Authors :
Fatat Abdulhussein Khudhair; Qahtan Bunyan Ali Allah; Nassrullah Hamdan Abbood
Volume/Issue :
Volume 9 - 2024, Issue 9 - September
Google Scholar :
https://tinyurl.com/mw2n83s9
Scribd :
https://tinyurl.com/544waxyv
DOI :
https://doi.org/10.38124/ijisrt/IJISRT24SEP995
Note : A published paper may take 4-5 working days from the publication date to appear in PlumX Metrics, Semantic Scholar, and ResearchGate.
Abstract :
This study focuses on the importance of
financial analysis in the decision-making processes within
Al-Etihad Food Industries Company. Financial analysis is
a critical tool that helps managers evaluate the company's
financial health, profitability, and overall performance. By
analyzing financial statements, ratios, and trends, decision-
makers can identify areas of strength and weakness,
enabling them to make informed strategic decisions.
The research highlights how financial analysis aids in
resource allocation, cost control, and forecasting future
growth. It also examines specific financial indicators, such
as liquidity ratios, profitability margins, and debt
management, to demonstrate how these factors impact
both short-term and long-term planning.
In the case of Al-Etihad Food Industries, the study
demonstrates that financial analysis has played a pivotal
role in improving operational efficiency, optimizing
investments, and responding to market changes. By
integrating financial data into the decision-making
process, the company has been able to strengthen its
competitive position and achieve sustainable growth.
References :
- Muflih Aql, Introduction to Financial Management and Financial Analysis, Dar Al-Mustaqbal for Publishing, Amman, 2000, p. 79.
- Ziad Ramadan, Fundamentals of Financial Analysis, Dar Wael for Publishing, 4th ed., Amman, 1998, p. 11.
- Khaldoun Ibrahim Sharifat, Management and Financial Analysis, Dar Wael for Publishing, 2011, p. 119.
- Khalil Muhammad Hassan Al-Sama, Principles of Business Administration, Dar Al-Kutub for Printing and Publishing, Baghdad, p. 102.
- Hussein Harim Shafiq Haddad, Fundamentals of Management, Dar Al-Hamid, Amman, Jordan, 1988, p. 140.
- Al-Yamin Saada, The Use of Financial Analysis in Evaluating the Performance of Economic Institutions to Rationalize Their Decisions, Master's Thesis, University of Batna, 2008, p. 35.
- Ismail Al-Sayed, Information Systems for Administrative Decision-Making, Arab Modern Office, Alexandria, 2000, p. 42.
- Ross, S. A., Westerfield, R., & Jordan, B. D. (2019). Fundamentals of Corporate Finance. McGraw-Hill Education.
- Helfert, E. A. (2001). Techniques of Financial Analysis: A Guide to Value Creation. Journal of Business Finance & Accounting, 28(1), 1-16.
- Chenhall, R. H., & Langfield-Smith, K. (2007). Multiple Perspectives of Performance Measures. European Accounting Review, 16(1), 61-86.
- Jensen, M. C., & Meckling, W. H. (1976). Theory of the Firm: Managerial Behavior, Agency Costs, and Ownership Structure. Journal of Financial Economics, 3(4), 305-360.
- Yoon, S. S., & Lee, J. (2014). The Use of Financial Ratios for Decision Making in the Food and Beverage Industry. Journal of Food Industry Research, 22(3), 203-217.
This study focuses on the importance of
financial analysis in the decision-making processes within
Al-Etihad Food Industries Company. Financial analysis is
a critical tool that helps managers evaluate the company's
financial health, profitability, and overall performance. By
analyzing financial statements, ratios, and trends, decision-
makers can identify areas of strength and weakness,
enabling them to make informed strategic decisions.
The research highlights how financial analysis aids in
resource allocation, cost control, and forecasting future
growth. It also examines specific financial indicators, such
as liquidity ratios, profitability margins, and debt
management, to demonstrate how these factors impact
both short-term and long-term planning.
In the case of Al-Etihad Food Industries, the study
demonstrates that financial analysis has played a pivotal
role in improving operational efficiency, optimizing
investments, and responding to market changes. By
integrating financial data into the decision-making
process, the company has been able to strengthen its
competitive position and achieve sustainable growth.