Realities of the financial management of the strawberry sector in the

municipality of Sibaté, Cundinamarca.

..........................................

Realidades de la gestión financiera del sector fresero en el municipio Sibaté,

Cundinamarca

Campo Elías López-Rodríguez

Miguel Alejandro Espinosa-Rodríguez

Yuly Paola Beltrán-Cubillos

ABSTRACT

The objective of this article is to identify the

realities of financial management applied by

the business units of the strawberry producing

and marketing sector in the municipality of

Sibaté, Cundinamarca, taking into account the

relevance of regional development and the

primary sector of the Colombian economy. At

the methodological level, from a descriptive

scope and a quantitative approach, 282

surveys were applied to managers and legal

representatives of formally constituted

companies with the aforementioned corporate

purpose and geographic location. Among the

main results, it is evident that these

businessmen have important weaknesses in

financial management and there are no

elements within their practices that, from the

financial management point of view, give value

to their corporate purpose. It is concluded that

the businessmen of the sector studied should

keep in mind that adequate financial practices

strengthen the business fabric, which

Received: November 12, 2022

Approved: May 20, 2023

...........................................

PhD student in Consumer Psychology.

Research Leader of the Specialization

in Financial Management at

Corporación Universitaria Minuto de

Dios - UNIMINUTO. Contact email:

clopezr3@uniminuto.edu.co Orcid:

http://orcid.org/0000-0003-4061-

2979

Master in Administration. Research

professor of the Financial

Administration program at

Corporación Universitaria Minuto de

Dios - UNIMINUTO. Contact e-mail:

mespin30@uniminuto.edu.co ORCID:

https://orcid.org/0000-0002-5577-

7728

Financial Management Specialist at

Corporación Universitaria Minuto de

Dios - UNIMINUTO. Contact email:

ybeltr13@uniminuto.edu.co ORCID:

https://orcid.org/0000-0002-9459-

4334

Realities of financial management in the strawberry sector in the municipality of Sibaté, Cundinamarca

Vol 3 - No 2 July - December e-ISSN 2745-1194 Pages 27-50

generates wellbeing for the whole society

through regional development.

Keywords: Financial management, regional

development, strawberry marketing.

RESUMEN

El objetivo de este artículo consiste en

identificar las realidades de la gestión

financiera que aplican las unidades

empresariales del sector productor y

comercializador de fresa del municipio de

Sibaté, Cundinamarca, esto teniendo en cuenta

la pertinencia del desarrollo regional y del

sector primario de la economía colombiana. A

nivel metodológico, desde un alcance

descriptivo y un enfoque cuantitativo, se

aplicaron 282 encuestas a gerentes y

representantes legales de las empresas

formalmente constituidas con el objeto social y

ubicación geográfica ya mencionada. Dentro

de los principales resultados se evidencia que

estos empresarios poseen importantes

debilidades en la gestión financiera y no

existen dentro de sus prácticas elementos que

desde la gerencia financiera otorguen valor a

su objeto social. Se concluye que los

empresarios del sector estudiado deben tener

presente que, las adecuadas prácticas

financieras fortalecen el tejido empresarial con

el que se genera bienestar a toda la sociedad

mediante el desarrollo regional.

Palabras clave: Gestión financiera,

desarrollo regional, comercialización de fresa.

Realities of financial management in the strawberry sector in the municipality of Sibaté, Cundinamarca

Vol 3 - No 2 July - December e-ISSN 2745-1194 Pages 27-50

Introduction

The municipality of Sibaté Cundinamarca has a total area of 125.6 km2, equivalent to

approximately 12,560 hectares, and of these 1,100 are dedicated to agricultural

production, which is focused on the potato, pea and strawberry production system

(Alcaldía de Sibaté, 2018). Given that the production and commercialization of this

last product is within the three main production systems and of greater economic

impact in the municipality, 83% of strawberry producers and marketers have their

productive units for rent and are characterized by having financial behaviors and

business practices in informality and without control of their accounting; the

remaining 17% of entrepreneurs are owners of the land where this product is grown

and their organizations are within the formality and legal constitution (Evaluaciones

Agropecuarias Municipales, 2019).

