Journal on Economics, Management and Business Technology
Vol. 2 No. 2 (2024): March: Economics, Management and Business Technology

Exploring the Impact of Macroeconomic Factors on Company Financial Performance: Insights into Economic Indicators and Sectoral Heterogeneity

Jefri Fernanda (Unknown)
Rizky Marley (Unknown)
Fauzi Suhendra (Unknown)



Article Info

Publish Date
24 Mar 2024

Abstract

This research investigates the relationship between macroeconomic factors and company financial performance, aiming to provide insights into how changes in broader economic conditions influence firms' profitability, risk exposure, and growth prospects. Drawing upon theoretical frameworks, empirical analyses, and practical implications, the study explores the multifaceted dynamics of the macroeconomic-firm nexus. The analysis considers key macroeconomic variables such as interest rates, inflation rates, GDP growth, unemployment rates, and exchange rates, examining their impact on financial performance indicators including revenue growth, profit margins, return on investment, debt-to-equity ratio, and market valuation measures. Findings reveal significant relationships between macroeconomic factors and firm-level outcomes, highlighting the importance of sectoral heterogeneity, financial market responses, and globalization effects. Practical implications for financial managers, policymakers, and investors are discussed, emphasizing the importance of considering macroeconomic conditions in decision-making processes. Overall, this research contributes to advancing understanding of the macro-financial nexus and provides valuable insights for navigating the complexities of the global economy.

Copyrights © 2024






Journal Info

Abbrev

JEMBUT

Publisher

Subject

Computer Science & IT Decision Sciences, Operations Research & Management Economics, Econometrics & Finance Industrial & Manufacturing Engineering

Description

Journal on Economics, Management and Business Technology, is a Economics, Management and Business Technology published since 2022 by IHSA Institute. Journal on Economics, Management and Business Technology published 2 times a year (March and September), Each issue consists of a minimum of 5 ...