Transition, Vol. 25. No. 50., 2022.
Original scientific paper
THE IMPACT OF THE COVID-19 PANDEMIC ON THE BUSINESS PERFORMANCE OF COMPANIES IN THE FEDERATION OF BiH
Džafer Alibegović
orcid.org/0000-0001-8110-9291
*
Esad Mahmutović
*
* Corresponding author.
Abstract
The crisis caused by the COVID-19 pandemic, according to the consequences in the business environment, is one of the unprecedented events. The cessation of business, trade and investment has left numerous and multifaceted consequences for the global economy. The consequences for the economy of the Federation of BiH were inevitable. However, the question arises as to whether all companies are equally affected, and whether all aspects of business performance are equally affected.In this paper, we looked at the effects of the pandemic crisis on business performance, in terms of the size of the company and the areas of activity, in the entire population of over 23,000 companies in the Federation of BiH. We observed the movement of indicators of liquidity, financial stability, efficiency of asset management, and profitability and return on investment. The results of the research show that not all companies have suffered the same consequences, ie that the size of the company is related to the resistance to sudden events. We also found that the first to be hit was the efficiency of asset management, and that most companies maintained liquidity and solvency, as well as that profitability was significantly preserved. Finally, the results point to an unequal distribution of the effects of the pandemic across economic sectors, where tourism has suffered the most devastating consequences.
Keywords
Hrčak ID:
313070
URI
Publication date:
6.1.2024.
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