In conclusion, it appears safe to summarise that the sample companies seem to be following sound financial management practices. Needless to say, there are several areas where more emphasis in training and practice could further enhance financial decision-making (this has been highlighted in the form of a normative framework at the end of the chapters). Nonetheless, this research adds to the body of knowledge on financial decision-making by showing where Indian companies stand in this decade and identifying specific areas for improvement. There are surprising (rather positive) findings like use of WACC, extensive use of DCF methods, prevalence of use real options, easy financing of assets, aggressive working capital management, adequate coverage of total external obligations, stable dividend policies and encouraging profitability and efficiency levels, indicating the growing sophistication in financial decision-making.
KeywordsCorporate Governance Capital Structure Capital Budget Sample Company Work Capital Management
- Jain PK, Yadav SS (2005) Financial management practices – a study of public sector enterprises in India. Hindustan Publishing Corporation, New DelhiGoogle Scholar