Main Article Content
This study has empirically investigated the impact of macroeconomic factors on the performance of the pharmaceutical company’s profitability in Bangladesh. Data have been collected from four pharmaceutical companies in Bangladesh from the year 2000-2018. For analysis of data SPSS 22 has been used, and different statistical tools have used like, Descriptive Statistics, ANOVA, Regression, etc. Macroeconomic factors measured by Gross Domestic Product (GDP), Inflation rate (INF), Interest rate (IR), and Real exchange rate (RER), while company performance is indicated by Return on Asset (ROA). For this study, ROA has been selected as a Dependent variable and Gross Domestic Product (GDP) Inflation rate (INF), Interest rate (INT) and Real exchange rate (RER) selected as independent variables. ‘Multiple Linear Regression’ has been used to examine the degree of the relationship of macroeconomics factors towards the company’s performance. The results conclude that there has a positive relationship between GDP, INF, and RER with ROA but their relations are not statically significant. In the meantime, there is a significant negative correlation between INT and ROA as the p-value is less than the key level. Inflation rate which has been used as the substitute of macroeconomic variable, conversely influence on firm profitability and macroeconomic variable i.e., GDP growth rate has a positive consequence on the firm profitability.
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