Corporate Life Cycle and Firms’ Performance: An Empirical Study on DSE Listed Companies (Miscellaneous Sector)

Abstract

This study investigates 12 DSE listed miscellaneous companies' performance based on Dickinson's cash flow and life-cycle measure theory. This correlational research is conducted using the magnitude of cash flows and other variables. Finally, the interpreted regression analysis shows the profitability status of firms in their life-cycle proxies. The result shows strong evidence about the positive association of long-term debt, short-term liquidity, and meeting frequency with sample firms' profitability. Likewise, this research shows a negative association of inventories, Female BOD members, Board Size, and independent Board of directors with sample firms' profitability (ROA). This research also shows a robust positive association between firms' profitability and the life-cycle decline stage.

The report has five chapters. Chapter one is the introductory part, comprising the research objective, limitations, theoretical and practical contribution of the study, and thesis framework. The second chapter is 'Literature Review,' which contains corporate life cycle theory and research objective, summaries of related research papers, and articles. Chapter three is 'Research Methodology,' which includes detailed data collection methods, sample size description, research model (Regression model), and specific definitions of variables. Chapter four is 'Results analysis,' comprising descriptive statistics, correlation statistics, regression results with interpretation, and other relevant tables and figures. Finally, Chapter Five is 'Findings, Recommendations & Conclusion' - including significant findings and recommendations with further research scope at the end of this thesis report.