| Title |
The importance of creditworthiness evaluation in the context of Lithuanian SME performance measurement / |
| Authors |
Venckevičiūtė, Gerda |
| DOI |
10.15388/Ekon.2015.2.8237 |
| Full Text |
|
| Is Part of |
Ekonomika.. Vilnius : Vilniaus universiteto leidykla. 2015, t. 94, Nr. 2, p. 129-143.. ISSN 1392-1258 |
| Keywords [eng] |
credit risk ; creditworthiness ; creditworthiness evaluation ; SME performance measurement. |
| Abstract [eng] |
The paper deals with the methodology of Lithuanian small and medium enterprises (here and further – SME) creditworthiness evaluation and part of empirical research which reveals the importance and motives of creditworthiness evaluation in Lithuanian SME’s performance measurement process. The aim of this study is to analyse the importance of creditworthiness evaluation in performance measurement and influence upon stable company‘s growth. The three main goals of the paper are: 1) to reveal the methodology of Lithuanian SME’s creditworthiness evaluation, 2) to analyse the periodicity of Lithuanian SME’s creditworthiness evaluation and the motives of one’s integration into performance measurement process and 3) to identify creditworthiness evaluation factors which correlate with stable SME growth results. Analysis of related literature, information comparison and generalization are used for credit risk and creditworthiness evaluation methodology overview. Empirical research is performed using survey method, for data evaluation descriptive statistics method as well as qualitative (systematization, classification, causal, functional and structural links analysis) and quantitative data analysis (quantitative indicators calculation) was applied. The research results revealed that those companies which evaluate partners’ and their own company’s creditworthiness have 10% higher three last year revenues and number of employees growth. Based on this the paper concludes that creditworthiness evaluation and stable company’s growth correlates and enables SME to pursue stable growth results while increasing competitiveness and considering confidence and trust among business partners. |
| Published |
Vilnius : Vilniaus universiteto leidykla |
| Type |
Journal article |
| Language |
English |
| Publication date |
2015 |
