Moderating Effect of Liquidity Risk on the Organisational Culture, Working Capital Management and Innovation towards Firm Performance

Purpose: The propose of this study is to investigate the moderating effect of liquidity risk on the relationship between organizational culture, working capital management and innovation towards firm performance. Methodology: Total of 311 questionnaire were distributed in order to test the relationship between the independent and dependent variables. Questionnaire were distributed and collected with self-report and with google forms. This study also used Statistical Packages for the Social Science (SPSS) to test the hypothesis of this study. A total of six hypotheses were distributed in this study. Findings: As a result, out of six hypothesis, three hypothesis were tested as positive and three hypothesis tested as negative. Unique Contribution to Theory, Practice and Policy: It also suggests that firms need to consider liquidity risk as a strategic step that needs to be taken into account. The first implication of the theory is that this study has contributed resourced-based theory.