Advances in Consumer Research
Issue 2 : 1450-1458
Original Article
Mediating Impact Of Sustainable Growth: Evidence from Nifty
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1
Department of Commerce, Faculty of Science and Humanities, KTR Campus SRM Institute of Science and Technology, Tamil Nadu - 603 203.
Abstract

The study examines the mediating role of profitability on the link between working capital management and sustainable growth for non-financial companies listed in the NIFTY 50 index. The Baron and Kenny mediation model, along with the Sobel test, is utilized to confirm the mediating effect of profitability. The study asserts that firms can attain sustainable growth by optimizing their Cash Conversion Cycle (CCC) and improving profitability, hence fostering long-term stability and competitiveness. The study demonstrates a substantial inverse association between CCC and profitability, indicating that a reduced CCC enhances asset utilization and cash flow management. A significant association exists between profitability and sustainable growth, indicating that firms with higher ROA can maintain expansion without dependence on external finance. The study addresses a deficiency in the 
current literature by investigating the indirect influence of WCM on sustainable growth via profitability, providing essential insights for managers aiming to improve financial performance and sustainable development. The study highlights the significance of strategic working capital management in reconciling growth objectives with financial stability, offering a framework for companies seeking to enhance their financial strategies for sustained success. 

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