How can the results of this research help company managers in formulating
strategies to improve financial performance and Sustainable Growth Rate(SGR)?
The results of this research can help company managers in
formulating strategies to improve financial performance and
the Sustainable Growth Rate (SGR) in several ways:
1. Focusing on Profitability: Findings show that profitability
has a positive and significant effect on financial performance
and SGR. Therefore, managers need to prioritize strategies that
increase profitability, such as operational efficiency and cost
control, to support the company^s sustainable growth.
2. Pay attention to financial performance as a driver of SGR:
Results show that good financial performance contributes to
higher SGR. Managers can develop strategies to strengthen
return ratios, for example by investing in assets that support
productivity and capital optimization
3. Application of Stakeholder Theory: By referring to
stakeholder theory, managers are advised to consider the
impact of decisions on all related parties, not just
shareholders. This includes maintaining relationships with
creditors, investors and consumers to ensure stable long-term
support.
research emphasize that a focus on increasing profitability
and effective management of financial performance can
support sustainable growth for companies, especially in
emerging markets
The factor that can improve financial performance in this research is
profitability. The higher the company^s profitability, the better the
financial performance achieved. High profitability supports increasing
operational efficiency and ability to generate profits.
