The Interrelationship between Culture and Capital Structure: Evidence from International Retailers

Abstract

The present study investigates the influence of cultural factors in 2022 on the capital structure of global retailers. There are sixteen retailers from eight countries in the sample. In recent times, numerous academicians have taken an interest in examining the capital structure and business model of retailers, owing to their swift and consistent growth. However, the fact that the majority of research originates from the retailers’ host country gives rise to debate regarding the applicability of the capital structure of said retailers to countries with distinct cultural environments. Consequently, academics have begun to investigate whether the capital structure of multinational retailers is impacted by the diversity of national cultures.