Analysis of key determinants affecting the performance of a food company through indicators return on assets and return on equity
DOI:
https://doi.org/10.5219/scifood.15Keywords:
ROA and ROE indicator, panel regression, enterprise performance, RStudioAbstract
This research aimed to identify the key determinants that influence the performance of a food enterprise. The performance of the enterprise is assessed through profitability indicators, specifically ROA and ROE indicators. The statistical program RStudio was used to conduct the analysis and present the achieved results. The article analyzes individual indicators through panel regression, the outputs of which indicate the specific significance of the individual variables used, influencing the profitability of the enterprise's total assets. An important indicator is also the overall indebtedness of the enterprise, which expresses the proportion of the company's assets financed by debt rather than equity. This indicator guides many investors who monitor whether a company has sufficient financial resources to pay off its current liabilities. A company's performance is closely linked to profit generation, which in turn affects the ability to finance the company's needs from its own resources. In business management, profit is used not only as a source of financing but also as one of the most important synthetic indicators of business success and efficiency, particularly concerning invested capital. It also serves as a tool for the material motivation of owners, managers, and employees. This paper also describes external forms of financing, regardless of whether it involves owners, other companies, banks, insurance companies, or even the state. The study also examines alternative forms of financing that are not commonly used in business, such as financial leasing and forfaiting.
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References
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