| dc.description.abstract | — Main purpose of this study is to investigate
whether there is an impact of market power on leverage of
listed manufacturing companies in Sri Lanka, because
manufacturing sector has grown faster and has large
number of listed companies compared to other sectors in
the Sri Lankan economy. The population of the study is
forty one companies and thirty five companies were
selected, based on the data availability for the study.
Annual reports of the listed manufacturing companies
from 2013 to 2017 were used as the secondary data source
to collect data. Market power, profitability, growth &
tangibility are used as independent variables and leverage
is the dependent variable. Data analysis was conducted
using Eviews statistical package and several statistical
measures such as descriptive analysis, correlation analysis
and panel data regression analysis were used as analysis
techniques. The study has proved that there is a significant
and positive relation between market power and leverage.
Profitability & tangibility remained significantly negative
with leverage, whereas growth is remained significantly
positive with leverage. The study generates valuable
insight in the area of market power and leverage as little
as known in Sri Lankan context. | |
