The speed of adjustment in working capital requirement

REFERENCES

• Altman, E. 1968. Financial ratios, discriminant analysis and the prediction of the corporate bankruptcy. Journal of Finance 23, no. 4: 589–609. doi: 10.1111/j.1540-6261.1968.tb00843.x
   Web of Science ®Google Scholar
• Baños, S., P.J. Garcia, and P. Martinez. 2010. Working capital management in SMEs. Accounting and Finance 50, no. 3: 511–27. doi: 10.1111/j.1467-629X.2009.00331.x
   Web of Science ®Google Scholar
• Begley, J., J. Mings, and S. Watts. 1996. Bankruptcy classification errors in the 1980s: Empirical analysis of Altman's and Ohlson's models. Accounting Studies 1, no. 4: 267–84. doi: 10.1007/BF00570833
   Google Scholar
• Berger, A., F. Klapper, and G. Udell. 2001. The ability of banks to lend to informationally opaque small business. Journal of Banking and Finance 25, no. 12: 2127–67. doi: 10.1016/S0378-4266(01)00189-3
   Web of Science ®Google Scholar
• Blazenko, G., and K. Vandezande. 2003. Corporate holdings of finished goods inventories. Journal of Economics and Business 55, no. 3: 255–66. doi: 10.1016/S0148-6195(03)00023-7
   Google Scholar
• Blinder, A.S., and L.J. Maccini. 1991. The resurgence of inventory research: What have we learned? Journal of Economic Survey 5, no. 4: 291–328. doi: 10.1111/j.1467-6419.1991.tb00138.x
   Google Scholar
• Blundell, R.W., and S.R. Bond. 1998. Initial conditions and moment restrictions in dynamic panel data models. Journal of Econometrics 87, no. 1: 115–43. doi: 10.1016/S0304-4076(98)00009-8
   Web of Science ®Google Scholar
• Carpenter, R.E., S.M. Fazzari, and B.C. Petersen. 1994. Inventory investment internal-finance fluctuations and business cycle. Brooking Papers on Economic Activity 25, no. 2: 75–138. doi: 10.2307/2534655
   Google Scholar
• Chiou, J.R., L. Cheng, and H.W. Wu. 2006. The determinants of working capital management. Journal of American Academy of Business 10, no. 1: 149–55.
   Google Scholar
• Cuñat, V. 2007. Trade credit: Suppliers as debt collectors and insurance providers. Review of Financial Studies 20, no. 2: 491–527. doi: 10.1093/rfs/hhl015
   Web of Science ®Google Scholar
• Deloof, M. 2003. Does working capital management affect profitability of Belgian firms? Journal of Business Finance and Accounting 30, nos. 3–4: 573–87. doi: 10.1111/1468-5957.00008
   Google Scholar
• Deloof, M., and M. Jegers. 1996. Trade credit, product quality, and intragroup trade: Some European evidence. Financial Management 25, no. 3: 33–43. doi: 10.2307/3665806
   Web of Science ®Google Scholar
• De Miguel, A., and J. Pindado. 2001. Determinants of capital structure: New evidence from Spanish panel data. Journal of Corporate Finance 7, no. 1: 77–99. doi: 10.1016/S0929-1199(00)00020-1
   Web of Science ®Google Scholar
• Emery, G.W. 1987. An optimal financial response to variable demand. Journal of Financial and Quantitative Analysis 22, no. 2: 209–25. doi: 10.2307/2330713
   Web of Science ®Google Scholar
• Fazzari, S.M., and B. Petersen. 1993. Working capital and fixed investment: New evidence on financing constraints. Rand Journal of Economics 24, no. 3: 328–42. doi: 10.2307/2555961
   Web of Science ®Google Scholar
• Filbeck, G., and T.M. Krueger. 2005. An analysis of working capital management results across industries. Mid-American Journal of Business 20, no. 2: 11–18. doi: 10.1108/19355181200500007
   Google Scholar
• Flannery, M.J., and K.P. Rangan. 2006. Partial adjustment toward target capital structures. Journal of Financial Economics 79, no. 3: 469–506. doi: 10.1016/j.jfineco.2005.03.004
   Web of Science ®Google Scholar
• Garcia, P.J., and P. Martinez. 2007. Effects of working capital management on SME profitability. International Journal of Managerial Finance 3, no. 2: 164–77. doi: 10.1108/17439130710738718
   Google Scholar
• Garcia, P.J., and P. Martinez. 2010. A dynamic approach to accounts receivable: A study for Spanish SMEs. European Financial Management 16, no. 3: 400–21. doi: 10.1111/j.1468-036X.2008.00461.x
   Web of Science ®Google Scholar
• Greenwald, B., J. Stiglitz, and A. Weiss. 1984. Informational imperfections and macroeconomic fluctuations. American Economic Review Papers and Proceedings 74, no. 2: 194–99.
