The Impact of Credit Controls on the Financial Performance Retail Business Firm. A Case Metropeech.

Author

MacDonald Takudzwa Mashiri

Title

The Impact of Credit Controls on the Financial Performance Retail Business Firm. A Case Metropeech.

Abstract

The Research sought to examine the effects of the objectives to identify the effect of control activities, influence of communication and information and lastly to investigate the effect of monitoring on the financial performance of a firm. The Agency and Positive theory were used for this research. The agency theory states that firms are founded by principals who are proprietors of resources and the agents as the management who oversee the use of resources. The study was conducted at MetroPeech Chitungwiza in Seke. The researcher used a positivist paradigm as the philosophical outlook of the research. The researcher used descriptive research methodology as the research design .A sample size of 120 employees were targeted in the research. Questioners were used as data collection instruments in the research. The findings show that respondent total risk assessment positively affects liquidity management and lowers management costs. The research shows that consistent use of internal auditing has positive impact on the organization bottom line. The findings also concluded that significant cost reduction can be achieved in various areas such as advertising, staffing, and Branch management. The study also acknowledged the advantage of investing in accounting Information system (AIS). The research recommends that changing from a strict to a more effective will enhance debt collection techniques. The research also concluded that using advanced accounting systems will in a way help an organizations relationship with its customers. The research also concluded that employee training helps towards the effectiveness of credit control measures.

Date

2023

Publisher

BUSE

Keywords

Credit Controls

Retail Business

Metropeech

Supervisor

N/A