| Abstract [eng] |
The main purpose of this master thesis is to determine how companies working capital management and economic cycles affect companies efficiency. The work consists of three main parts: the analysis of literature, the research and its results, conclusion and recommendations. The literature analysis reviews the economic cycle, its concept, different phases, what determines economic fluctuations, why cycles change, describes the importance of working capital management, factors influencing it, and the composition of working capital. Having reviewed both working capital and economic cycles, their influence on the company's operational efficiency was described, in the presence of different economic cycles or different working capital management. After conducting an analysis of the scientific literature, the author conducts a study on the influence of economic cycles and working capital management on the operational efficiency of selected furniture sector companies. The study is conducted by analyzing the results of the financial statements of four selected furniture sector companies for the period 2015-2023, since the companies are listed on stock exchanges, financial statements are easily accessible online. Key financial parameters are taken from the financial statements of the specified period, from which financial indicators related to working capital and operational efficiency are calculated. According to the results of the study, it can be stated that the operating efficiency of the selected furniture sector companies is influenced by changes in working capital, efficient management and planning affects the operating efficiency of the company. Economic cycles also have a significant impact on the operating efficiency and financial results of the selected furniture sector companies, since this sector chosen by the author is strongly dependent on raw material prices, volatile electricity costs, and demand. During the economic growth, according to the results obtained by the author, the financial condition of the selected companies in most cases improves, efficiency indicators grow, which indicates the economic prosperity of the companies. During the recession, a deterioration in the sector indicators and a decrease in efficiency are noticeable, which is characteristic of this economic stage, while during the peak, the prosperity of the selected companies is noticeable - improving financial results, large production volumes, high efficiency. During the crisis period, no significant fluctuations were recorded for this period, it is likely that the companies were able to control the emerging consequences of this cycle. In the conclusions and suggestions, the author summarizes the main concepts of the literature analysis and discusses the results of the research. According to the author, both working capital management and economic cycles have an impact on the efficiency of a company's operations. |
