A Review of Literature on the Impact of External Factors on Capital Structure Choices with Reference to MSME in the PCMC Area

Authors

  •   Deepali Nilesh Jogdand Research Scholar, Dr. Vithalrao Vikhe Patil Foundation I.B.M.R.D. Ahmednagar
  •   Jain Megha Arunkumar Research Guide, Dr. Vithalrao Vikhe Patil Foundation I.B.M.R.D., Ahmednagar

DOI:

https://doi.org/10.17697/ibmrd/2024/v13i1/173528

Keywords:

MSMEs, Capital Structure Choices. External Factors, Debt-Equity Ratio, Financial Access, Technological Innovation, Regulatory Environment

Abstract

This study is related to review of literature to know the impact of external factors on the capital structure choices of MSMEs in the Pimpri Chinchwad Municipal Corporation (PCMS) area. The primary objectives are to identify key external factors affecting capital structure decisions, examine their correlation, explore their impact on the Debt-Equity Ratio, and provide recommendations for enhancing the financing environment for MSMEs. The research methodology involves selecting 45 MSMEs in the PCMS area and gathering opinion-based ratings from competent executives for some variables, while compiling secondary data for others, including the Debt-Equity Ratio. A regression analysis is employed to explore the relationship between independent variables such as Market Conditions, Regulatory Environment, and Government Policies, and the dependent variable, Debt-Equity Ratio.The findings reveal several significant relationships between external factors and the Debt-Equity Ratio of MSMEs.

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Published

2024-03-09

How to Cite

Jogdand, D. N., & Arunkumar, J. M. (2024). A Review of Literature on the Impact of External Factors on Capital Structure Choices with Reference to MSME in the PCMC Area. IBMRD’s Journal of Management & Research, 13(1), 91–96. https://doi.org/10.17697/ibmrd/2024/v13i1/173528

Issue

Volume 13, Issue 1, March 2024

Section

Articles
Crossref
Scopus
Google Scholar
Europe PMC

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