World Research of Business Administration Journal
Vol.1 No.1 November 2021
DOI https://www.doi.org/10.56830/WRBA11202103
Authors
Heba Srour
Ahmed Azmy
Abstract
Inventory management is a challenging area so this study will illustrate the ways
of managing inventory. The main aim of this study is to examine the impact of
inventory management which will be measured by inventory turnover on firm’s
performance which will be measured by firm’s profitability using return on assets
and return on equity. The data was collected from the Egyptian stock exchange
market. The analysis of this study was done using (Eviews 12) for both descriptive
statistics and multiple regression. The results of this study indicate that there is a positive correlation between inventory turnover and Return on assets (R20.769321) and also with Return on Equity (R2
= 0.669593) which were found to be statistically significant at 5% level.
Keywords: Inventory management – Inventory turnover – Firm performance –
Profitability.
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