   Web of Science ®Google Scholar
• Hill, M.D., G. Kelly, and M.J. Highfield. 2010. Net operating working capital behaviour: A first look. Financial Management 39, no. 2: 783–805. doi: 10.1111/j.1755-053X.2010.01092.x
   Web of Science ®Google Scholar
• Hsiao, C. 1985. Benefits and limitations of panel data. Econometrics Review 4, no. 1: 121–74. doi: 10.1080/07474938508800078
   Google Scholar
• Jordan, J., J. Lowe, and P. Taylor. 1998. Strategy and financial policy in UK small firms. Journal of Business Finance and Accounting 25, nos. 1–2: 1–27. doi: 10.1111/1468-5957.00176
   Google Scholar
• Jose, M.L., C. Lancaster, and J.L. Stevens. 1996. Corporate return and cash conversion cycle. Journal of Economics and Finance 20, no. 1: 33–46. doi: 10.1007/BF02920497
   Google Scholar
• Kashyap, A.K., O.A. Lamont, and J.C. Stein. 1994. Credit conditions and the cyclical behavior of inventories. Quarterly Journal of Economics 109, no. 3: 565–92. doi: 10.2307/2118414
   Web of Science ®Google Scholar
• Kim, Y.H., and K.H. Chung. 1990. An integrated evaluation of investment in inventory and credit: A cash flow approach. Journal of Business Finance and Accounting 17, no. 3: 381–90. doi: 10.1111/j.1468-5957.1990.tb01192.x
   Google Scholar
• Lee, Y.W., and J.D. Stowe. 1993. Product risk, asymmetric information, and trade credit. Journal of Financial and Quantitative Analysis 28, no. 2: 285–300. doi: 10.2307/2331291
   Web of Science ®Google Scholar
• Lee, C.F., and C. Wu. 1988. Expectation formation and financial ratio adjustment processes. The Accounting Review 63, no. 2: 292–306.
   Web of Science ®Google Scholar
• Long, M.S., I.B. Malitz, and S.A. Ravid. 1993. Trade credit, quality guarantees, and product marketability. Financial Management 22, no. 4: 117–27. doi: 10.2307/3665582
   Web of Science ®Google Scholar
• Molina, C.A., and L.A. Preve. 2009. Trade receivables policy of distressed firms and its effect on the costs of financial distress. Financial Management 38, no. 3: 663–86. doi: 10.1111/j.1755-053X.2009.01051.x
   Web of Science ®Google Scholar
• Myers, S.C. 1984. The capital structure puzzle. Journal of Finance 39, no. 3: 575–92. doi: 10.2307/2327916
   Web of Science ®Google Scholar
• Nadiri, M.I. 1969. The determinants of trade credit in the U.S. total manufacturing sector. Econometrica 37, no. 3: 408–23. doi: 10.2307/1912790
   Web of Science ®Google Scholar
• Ng, C.K., J.K. Smith, and R.L. Smith. 1999. Evidence on the determinants of credit terms used in interfirm trade. Journal of Finance 54, no. 3: 1109–29. doi: 10.1111/0022-1082.00138
   Web of Science ®Google Scholar
• Nilsen, J. 2002. Trade credit and the bank lending channel. Journal of Money, Credit, and Banking 34, no. 1: 226–53. doi: 10.1353/mcb.2002.0032
   Web of Science ®Google Scholar
• Niskanen, J., and M. Niskanen. 2006. The determinants of corporate trade credit policies in a bank-dominated financial environment: The case of Finnish small firms. European Financial Management 12, no. 1: 81–102. doi: 10.1111/j.1354-7798.2006.00311.x
   Web of Science ®Google Scholar
• Ozkan, A., and N. Ozkan. 2004. Corporate cash holdings: An empirical investigation of UK companies. Journal of Banking and Finance 28, no. 9: 2103–34. doi: 10.1016/j.jbankfin.2003.08.003
   Web of Science ®Google Scholar
• Padachi, K. 2006. Trends in working capital management and its impact on firms’ performance: An analysis of Mauritian small manufacturing firms. International Review of Business Research Papers 2, no. 2: 45–58.
