Description
The Role of Capital Structure in Firm Performance: A Comparative Mixed-Methods Analysis Across Industries
Abstract
The capital structure of a company significantly influences its long-term sustainability and financial well-being. Besides, it depicts how an enterprise employs debt and equity to support strategies and development. Decisions on financing structure affect the ability of the company to maximize performance. For instance, it helps to sustain financial difficulties in a competitive market. Moreover, the impact of financial structure on KPIs, such as profitability and growth, involves market value. Analysis of the impact of capitalization on firm performance is, therefore, essential to develop strategies supporting long-term objectives.
The study aims to find out how alternative debt and equity financing options influence financial outcomes. Additionally, it investigates the influences of capital structure on corporate performance crossing a range of industries. For example, it includes growth, market value, and profitability. Furthermore, an investigation of industry-specific factors that influence various capital structure techniques is done. Moreover, the study compares manufacturing technology and services. Overall, research offers insights for organizations seeking to improve their financial structure to boost business performance
Therefore, the study adopts mixed-methods approach using quantitative and qualitative analysis. The quantitative division involves an examination of the financial data of businesses in various industries. Meanwhile, utilizing regression analysis to evaluate the relationship between capital management and performance measures is done. The qualitative phase features interviews with investors, financial managers, and industry experts. Such a process is useful to enlighten the processes of making financial structure decisions. This study will strive to generate solid results that provide valuable recommendations to businesses. Finally, by applying suggestions, businesses could align with capital structure dynamics characterizing the businesses’ industries to perform better.
Read more about the topic
The Impact of Capital Structure on the Firm Performance
Influence of Capital Structure on Firm Performance: Evidence from Bangladesh
View Other Projects on Corporate Performance
The Impact of Financial Risk Management Practices on Corporate Performance: A Mixed-Methods Study
Reviews
There are no reviews yet.