Abstract:
The firm’s performance is vital to the healthy economy. All owners of the firm, managers
and employees are trying to make their firm’s performance in a positive way. But the
internal and external factors always affect the firm performance and can control the firm
performance's positive path or negative path. Therefore, this study aims to examine the
impact of internal business factors on firm performance in the tea industry perspective
in Rathnapura district of Sri Lanka. The firm performance was measured using
attributes of profitability and future viability by considering whole 212 top-level
managers in tea factories in the Rathnapura district as sample. A structured
questionnaire was used to collect the data and collected data was analyzed by SPSS.
The findings revealed that managerial factors, workplace factors, and entrepreneurial
factors, explain approximately 83.9% of the variance in firm performance. Further, β
value indicates when managerial factors, workplace factors, and entrepreneurial
factors, increase by one-unit and firm’s performance increase by 0.336, 0.106, and
0.453 respectively. In addition, the findings indicate that management factors have
statistically significant on the overall performance of the organization. Since there are
no sufficient studies in Sri Lanka, the findings of this study will provide information to
stimulate positive decisions for relevant businesses.
