The Impact of Macroeconomic Environment on Cost Stickiness: Evidence from China
- DOI
- 10.2991/aebmr.k.210917.033How to use a DOI?
- Keywords
- Cost stickiness, Macroeconomic environment, GDP, Empirical research
- Abstract
Macroeconomic factors affect the cost of enterprises. The article uses the data of Chinese listed companies from 2011 to 2019 to verify that Chinese listed companies still have cost stickiness, and at the same time we empirically tests the impact of macroeconomic factors on the cost stickiness of Chinese listed companies from macro-financial management perspective. Our research indicates, under the circumstance that the situation of overall trend of GDP growth rate is declining, and the growth rate of individual years has increased, the company managers ignore the trend of GDP growth rate, fail to make timely adjustments, and blindly maintain excessive idle resources, inhibiting downsizing, leading to a higher level of cost stickiness. Empirical results prove that macroeconomic environmental factors can increase the stickiness of costs. Our research deepens the explanation of cost stickiness from the macro financial management perspective, we make up for the lack of cost stickiness research, enriches the academic literature of macro financial management, and helps Chinese listed companies reduce cost stickiness.
- Copyright
- © 2021, the Authors. Published by Atlantis Press.
- Open Access
- This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).
Cite this article
TY - CONF AU - Tingting Li AU - Zhenning Zhang PY - 2021 DA - 2021/09/18 TI - The Impact of Macroeconomic Environment on Cost Stickiness: Evidence from China BT - Proceedings of the 2021 International Conference on Financial Management and Economic Transition (FMET 2021) PB - Atlantis Press SP - 209 EP - 212 SN - 2352-5428 UR - https://doi.org/10.2991/aebmr.k.210917.033 DO - 10.2991/aebmr.k.210917.033 ID - Li2021 ER -