Most of the strawberry producing and marketing companies in the municipality,

especially the informal units, have had insufficiencies for their structure and

performance, they do not consider a panorama of innovation, they cultivate and

operate on daily chores, they have a high focus on sales, neglecting the control of their

income and expenses, making their financial structure inadequate for administrative

operability. Orazi, Martinez & Vigier (2019) state that it is vital to have an assertive

administrative process in terms of financial activities, so that business units can be

properly managed and corrective and preventive actions can be taken in time, in order

to ensure business success.

It is relevant to highlight and identify the levels of world strawberry production to

understand the economic context faced by producers and marketers of this activity in

the municipality. For 2015 worldwide 4.6 million tons were produced, with the United

States being the main producer with 1,524,172, followed by Mexico with 371,400,

Turkey with 353,173, Spain with 289,900 and Egypt with 242,297, Colombia is ranked

18th in the world ranking with 58,555 of production in tons (UN, 2019). The above

supports the continued importance of strengthening the primary sector of the

economy for countries such as Colombia (López-Rodríguez, et al, 2020).

Strawberry production in the country enjoys a good level of production, reflected in

the rapid growth of this activity in recent years. According to DANE figures (2020),

strawberry production reported a total of 57,172 tons. The department of

Cundinamarca recorded the highest participation, followed by Antioquia, Norte de

Santander Cauca and Boyacá, as shown in Figure 1.

Realities of financial management in the strawberry sector in the municipality of Sibaté, Cundinamarca

Vol 3 - No 2 July - December e-ISSN 2745-1194 Pages 27-50

Figure 1. Ranking of strawberry production at departmental level .

Source: Prepared by the authors based on DANE (2020).

In the department of Cundinamarca, the strawberry market trend pattern was

maintained in the last three years, the territories dedicated to this crop in Colombia

have had a gradual development, so that in geographical terms, the crop is

concentrated in the savannah of Bogota and its outlying municipalities, among which

stand out the municipalities of Sibaté with 15,960 tons, Facatativá with 6,822 tons,

Soacha with 5,757 tons and Chocante with 5,090 tons. In other regions, such as Norte

de Santander, the municipalities of Silos 1,225 tons, Pamplona 1,190 tons and Cacota

560 tons stood out (DANE, 2020).

Taking into account the above, this research process responds to the following

problem: What are the realities of financial management applied by the business units

of the strawberry producing and marketing sector in the municipality of Sibaté,

Cundinamarca? To this end, the actual application of financial practices within the

management of these organizations was determined, in order to understand the

relationship between financial management variables and their impact on the regional

development of the sector.

The application of financial practices supported by the theories of the development of

administrative functions for investment decision-making, indicate that such habits are

used to carry out the investment selection process in companies operating in Colombia

(Vecino, Rojas & Muñoz, 2015). They must also be based on creativity and the ability

66,58%

16,90%

7,15%

5,30%

1,63%

0,72%

0,66%

0,59%

0,20%

0,17%

0,10%

Cundinamarca

Antioquia

Norte de Santander

Cauca

Boyacá

Caldas

Valle del Cauca

Nariño

Quindío

Caquetá

Risaralda

Realities of financial management in the strawberry sector in the municipality of Sibaté, Cundinamarca

Vol 3 - No 2 July - December e-ISSN 2745-1194 Pages 27-50

to generate projects and alternative ways of producing and managing reality, when this

day comes, it will be possible to speak of development and the construction of

autonomous ways of being and thinking (Escobar-Sierra et al. 2021). Therefore, the

interaction and strategic use of monetary and non-monetary values in transactions,

organizational habits and cultural scopes involved in daily financial practices must be

considered (Van Raaij et al. 2020).

According to Ferrero (2014) the link that financial practices achieve according to who

develops them and their purposes, estimate the risk and the measures taken to

diminish the information acquired for the interpretation of analytical resources;

likewise, it should be considered that the model based on the small business system is,

in any case, a dynamic model, that is, the conditions of survival of the system are

changing over time (Fragoso, 2015). In this sense, the perspective of observation of

Colombian companies from the development of the regional economy and the effect

on the present on the social and economic process (Álvarez et al. 2018).

