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Payment Discipline Depends on Management Ethics

Author

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  • Tanja Sirk
  • Maja Mesko

    (University of Primorska, Slovenia)

Abstract

The main aim of the study was to identify if management ethics have a positive impact on payment discipline. Our sample includes 273 Slovene enterprises, which represent 9.1% of 2978 Slovenian enterprises with 10 or more employees, selected from the database of the Slovenian rating agency I d.o.o. To determine management ethics, we used the Corporate Ethical Virtues measurement instrument questionnaire. The data concerning average late payments were also obtained from the database the Slovenian rating agency I d.o.o. We conducted a factor analysis using the enter method. We confirmed that the influence of management ethics have a positive impact on average payment delays expressed in days.

Suggested Citation

  • Tanja Sirk & Maja Mesko, 2016. "Payment Discipline Depends on Management Ethics," Management, University of Primorska, Faculty of Management Koper, vol. 11(2), pages 139-152.
  • Handle: RePEc:mgt:youmng:v:11:y:2016:i:2:p:139-152
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    References listed on IDEAS

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    1. Mojca Duh & Jernej Belak & Borut Milfelner, 2010. "Core Values, Culture and Ethical Climate as Constitutional Elements of Ethical Behaviour: Exploring Differences Between Family and Non-Family Enterprises," Journal of Business Ethics, Springer, vol. 97(3), pages 473-489, December.
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    Keywords

    management; ethics; late payments;

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