   Google Scholar
• Peles, Y.C., and M.I. Schneller. 1989. The duration of the adjustment process of financial ratios. The Review of Economics and Statistics 71, no. 3: 527–32. doi: 10.2307/1926912
   Web of Science ®Google Scholar
• Petersen, M., and R. Rajan. 1997. Trade credit: Theories and evidence. Review of Financial Studies 10, no. 3: 661–91. doi: 10.1093/rfs/10.3.661
   Web of Science ®Google Scholar
• Pike, R., N.S. Cheng, K. Cravens, and D. Lamminmaki. 2005. Trade credits terms: Asymmetric information and price discrimination evidence from three continents. Journal of Business Finance and Accounting 32, nos. 5–6: 1197–236. doi: 10.1111/j.0306-686X.2005.00627.x
   Web of Science ®Google Scholar
• Raheman, A., and M. Nasr. 2007. Working capital management and profitability – case of Pakistani firms. International Review of Business Research Papers 3, no. 1: 279–300.
   Google Scholar
• Schmidt, R., and M. Tyrell. 1997. Financial systems, corporate finance and corporate governance. European Financial Management 3, no. 3: 333–61. doi: 10.1111/1468-036X.00047
   Google Scholar
• Shin, H.H., and L. Soenen. 1998. Efficiency of working capital and corporate profitability. Financial Practice and Education 8, no. 2: 37–45.
   Google Scholar
• Smith, J.K. 1987. Trade credit and informational asymmetry. Journal of Finance 42, no. 4: 863–72. doi: 10.1111/j.1540-6261.1987.tb03916.x
   Web of Science ®Google Scholar
• Smith, K. 1980. Profitability versus liquidity tradeoffs in working capital management. In Readings on the management of working capital, ed. K.V. Smith, 549–62. St Paul, MN: West Publishing Company.
   Google Scholar
• Soenen, L. 1993. Cash conversion cycle and corporate profitability. Journal of Cash Management 13, no. 4: 53–7.
   Google Scholar
• Studenmund, A.H. 1997. Using econometrics: A practical guide. Boston: Addison-Wesley.
   Google Scholar
• Walker, D. 1991. An empirical analysis on financing the small firm. In Advances in small business finance, ed. R. Yazdipour, 47–61. Amsterdam: Kluwer Academic Publishers.
   Google Scholar
• Weinraub, H.J., and S. Visscher. 1998. Industry practice relating to aggressive conservative working capital policies. Journal of Financial and Strategic Decision 11, no. 2: 11–18.
   Google Scholar
• Whited, T.M., and G. Wu. 2006. Financial constraints risk. The Review of Financial Studies 19, no. 2: 531–59. doi: 10.1093/rfs/hhj012
   Web of Science ®Google Scholar
• Wilner, B.S. 2000. The exploitation of relationships in financial distress: The case of trade credit. Journal of Finance 55, no. 1: 153–78. doi: 10.1111/0022-1082.00203
   Web of Science ®Google Scholar