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Cited by 4Working Capital and Financial PerformanceCOVID-19 Pandemic ImpactsSupply Chain and Inventory Management

Impact of COVID-19 on working capital management: A theoretical approach

Open access
Olowookere, Johnson Kolawole, Odetayo, Tajudeen A., Adeyemi, Adewumi Zaid, Oyedele, Oloruntoba·2021·Journal of Business And Entrepreneurship
DOI 10.46273/jobe.v10i1.224
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Abstract

This study uses an archival technique to examine the impact of COVID-19 on working capital management. The study reviews previous research published in high-impact journals between 2000 and 2021. In addition, the study uses the risk trade-off theory, market timing theory, and cash conversion cycle theory as lenses to understand the relationship between COVID-19 and working capital management. Both theoretical and empirical reviews indicate that the impact of the COVID19 plague has weakened the finances of business organizations on a global scale. Thus, reviewed theories suggest that for the business organizations to come into the limelight of financial muscle amidst COVID-19, managers should review variable costs and work with their main partners, and access to funds that have been made available to corporate organizations as a result of the mitigation of the COVID-19 plague.

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Authors
Olowookere, J. K., Odetayo, T. A., Adeyemi, A. Z., & Oyedele, O.
Affiliations
  • Osun State University (NG)
  • Osun State Polytechnic, Iree (NG)
  • Ajayi Crowther University (NG)
ORCID
Venue
Journal of Business And Entrepreneurship
Publisher
Journal of Business and Entrepreneurship, Sampoerna University
Published
2021-11-21
Volume
10
Issue
1
Pages
38
ISSN
  • 2302-4119 (ISSN-L)
  • 2685-6255
DOI
10.46273/jobe.v10i1.224
OpenAlex
W4386799246
Cited by
4
References
53
Citations by year
2025: 1 · 2023: 2 · 2022: 1
FWCI
1.26
Type
journal article
Language
en
Open access
Locations
Journal of Business And Entrepreneurship (publishedVersion)
Topics
  • Social Sciences › Business, Management and Accounting › Accounting › Working Capital and Financial Performance
  • Social Sciences › Economics, Econometrics and Finance › Economics and Econometrics › COVID-19 Pandemic Impacts
  • Social Sciences › Business, Management and Accounting › Management Information Systems › Supply Chain and Inventory Management
Keywords
COVID-19 pandemic, working capital management, market timing theory, cash conversion cycle, corporate finance, variable costs, access to finance

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