مجلة العلوم الإدارية والمالية
Volume 6, Numéro 1, Pages 481-496
2022-06-30

Relationship Between Inventory Management And Profitability: Evidence From Selected Manufacturing Firms In Sétif

Authors : Bouadam Faiza . Maiza Messaoud Amir .

Abstract

This study aimed to test the relationship between working capital management and the profitability of Algerian small and medium enterprises in the province (wilaya) of Sétif, through a sample of 68 enterprises. The validity of the hypotheses was tested according to the panel data model. Statistically significant results were reached between the variables, as there is a direct relationship between inventory management and the rate of return on assets (ROA).

Keywords

working capital ; enterprise profitability ; inventory turnover rate