For Van Raaij et al. (2020) the practices of social responsibility in terms of social and

cultural dimensions in the financial practices of low-income people or rural sectors

evidence the crisis in terms of regional development, i.e. that the purpose of the

process of classification of investment projects and the discernment of organizations

that know evaluation criteria where to invest is crucial for the positive outcome of the

financial objectives (Rodriguez, 2014). Likewise, ideas and skills can be originated that

reform the principle of creativity and breadth to disseminate projects and variables to

produce and manage reality (Rangel, 2012).

Quiñonez & Canal (2018) emphasize that cases of small companies were found, where

their managers possessed higher studies and therefore used a defined method to size

investment projects and, additionally, identify companies in which their managers,

despite having a high level of studies, did not implement any technique. Therefore,

local and family economic effects cannot be obviated from the economic and financial

changes generated in the national and international environment, to discern the

financial practices of over-indebted households (Romero-Muñoz et al. 2021);

therefore, Nizam et al. (2019) infer that companies should adopt methods to evaluate

and rank investment options that are viable, such as time value procedures, Net

Present Value (NPV), Internal Rate of Return (IRR) and Required Rate of Return.

In view of this, accounting can be perceived as a process of formation of dominant

values in the environment; therefore, accounting can be studied on the basis of its

authority as a way of thinking, which promotes the legitimization of organizations

(Boisjoly et al. 2020). Secondly, the tendency to provide a solution to the clarification

Realities of financial management in the strawberry sector in the municipality of Sibaté, Cundinamarca

Vol 3 - No 2 July - December e-ISSN 2745-1194 Pages 27-50

of economy, efficiency and effectiveness in the management environment in

conjunction with management indicators (López-Rodríguez et al. 2022). Thirdly,

Angulo Sánchez (2016) indicates that it is essential to take into account the ways in

which companies and, above all, individuals solve a debt situation by linking material

and symbolic resources by their class, gender and ethnic condition.

The role of the company shows meanings and representations of accounting and its

sources of resources for financing, from the context established in the use of

accounting as a tool of organizational legitimacy with the environment (De la Hoz

Granadillo et al. 2014), although there is no way for the market-driven economy to

function favorably with a legal system that does not guarantee the execution of

contracts with internationally competitive costs (Briozzo et al. 2016); therefore, the

formal financing system comprises a diversity of instruments and sources of financing

for the national, regional and municipal levels, in the public as well as private sector

(Nava Rosillón, 2009).

Martínez Velázquez & Dutrénit Bielous (2019) state that the approach of

entrepreneurship and financing models through venture capital, determine the

significant scope for the market with great sympathy and success in the environment.

On the other hand, financing in an innovation environment that needs, internal and

external funds as a complement for upcoming innovations; which does not allow the

financing of markets to be given in the basic research phase (Rangel, 2012); hence, the

methods in which companies and families use their economies and their debts should

be considered especially , savings, since consumption needs and access to money along

with social ties should have reciprocal moral obligations (Ferrero, 2014).

According to Aguilar, Torres & Salazar (2017) the operational financial management,

performs the appropriate management of available cash, as it determines the credit

terms to be granted to customers that establish a stimulus and this benefits sales, to

specify the current financing that decreases costs and the use of inventories (Engel et

al. 2018), likewise the effective management of working capital causes the liquidity

required in the company to meet the solvency and obligations with suppliers

generating labor benefits preventing the company from falling into technical

insolvency (Swan, 1956) in such sense the working capital is an elementary fraction of

the short term financing of a company, for which it is recommended to manage

captiously achieving to be relevant in the use of resources (Meleán, Moreno &

Rodríguez, 2009).

