Abstract:
Purpose-This study investigates understanding the determinants of managerial ownership and the link between ownership and performance. The basic purpose of the research study was to analyze determinants which are affecting the performance of an organization along with that evaluating the profitability of the firm with various factors such as compensation, top management, service director, firm size and sales on the firm‘s profitability. Methodology/sample-Sampling techniques used in the dissertations are distinct because these are selected on the basis of convenience for the researchers. In this research study, the companies were selected which were available conveniently that are operating in the industry for more than seven years. The factor of convenience was involved in the techniques of sampling because many of the companies do not allow anyone outside the company to use their data. Findings-Annual reports of the companies were evaluated in order to analyze and retrieve the appropriate findings. It is concluded that firm Size, top management per firm and serving directors have no significant relationship with firm‘s profitability. On the other hand sale has significant relationship with firm‘s profitability.
Practical Implications-From results, it is very clear that trades are very important as far as their relation with productivity of a firm is concerned. So, a company should increase their number of trades to prosper. This is a necessary step because without it the chances of better performance in future prospects are considerably less.
Limitations: The major limitation faced in this research where the time constraints. The time allocated for each activity was not enough that‘s why the time limit was increased for each activity. The second limitation was the data viability and also the availability.