Inventory management and business profitability: an approach to mass consumption trading companies
Abstract
Mass consumption SMEs have been challenged to improve their inventory management. Therefore, the objective of the research was to analyze inventory management and financial performance through a study of managerial competencies of mass consumption SMEs in the Latacunga canton. The methodology used had a quantitative approach, with a correlational level, since it related both dependent and independent variables. The sample consisted of 293 mass consumption SMEs. The results showed that inventory management has a 74% influence on financial performance, since it allows identifying the economic and financial aspects that show the conditions in which the company operates with respect to the level of liquidity, solvency, and indebtedness. Finally, it was concluded that the managerial competencies of the leaders of these companies should be evaluated.
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