A study on working capital management practices and profitability of selected food and beverage enterprises

Abstract

newline The present study is entitled A study on working capital management practices and profitability of selected food and beverage enterprises . Working capital is the newlinebackbone and operational center of a business. No business can run effectively without sufficient working capital. Working capital management is the gadget of newlinemoney. It is identified with the administration of current assets and current liabilities. The food and beverages industry is one of the important and has the largest segment among all the segments (home care, personal care, cigarettes and alcohol, and OTC) of Fast-Moving Consumer Goods (FMCG). The global food and beverage industry is newlinemade up of many sub-segments, including groceries foods, packaged foods, health and natural foods, canned food, baked food, baby food, animal food, soft drinks, alcoholic newlinedrinks, energy drinks and packaging. The industry is driven by consumer demand for more nutritious food and better packaging, which also spurs technological advances newlinein the field. A concern for the environment has led to the use of more recycled material for packaging. India is expected to become the fifth-largest consumer market in the world by 2025, according to a paper prepared by the Confederation of Indian Industry (CII) and Grant Thornton. The F and B sector is supported by the vast agriculture sector. India, behind China, is the world s second-largest food producer, with the capacity to reach China in the food and agriculture industry. India is the biggest producer of pulses, and the second-biggest producer of rice, wheat, sugarcane, and fruits and vegetables. It is also the biggest producer of milk, and buffalo meat and ranks 5th in poultry production. newline newlineThe study considers a total of 8 companies with 80 observations for secondary research over 10 years from the year 2011 to 2020 and data obtained from the newlineCapitaline database and Prowessiq database those who are involved in the food and beverages industry. And for primary research, the study finalized a total sample of newline250 recipients of