Working Capital Management And Corporate Performance. Special Reference To Manufacturing Firms On Nairobi Securities Exchange

Abstract

This paper captures aspects regarding relationships between Working Capital Management and Corporate Performance of manufacturing firms listed on the Nairobi securities exchange. A sample of 20 companies whose data for 5 years from 2007-2011 was selected. For analysis Principal components analysis (PCA)  is used due to its simplicity and its capacity of extracting relevant information from confusing data sets. Regression of the principal component show that that working capital proxies CCC, ACP and control variables CLTA, NSCA & FATA are significant at 95% confidence (p values are < .05)  To performance.