Financial Characteristics Effect on Vietnam Small and Medium Enterprises' Profitability

초록

This paper examines the relationship between financial characteristics of Vietnam SMEs and profitability to find what determinant of financial characteristics impact on SME profitability. Findings showed that liquidity and leverage are negatively related to SME profitability; and turnover, are positively related to SME’s profitability. All three hypotheses are supported. By examining the relationship between these three financial characteristics and SME profitability, this study also contributes to further researches in this field