Get 20M+ Full-Text Papers For Less Than $1.50/day. Start a 14-Day Trial for You or Your Team.

Learn More →

SMEs financial risk management assessment in an emerging country: a sad reality of if and cons

SMEs financial risk management assessment in an emerging country: a sad reality of if and cons This paper extends the results of a previous paper by enlarging the sample used. In this respect, this empirical paper assesses the current state of SMEs financial risk management in an emerging country. Using a descriptive survey as research method, my results document that liquidity and credit are the main financial risks that Romanian SMEs are exposed to. Moreover, Romanian SMEs seems not to be aware of the benefits of having departments of risk management assessment neither risk managers designated or formalised risk management processes. My results indicate also that Romanian SMEs are not aware of the benefits of implementing a holistic risk management approach and the attitude towards risk and uncertainty assessment is more reactive than proactive. As main limitations of my study I could observed both the central tendency bias in the responses gave by my respondents and in some cases social desirability bias. Future research is also approached. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png African Journal of Accounting, Auditing and Finance Inderscience Publishers

SMEs financial risk management assessment in an emerging country: a sad reality of if and cons

Download PDF
20 pages

Loading next page...
 
/lp/inderscience-publishers/smes-financial-risk-management-assessment-in-an-emerging-country-a-sad-4sNHbW0U9X

References

References for this paper are not available at this time. We will be adding them shortly, thank you for your patience.

Publisher
Inderscience Publishers
Copyright
Copyright © Inderscience Enterprises Ltd. All rights reserved
ISSN
2046-8083
eISSN
2046-8091
DOI
10.1504/AJAAF.2014.068190
Publisher site
See Article on Publisher Site

Abstract

This paper extends the results of a previous paper by enlarging the sample used. In this respect, this empirical paper assesses the current state of SMEs financial risk management in an emerging country. Using a descriptive survey as research method, my results document that liquidity and credit are the main financial risks that Romanian SMEs are exposed to. Moreover, Romanian SMEs seems not to be aware of the benefits of having departments of risk management assessment neither risk managers designated or formalised risk management processes. My results indicate also that Romanian SMEs are not aware of the benefits of implementing a holistic risk management approach and the attitude towards risk and uncertainty assessment is more reactive than proactive. As main limitations of my study I could observed both the central tendency bias in the responses gave by my respondents and in some cases social desirability bias. Future research is also approached.

Journal

African Journal of Accounting, Auditing and Finance – Inderscience Publishers

Published: Jan 1, 2014

There are no references for this article.