Return on equity determinants and Covid-19 pandemic impacts on Latin America companies: A panel data study

Authors

DOI:

https://doi.org/10.19094/contextus.2023.82315

Keywords:

ROE determinants, Covid-19, Latin America, panel data, fixed effects regression

Abstract

This research investigates the determinants of ROE and the impact caused by the Covid-19 pandemic on public companies in Latin America. The fixed effects regression model with panel data is used to identify that factors related to sales policies and cost controls are the ones that contribute the most to ROE performance, regardless of the period. On the other hand, the level of indebtedness and macroeconomic indicators are not significant, strengthening the finding that the operational and internal decisions of the company contribute more strongly to maximizing shareholder returns. This verification helps financial managers in directing decisions and expands academic knowledge on this topic. 

Author Biographies

Claudia Lebre-Rodrigues, Mackenzie Presbyterian University

Master’s in Business Administration from Mackenzie Presbyterian University (UPM) 

Wilson Toshiro Nakamura, Mackenzie Presbyterian University (UPM)

Professor at Mackenzie Presbyterian University (UPM)  

PhD in Business Administration from São Paulo University (USP) 

Johnny Silva Mendes, Armando Álvares Penteado University Center (FAAP)

Professor at the Armando Álvares Penteado University Center (FAAP) 

PhD in Business Administration from Mackenzie Presbyterian University (UPM) 

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Published

2023-06-27

How to Cite

Lebre-Rodrigues, C., Nakamura, W. T., & Mendes, J. S. . (2023). Return on equity determinants and Covid-19 pandemic impacts on Latin America companies: A panel data study. Contextus - Contemporary Journal of Economics and Management, 21, e82315. https://doi.org/10.19094/contextus.2023.82315

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Vol. 21: jan/dez 2023

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