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The role of national information technology investments in inventory efficiency and financial performance: evidence from manufacturing industry in Germany

Gülsen Dökmecìoğlu, Sami Fethì and Salih Katircioğlu

Applied Economics Letters, 2025, vol. 32, issue 10, 1461-1467

Abstract: This study investigates the role of national information technology (IT) investments in inventory efficiency and financial performance. A total of 153 publicly listed manufacturing firms in Germany are examined for the years 2010 through 2019. The findings show that national IT investments do not considerably impact firm-level financial performance and inventory efficiency. Firm-level inventory efficiency exerts a considerable impact on profitability. Furthermore, market concentration and firms’ financial leverage are driving forces behind financial performance of firms. Also, market concentration moderates the proposed relationships on firms’ profit margins.

Date: 2025
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DOI: 10.1080/13504851.2024.2306184

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