The Diagnosis Of Expenses From The Production Activity In The Analysis Of The Financial Performance For The Romanian Clothing Industry

The clothing industry has recently experienced a difficult phase in Romania as a result of the COVID 19 crisis, the invasion of Russia in Ukraine, in a general sense, and the liberalization of the clothing trade, the reduction of lohn contracts and the transition of periods of economic crisis, in particular meaning. This paper aims to present the methods by which the expenses from the production activity of the companies in the Romanian clothing industry can be analyzed and reduced. We consider this scientific research necessary because the overall analysis of expenses allows evaluating the credible and complete financial performance of the targeted activity sector. The empirical study presents a factorial analysis of expenses in the clothing industry at the microeconomic level - the chosen commercial company is representative in Romania, and the research study is conducted between 2016-2022. Following the establishment of the necessary corrections to ensure healthy principles of carrying out clothing manufacturing activities at the analyzed company, the performance analysis results through operating expenses, financial expenses and those related to income showed a low efficiency from an economic perspective in most periods.