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The Mechanisms of Creating Value vs. Financial Security of Going Concern—Sustainable Management

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  • Jarosław Kaczmarek

    (Department of Economics and Organization of Enterprises; Faculty of Management; Cracow University of Economics, 27 Rakowicka St., 31–510 Cracow, Poland)

Abstract

The subject of this research study is the quantification of corporate value creation in relation to the level of the financial security of a company’s functioning. The research aims to compare the two mechanisms. Assessments concern the degree of the balancing of effects in the context of value creation and financial security sustainable management. The analysed entities comprise all the manufacturing enterprises in Poland in 2007–2018, included in public statistical data. In light of the above, the study is unique in character, comprising the broadest possible range of entities. The results support the main hypothesis—which is subordinated to the study’s adopted main target—as well as five sub-hypotheses. The study employs a multifaceted logit model of financial security, and the multifaceted value measure. The paper examines value drivers as well as financial security explanatory variables. The study makes use of cause and effect analysis, object relocation analysis and an analysis of the variability and clustering of objects. On the basis of the detailed research findings, the following rule was demonstrated: there is a directly proportional relationship between the effects of the value creation process and the ensuring of financial security in manufacturing enterprises (compliance with the sustainable management principle).

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  • Jarosław Kaczmarek, 2019. "The Mechanisms of Creating Value vs. Financial Security of Going Concern—Sustainable Management," Sustainability, MDPI, vol. 11(8), pages 1-24, April.
    • Handle: RePEc:gam:jsusta:v:11:y:2019:i:8:p:2278-:d:223080
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    Cited by:

    1. Jarosław Kaczmarek, 2022. "The Balance of Outlays and Effects of Restructuring Hard Coal Mining Companies in Terms of Energy Policy of Poland PEP 2040," Energies, MDPI, vol. 15(5), pages 1-30, March.
    2. Jaroslaw Kaczmarek & Sergio Luis Nanez Alonso & Andrzej Sokolowski & Kamil Fijorek & Sabina Denkowska, 2021. "Financial threat profiles of industrial enterprises in Poland," Oeconomia Copernicana, Institute of Economic Research, vol. 12(2), pages 463-498, June.
    3. Diana da Silva & Danie Schutte & Jhalukpreya Surujlal, 2021. "Unpacking the IFRS Implications of COVID-19 for Travel and Leisure Companies Listed on the JSE," Sustainability, MDPI, vol. 13(14), pages 1-20, July.
    4. Piotr Staszkiewicz, 2019. "Search for Measure of the Value of Baltic Sustainability Development: A Meta-Review," Sustainability, MDPI, vol. 11(23), pages 1-12, November.
    5. Jarosław Kaczmarek & Konrad Kolegowicz & Wojciech Szymla, 2022. "Restructuring of the Coal Mining Industry and the Challenges of Energy Transition in Poland (1990–2020)," Energies, MDPI, vol. 15(10), pages 1-48, May.
    6. Ahmed Farouk Kineber & Idris Othman & Ayodeji Emmanuel Oke & Nicholas Chileshe & Mohanad Kamil Buniya, 2020. "Identifying and Assessing Sustainable Value Management Implementation Activities in Developing Countries: The Case of Egypt," Sustainability, MDPI, vol. 12(21), pages 1-20, November.
    7. Nadezhda S. Piontkevich & Ekaterina G. Sheina, 2021. "Financial aspects of ensuring sustainable development of small and medium-sized businesses in the face of new challenges," Journal of New Economy, Ural State University of Economics, vol. 22(1), pages 105-130, April.
    8. Wael Alattyih & Husnain Haider & Halim Boussabaine, 2019. "Development of Value Creation Drivers for Sustainable Design of Green Buildings in Saudi Arabia," Sustainability, MDPI, vol. 11(20), pages 1-33, October.
    9. Ewa Chomać-Pierzecka, 2023. "Pharmaceutical Companies in the Light of the Idea of Sustainable Development—An Analysis of Selected Aspects of Sustainable Management," Sustainability, MDPI, vol. 15(11), pages 1-23, May.

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