Determinants of Financial Performance for the Clothing Industry: A Romanian Approach

Teodora Maria Suciu
Additional contact information
Teodora Maria Suciu: “1 Decembrie 1918” University of Alba Iulia, Romania

Economics and Applied Informatics, 2024, issue 1, 89-97

Abstract: In the present paper, an experimental study is developed on how asset-liability-equity-employees influence the financial performance of companies in the Romanian garment industry with the aim of identifying the managerial decision-making factors in order to develop businesses in this economic sector. The financial performance was influenced by the independent variables of the patrimonial structure and the human resource: fixed assets, current assets, advance expenses, equity, liabilities and the average number of employees. The results reveal that current assets, advance expenses and total liabilities positively affect financial performance, while fixed assets negatively affect financial performance. The findings show us that companies in the Romanian clothing industry tend to focus on short-term financial performance. A statistically significant impact and positive effect was identified in the case of equity and the average number of employees influencing financial performance (Sales). Two of the six hypotheses based on the analysis model of the financial performance of Romanian clothing companies are confirmed.

Keywords: financial performance; OLS models; Fixed Effects model; microeconomic indicators; clothing industry cases (search for similar items in EconPapers)
Date: 2024
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://eia.feaa.ugal.ro/images/eia/2024_1/Suciu.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ddj:fseeai:y:2024:i:1:p:89-97

DOI: 10.35219/eai15840409393

Access Statistics for this article

More articles in Economics and Applied Informatics from "Dunarea de Jos" University of Galati, Faculty of Economics and Business Administration Contact information at EDIRC.
Bibliographic data for series maintained by Gianina Mihai ().