The effect of working capital management strategy on economic performance with the emphasis on the capital productivity management in the accepted companies listed in Tehran Stock exchange

Increasing the shareholders’ wealth is the main objective of every company. The success of a company is largely based on the financial manager's ability in establishing the capital productivity of the company. The amount of working capital affects the amount of liquidity and capital productivity of the company. This study investigated the effect of aggressive working capital management strategy on economic performance with emphasis on the capital productivity management based on the annual financial statements for the period of time between 2008 to 2013 one hundred and two companies were evaluated. The measurement standard for working capital strategy variable is (the working capital net ratio), the company's capital productivity (EVA, REVA, MVA and the company's value). The panel data was used to analyize the hypotheses. The results showed that the effect of working capital strategy on EVA, REVA with greater capital productivity was high but capital productivity on the relationship between the strategy of working capital and market value added and firm value did nt have significant effect.