IDEAS home Printed from https://ideas.repec.org/a/rom/rmcimn/v14y2013i5p731-745.html
   My bibliography  Save this article

The Influence of Working Assets Efficiency Management on the Profitability of Trade in Serbia

Author

Listed:
  • Radojko LUKIC

    (University of Belgrade, Serbia)

Abstract

The efficiency of working assets (working capital) management is one of the crucial factors of performance in trade. It is quite understandable when one takes into account the fact that the biggest part of total assets of the trading companies is related to working assets, i.e. inventories as a part of current assets. With the application of appropriate methodology this paper explores determinants and impact of efficiency of working assets management on the profitability of trade in Serbia for the 2008-2012 period, based on an example of commercial companies which are required by law to submit the final financial statements. General conclusion is that there was insufficient efficiency of working assets in observed period, which was reflected on the profitability of trade in Serbia. Related to this, it is necessary to take all relevant measures to improve the efficiency of working assets in order to increase the profitability of trade in Serbia. This especially applies to the application of modern information and communication technologies, particularly in the supply chain management (enterprise resource planning system, RFID).

Suggested Citation

  • Radojko LUKIC, 2013. "The Influence of Working Assets Efficiency Management on the Profitability of Trade in Serbia," REVISTA DE MANAGEMENT COMPARAT INTERNATIONAL/REVIEW OF INTERNATIONAL COMPARATIVE MANAGEMENT, Faculty of Management, Academy of Economic Studies, Bucharest, Romania, vol. 14(5), pages 731-745, December.
  • Handle: RePEc:rom:rmcimn:v:14:y:2013:i:5:p:731-745
    as

    Download full text from publisher

    File URL: https://rmci.ase.ro/no14vol5/07.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Chisti Khalid Ashraf, 2012. "The Relationship between Working Capital Efficiency and Profitability," Advances In Management, Advances in Management, vol. 5(12), December.
    2. Chisti Khalid ASHRAF, 2012. "The relationship between working capital efficiency and profitability," The Journal of Accounting and Management, Danubius University of Galati, issue 3, pages 21-45, December.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Radojko LUKIC, 2016. "The Analysis of the Efficiency of Capital Investments in Trade of Serbia," REVISTA DE MANAGEMENT COMPARAT INTERNATIONAL/REVIEW OF INTERNATIONAL COMPARATIVE MANAGEMENT, Faculty of Management, Academy of Economic Studies, Bucharest, Romania, vol. 17(1), pages 12-30, March.
    2. Radojko LUKIC, 2015. "The Analysis of Efficiency of Managing Inventories in Trade in Serbia," REVISTA DE MANAGEMENT COMPARAT INTERNATIONAL/REVIEW OF INTERNATIONAL COMPARATIVE MANAGEMENT, Faculty of Management, Academy of Economic Studies, Bucharest, Romania, vol. 16(2), pages 222-238, May.
    3. Radojko LUKIC, 2016. "Energy Efficiency In The Food Retail," Business Excellence and Management, Faculty of Management, Academy of Economic Studies, Bucharest, Romania, vol. 6(1), pages 16-35, March.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Szymańska, Elżbieta & Lukoszová, Xenie, 2021. "Liquidity and Profitability of Meat Processing Enterprises in Poland," Problems of Agricultural Economics / Zagadnienia Ekonomiki Rolnej 319814, Institute of Agricultural and Food Economics - National Research Institute (IAFE-NRI).
    2. Vo Thi Quy & Le Thi Minh Nguyen, 2017. "Effects of working capital management on firm performance and firm value – A study of the fisheries industry in Vietnam," HO CHI MINH CITY OPEN UNIVERSITY JOURNAL OF SCIENCE - ECONOMICS AND BUSINESS ADMINISTRATION, HO CHI MINH CITY OPEN UNIVERSITY JOURNAL OF SCIENCE, HO CHI MINH CITY OPEN UNIVERSITY, vol. 7(2), pages 42-52.
    3. Ahmed Mohamed Habib & Umar Nawaz Kayani, 2023. "Evaluating the Super-Efficiency of Working Capital Management Using Data Envelopment Analysis: Does COVID-19 Matter?," SN Operations Research Forum, Springer, vol. 4(2), pages 1-20, June.
    4. Tapan P BAGCHI, 2013. "Working Capital and Profitability—Establishing the Causality," The Journal of Accounting and Management, Danubius University of Galati, issue 2, pages 27-52, August.

    More about this item

    Keywords

    accounts receivable; inventory; current liquidity; net working assets; cash cycle.;
    All these keywords.

    JEL classification:

    • F65 - International Economics - - Economic Impacts of Globalization - - - Finance
    • L81 - Industrial Organization - - Industry Studies: Services - - - Retail and Wholesale Trade; e-Commerce
    • M40 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting - - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:rom:rmcimn:v:14:y:2013:i:5:p:731-745. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Marian Nastase (email available below). General contact details of provider: https://edirc.repec.org/data/mnasero.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.