Received: 2020-01-10  |  Accepted: 2020-06-25  |  Published: 2020-09-30

Title

Issues of financial liquidity of small and medium-sized trading companies: a case study from Poland


Abstract

Most often, the victims of financial crises are small and medium-sized enterprises. Very often, even short-term payment gridlocks can lead to their bankruptcy. All over the world, managers of such enterprises are trying to introduce solutions that will improve their financial security. Branch group purchasing organizations (GPOs) are a very popular method to improve the financial security and financial situation of small and medium enterprises. They are multi-stakeholder organizations using the effect of scale. It allows them to reduce costs, increase sales and gives many opportunities to build a policy of managing liquidity. The purpose of the article is to present the impact of branch GPOs on the financial liquidity of small and medium-sized enterprises. The research was conducted on a group of 96 Polish small and medium-sized commercial enterprises operating in the construction industry. The study showed that the analyzed units do not have problems with financial liquidity, due to the use of a strong scale effect.


Keywords

liquidity, SMEs, group purchasing organizations


JEL classifications

G32 , G35 , L22


URI

http://jssidoi.org/jesi/article/625


DOI


Pages

363-372


Funding


This is an open access issue and all published articles are licensed under a
Creative Commons Attribution 4.0 International License

Authors

Zimon, Grzegorz
Rzeszów University of Technology, Rzeszów, Poland https://w.prz.edu.pl
Articles by this author in: CrossRef |  Google Scholar

Journal title

Entrepreneurship and Sustainability Issues

Volume

8


Number

1


Issue date

September 2020


Issue DOI


ISSN

ISSN 2345-0282 (online)


Publisher

VšĮ Entrepreneurship and Sustainability Center, Vilnius, Lithuania

Cited

Google Scholar

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References