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Autor
Pokorná Pavla (Silesian University in Opava, Czech Republic), Šebestová Jarmila (Silesian University in Opava, Czech Republic), Čemerková Šárka (Silesian University in Opava, Czech Republic)
Tytuł
Dilemma of Directions for Reinvestment
Źródło
Forum Scientiae Oeconomia, 2019, vol. 7, no. 4, s. 83-99, tab., wykr., rys., bibliogr. 48 poz.
Tytuł własny numeru
Digital Socio-economic Platforms in the Era of Industry 4.0
Słowa kluczowe
Polityka inwestycyjna, Zarządzanie, Zysk, Strategia inwestycyjna
Investment policy, Management, Profit, Investment strategy
Uwagi
summ.
This work was supported by the Silesian University in Opava, by the Student Grant System SGS/06/2018 "Economic Literacy of Business Entities".
Abstrakt
Successful entrepreneurial activity is mostly connected with added value creation. This activity simply means that each process generates a profit to increase the financial value of the company. The next step, from the financial point of view, is to make decisions on how to properly reinvest the profit generated to positively influence the company in the future. This study investigates the factors that have the potential to affect profit reinvestment decisions based on primary research on 238 business entities in the Czech Republic. Using primary data collection, it was possible to explain the main motives, such as payback period or extra benefit from reinvestment, as the most significant factor influencing reinvestment direction. Finally, the average reinvestment percentage rate is very low (20%), when the recommended value is mostly about 64%. Surprisingly, factors such as age, gender or competitive advantage were confirmed to be statistically non-significant. Finally, this article suggests future directions for the development of portfolio models. (original abstract)
Dostępne w
Biblioteka SGH im. Profesora Andrzeja Grodka
Pełny tekst
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Bibliografia
Pokaż
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Cytowane przez
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ISSN
2300-5947
Język
eng
URI / DOI
http://dx.doi.org/10.23762/FSO _VOL 7_NO4_6
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