growth and stock returns. Using a sample with over 85,000 observations for the period of 1950-2005, we confirm the negative relation between inventory...

Companies can use working capital management as an approach to influence their profitability. This paper studies the impact of working capital management and its components upon the profitability of European companies. Cash Conversion Cycle is used as a comprehensive measure for working capital...

The purpose of this study was to assess the effect of working capital management practices on the financial performance of SSEs in Kisii South District. The study adopted Across-sectional survey research design which allowed the collection of primary quantitative data through structured...