 Impact of Corporate Investment on Business Performance: The Case of Slovenian Firms for the Period 2000-2017Vladimir Bukvic and Metka Tekavcic A chapter in Six Sigma and Quality Management from IntechOpen Abstract: This paper, which is derived from comprehensive research based on the microeconomic theory of investment and the theoretical approach to measuring the financial performance of firms, presents a conceptual model to define, assess, and measure the impact of corporate investment on business performance. In terms of investment, the focus falls only on tangible fixed assets, whereas business performance is defined solely as performance measured by the relevant financial indicators. Several research hypotheses are tested on an extensive sample of Slovenian firms. A statistically significant correlation between investment and financial performance indicators is found for the period 2000-2017. This correlation is particularly strong with net sales revenues, added value, and operating cash flow (EBITDA). Since the global financial crisis occurring at the break of the last decade is also included in the designated period, the creditless growth of investment together with the simultaneous deleveraging that took place after the financial crisis is explored and compared with the growth of selected financial performance indicators. Keywords: corporate strategic investment; tangible fixed assets; dynamics of investment; rating and indebtedness; financial performance (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:ito:pchaps:272198 DOI: 10.5772/intechopen.104994 Access Statistics for this chapter More chapters in Chapters from IntechOpen |
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