Key factors in working capital management in the Brazilian market

Many studies have been conducted in corporate finance regarding long-term investment and financing decisions. However, short-term asset investments play a significant role in the balance sheet of companies. Moreover, financial managers dedicate significant amounts of time and effort to the subject of working capital management, balancing current assets and liabilities. This paper provides insights regarding the key factors of working capital management by exploring the internal variables of a number of companies. This study used data from 2,976 Brazilian public companies from 2001 to 2008, and found that debt level, size and growth rate can affect the working capital management of companies.

STRATEGIC DECISIONS OF FAMILY FIRMS ON CASH ACCUMULATION

ABSTRACTGiven the particular strengths, weaknesses, and peculiarities of family firms as well as the importance of liquidity in today’s marketplace, we analyze the distinct characteristics and strategies of family businesses related to the amount of cash a firm holds. We look beyond the traditional factors that influence decisions related to cash management to examine factors that are particularly important for family firms. Specifically, we outline the relevance of strategic decisions guided by family firms’ conservatism, flexibility, long-term view, and the active control that they have over family members. To our knowledge, no prior studies exist regarding family firms and their strategic adjustment of cash holding. Therefore, we investigate whether the ownership structure of the firm (through the presence of a controlling family) moderates decisions on cash holding. We found that family firms tend to accumulate cash for strategic reasons and as a result of their own idiosyncrasies. Thus, family firms can achieve optimal cash accumulation more efficiently than non-family firms.

Are sustainable companies less risky and more profitable?

The purpose of this study was to determine whether there were significant differences in accounting indicators when comparing sustainable enterprises to other similar companies that are not considered as sustainable. The Corporate Sustainability Index of BM (São Paulo Stock, Commodities and Futures Exchange) was the criterion selected to break down the samples into sustainable and non-sustainable enterprises. The accounting indicators were separated into two kinds: risk (dividend payout, percentage growth of assets, financial leverage, current liquidity, asset size, variability of earnings, and accounting beta) and return (ROA, ROE, asset turnover, and net margin). We individually analyzed the companies in the energy sector, followed by those in the banking sector, as well as the entire ISE portfolio as of 2008/2009, including all the sectors. Mann-Whitney tests were performed in order to verify the difference of the means between the groups (ISE and non-ISE). The results, considering the method chosen and the time span covered by the study, indicate that there are no differences between sustainable companies and the others, when they are assessed by the accounting indicators used here.

Efeitos da precificação, da diferenciação e da oferta de valor no desempenho de marcas em contextos competitivos

As marcas têm desempenhos distintos em participação de mercado e margem de lucro, que podem ser estimulados se elas estiverem competindo com poucos concorrentes ou desestimulados se estiverem competindo com muitos concorrentes. No varejo, as marcas próprias de supermercado e as de fabricantes têm desempenhos dentro desses contextos competitivos. Neste estudo, investigaram-se os efeitos das estratégias de marketing utilizadas pelos varejistas no desempenho de marcas de supermercado e de fabricantes em níveis distintos de contextos competitivos. Foram utilizados dados secundários de precificação, diferenciação, margem de lucro e participação de mercado de marcas provenientes de uma rede de supermercado e, complementarmente, via survey, coletados dados sobre o valor percebido (familiaridade e percepção de qualidade) de cada uma delas junto a consumidores no supermercado. A amostra foi composta por 111 marcas de 15 produtos comercializados ao longo de 234 dias. Os resultados da regressão demonstraram que estratégias de marketing (precificação premium, variação do preço promocional, nível de diferenciação e oferta de opções com diferentes valores) exercem efeitos sobre o desempenho (participação de mercado e margem de lucro), mas são diferentes para marcas de supermercado e para as de fabricantes em contextos competitivos distintos. Este trabalho auxilia os gestores de marcas na identificação dos contextos para executarem as estratégias supracitadas.

Adubação nitrogenada em milho pelo monitoramento do nível de nitrogênio na planta por meio do clorofilômetro

O monitoramento do nível adequado de nitrogênio (N) na planta de milho tem como objetivo diagnosticar a necessidade ou não de sua aplicação, visto que o emprego de altas doses deste nutriente pode contaminar as águas superficiais e subterrâneas com nitrato. O objetivo deste trabalho foi avaliar o teor de clorofila na folha, medido por meio do clorofilômetro como indicador do nível de N na planta de milho, em quatro estádios de desenvolvimento. Um experimento foi realizado no município de Eldorado do Sul, na região fisiográfica da Depressão Central do estado do Rio Grande do Sul, no ano agrícola de 1999/2000. Os tratamentos constaram de dois híbridos de milho (Pioneer 32R21 e Premium) e de oito sistemas de manejo de N em cobertura. As variáveis avaliadas, rendimento de grãos, teor e acúmulo de N na folha e na planta, nos sistemas monitorados com o clorofilômetro, não diferiram em relação aos sistemas padrões em que o N foi aplicado, independentemente das leituras efetuadas. Com o monitoramento do nível de N na planta do híbrido Pioneer 32R21, houve redução de aplicação de 50, 100 e 150 kg ha-1 de N, respectivamente, nos sistemas S3, S4 e S5 e, no híbrido Premium, de 150 kg ha-1 de N, no sistema S5, sem influir no rendimento de grãos de milho. Portanto, o monitoramento do nível de N na planta de milho por meio do valor correspondente do teor de clorofila na folha, obtido pelo clorofilômetro, evidenciou ser eficiente método para separar plantas com deficiência e com nível adequado deste nutriente.

