TY - JOUR U1 - Wissenschaftlicher Artikel A1 - Högerle, Bernadette A1 - Charifzadeh, Michel A1 - Ferencz, Marlene T1 - The development of working capital management and its impact on profitability and shareholder value: evidence from Germany JF - Strategic management : international journal of strategic management and decision support systems in strategic management N2 - This study investigates empirically the development of working capital management and its impact on profitability and shareholder value in Germany. We analyse panel data of 115 firms listed on the German Prime Standard, covering the period from 2011 to 2017. The results provide evidence that efficient working capital management, indicated by a shorter cash conversion cycle, deteriorated over time, but that a shorter cash conversion has a positive impact on profitability and shareholder value. The findings highlight the need that managers should give greater priority to working capital optimization, even in a low-interest environment. The paper contributes to the literature by advancing this research area in Germany, and it is the first study investigating shareholder relationship with working capital management and all its determinants. KW - working capital management KW - cash conversion cycle KW - profitability KW - return on capital employed KW - shareholder value KW - market value added KW - Germany KW - panel data Y1 - 2020 UN - https://nbn-resolving.org/urn:nbn:de:bsz:rt2-opus4-27448 SN - 1821-3448 SS - 1821-3448 U6 - https://doi.org/10.5937/StraMan2002027H DO - https://doi.org/10.5937/StraMan2002027H VL - 25 IS - 2 SP - 27 EP - 39 S1 - 13 PB - University of Novi Sad CY - Subotica ER -