Current asset management methods and their application: Case of Latvia

In order to ensure the companies’ financial sustainability in current economic conditions, a successful management of the current assets is crucial. In practice, it is quite often observed that the decisions related to the current asset management in Latvian companies are made with the short-term perspective, without appropriate analysis. Though, an efficient management of working capital is a vital condition to increase the company’s profitability. The aim of the article is to explore the opinion and attitude of the companies’ management regarding the practical aspects of the current asset management, as well as to explore the actual situation in the companies. The expert survey, correlation analysis and factor analysis, as well as Kaiser – Meyer – Olkin and Bartlett’s test were used in the research; the current asset management tendencies were assessed and their impact on the performance of the Latvian companies was identified. In the result of factor analysis, the main factor groups affecting the results of the current asset management in companies were identified. 


Arbidane, I., & Puzule, A. (2022). Current asset management methods and their application: Case of Latvia. ASERC Journal of Socio-Economic Studies, 5(2), 89-104. DOI:10.30546/2663-7251.2022.5.1.89