摘要：The paper examines the influence of the business cycle on working capital management strategies
based on evidence from the Polish corporate sector. By exploring the interrelation between working
capital investment and profitability ratios, we attempt to define the respective transmission
mechanisms and summarize the principles of sound financial management across the economic
cycle. We found that more profitable companies tend to implement a more conservative working
capital management strategy during recessions and that underperforming firms may be urged
to cut working capital in response to plummeting cash flows. The accumulation of precautionary
cash reserves appears to help firms navigate through times of economic turmoil. The paper highlights
the importance of working capital management for optimizing a firm’s profitability. Research
outcomes may point to the redistributive function of trade finance under conditions of financing
constraints, which become particularly acute during troughs aggravated by a credit market crunch.
关键词：working capital; business cycle; profitability