Armazenamento de goiabas 'Paluma' sob refrigeração e em condição ambiente, com e sem tratamento com cera de carnaúba

Objetivou-se com o presente trabalho avaliar os efeitos de coberturas de cera de carnaúba Premium citrus® na conservação de goiabas 'Paluma', armazenadas sob refrigeração e em condição ambiente, pelo período de 12 dias. As características avaliadas foram perda de massa, deterioração, teores de sólidos solúveis totais (SST), acidez titulável (AT), teor de ácido ascórbico, clorofila total e firmeza da polpa. Revestimento com cera de carnaúba diminuiu a perda de massa e a degradação de clorofila das goiabas, contudo sua aplicação propiciou aumento de vida útil apenas para as frutas mantidas sob condição ambiente.

Caracterização por ressonância magnética nuclear de sucos de maçã obtidos por preparações enzimáticas

In this work, ¹H Nuclear Magnetic Resonance (¹H NMR) was employed to evaluate changes in apple juice in response to the addition of Panzym® Yieldmash and Ultrazym® AFP-L enzymatic complexes and compare it with premium apple juice. The juice was processed at different temperatures and concentrations of enzymatic complexes. The differences in the results were attributed mainly to the enzyme concentrations, since temperature did not cause any variation. A quantitative analysis indicated that the concentration of fructose increased while the concentrations of sucrose and glucose decreased in response to increasing concentrations of the enzymatic complexes.

The contagion effect of public debt on monetary policy: the Brazilian experience

This paper attempts to explain why the Brazilian inter-bank interest rate is so high compared with rates practiced by other emerging economies. The interplay between the markets for bank reserves and government securities feeds into the inter-bank rate the risk premium of the Brazilian public debt.

Liquidez internacional e ciclo reflexo: algumas observações para a América Latina

International liquidity and reflex cycle: some observations to Latin America. The international financial instability of the 1990 has been analysed in several occasions on Minskyan perspectives. The paper is based on this theoretical approach and intends to demonstrate that the financial fragility hypothesis is very useful to the analysis of the cycle in peripheral economies, which real performance is associated to the availability of international liquidity. The analysis is based on three Latin American countries: Brazil, Argentina and Mexico.

Can future systemic financial risks be quantified?: ergodic vs nonergodic stochastic processes

Different axioms underlie efficient market theory and Keynes's liquidity preference theory. Efficient market theory assumes the ergodic axiom. Consequently, today's decision makers can calculate with actuarial precision the future value of all possible outcomes resulting from today's decisions. Since in an efficient market world decision makers "know" their intertemporal budget constraints, decision makers never default on a loan, i.e., systemic defaults, insolvencies, and bankruptcies are impossible. Keynes liquidity preference theory rejects the ergodic axiom. The future is ontologically uncertain. Accordingly systemic defaults and insolvencies can occur but can never be predicted in advance.

Crescimento econômico e liquidez externa no Brasil após 1970

Economic growth and foreign liquidity in Brazil after 1970. This paper assesses the relationship between the capital account and the Brazilian economic growth according to balance-of-payments constraint approach. The Thirlwall (1979)'s simple rule is extended to take into consideration capital account and several empirical evidence using time series analysis are shown. Conversely to the simple rule when fitted rates of balance-of-payment equilibrium economic growth average bellow the observed ones, fitted rates of growth using the rule extended to international liquidity are consistently greater than the observed ones. It is fair to conclude that, first, the Brazilian economy grows better during abundant international liquidity and, second, the economy sub utilizes such advantage growing far less than it could grow.

Cooperação monetária e financeira: o que é bom para a Ásia também é para a América Latina?

Monetary and financial cooperation: what is good to Asian is also good to Latin America?. This article compares the Asian and Latin American experiences with monetary cooperation. It is argued that in the latter such cooperation has hardly progressed, due to low degree of regional integration, the recurrent use of multilateral institutional resources to deal with external shocks and the lack of clear objectives: monetary cooperation is some times seen as a means to foster integration, but also as a means to provide long term funds and as a source of liquidity in foreign currencies. In Asia, differently, cooperation has apparently not been so instrumental to regional integration, but has proven to be quite important as a means to build a regional capital market as well as a mechanism to deal with external shocks.

Crescimento e industrialização no Brasil: uma interpretação à luz das propostas de Kaldor

Growth and industrialization in Brazil. In this paper, based on the writings of Kaldor and his followers, we compare two phases of Brazilian economic growth, one showing fast growth rate and other with lack of growth. Our aim is to analyze the Brazilian economic behavior in the last 40 years, pointing out economic policy intervention, structural change, foreign trade and capital flows as determinants to account for gross product development path performance. Our aim is to shed some light on which is the potential rate of growth of the Brazilian economy nowadays, considering its historical growth path and recent structural changes in the industrial sector.

Causação circular do crescimento das economias em desenvolvimento: uma ponte entre as abordagens evolucionária e pós keynesiana

Based on the Post Keynesian approach and on the Evolutionary literature, this study seeks to demonstrate the causal relationships between the National Innovation System and the national and international financial systems. This study shows that there is a circular causation in the less developed economies that contributes to the immaturity of its National Innovation System and to its structural external vulnerability. Conclusions highlight that the cycles in the less developed economies mirror the cycles of international liquidity.