After the end of World War II, the pretensions of a constant and hasty economic and

regional development became a concern for Latin American governments until the

Realities of financial management in the strawberry sector in the municipality of Sibaté, Cundinamarca

Vol 3 - No 2 July - December e-ISSN 2745-1194 Pages 27-50

mid-1980s (Chemkha et al. 2021). In the globalization of the territory and the region,

it overflows the national borders where it is implemented and it is achieved in a certain

way that there is concordance in the activities that comprise the economic, financial,

technological and cultural life of the regions (Olea-Miranda, Contreras & Barcelo-

Valenzuela, 2016), thus promoting regional development, an activity that arouses

great interest invites and gives the possibility of some self-centered productive

methods, established in the local productive and social resources (Rello & Saavedra,

2013).

For Boisier (2004), regional or territorial development is based on three processes:

the regionalization of countries, the decentralization of public-private conclusive

systems and the corresponding institutions in territorial areas and the development of

the regions themselves, which is directly related to the size of companies and their

survival; hence, progress is the safest strategy to preserve the balance in organizations

that adapt easily to the environment (Hernandez, 2009). According to the Law of

Proportional Effect (Lep), the mismatch between growth and business size allows

perceiving the prototype of organizations that develop in occupation of their size,

assuming measures that can be deployed activating the economy with the generation

of jobs (Quirós, M., Quirós, J. & Izquierdo, 2017).

Hernandez (2009) considers that the small and medium enterprise contributes to the

economic development of a region or territory by its generation of value and job

creation, seeing the effects it produces in the fields of activity, growth and regional

development, since, entrepreneurship is an economic and social invention; starting

from, the behavioral, where reference is made to the subject that assumes the

commitment for a business idea (Belaïd & Zrelli, 2019). The ability to obtain

democratically established collective objectives is based on the same appreciation of

the structure and dynamics of the procedures on which it will be necessary to intervene

in a new business idea (Boisier, 2004).

For Recalde, Guevara & Jaen (2017) entrepreneurship favors not only those who

venture to promote business ideas, but also generates a collateral consequence on the

rest of society, in turn "Regional development involves a theoretical renewal on

development, and implies the resizing of capitalist accumulation, recognizing the

importance of local productive systems in the processes of growth and structural

change" (Manet, 2014, p. 22). Political and territorial decentralization is now

expressed in Colombia through the election of departmental governors and mayors; as

a result, departments and municipalities now receive enormous resources transferred

by the nation (Boisier, 2004).

Realities of financial management in the strawberry sector in the municipality of Sibaté, Cundinamarca

Vol 3 - No 2 July - December e-ISSN 2745-1194 Pages 27-50

Rello & Saavedra (2013) estimate that the new focus of regional development is

competitiveness and it is the link between the economic advancement of countries and

the participation of international markets for the multiple effects of contemporary

economic development, where it is worth highlighting that "entrepreneurship as a

factor that affects economic development in the case of territories" (Recalde, Guevara

& Jaen, 2017, p. 3). In addition, with the passage of time the population increased the

extension of the regions; it was notorious where market centers became clustering

centers, then the theory of economic geography emerged that explains the reason for

such behaviors (Rodriguez et al. 2013).

Materials and methods

The scope of the research was descriptive with a quantitative approach, in which the

realities of the financial management applied by the business units of the strawberry

producing and marketing sector in the municipality of Sibaté, Cundinamarca were

characterized. The population studied were the managers and legal representatives of

legally constituted companies dedicated to the production and commercialization of

strawberries in the municipality of Sibaté Cundinamarca, and according to the

Municipal Mayor's Office there are 282 organizations with these characteristics

(Evaluaciones Agropecuarias Municipales, 2019).

Probabilistic sampling was used to obtain the sample, since it allows distinguishing

the probability of each unit of analysis, which must be integrated into the sample by

random selection, thus comprising the simple random sampling procedure (Posso,

2014). From a confidence level of 95%, a margin of error of 5%, and according to the

coefficient of positive and negative variation of 50% each, the sample was 195.

According to Poveda, et al, (2020). In research, social appropriation is guaranteed, as

a space for academic reflection.

The instrument for the collection of information was a survey which, according to

Arias-Gómez, et al, (2016) is a strategy of methods that lead to comprehensive research

processes, including the formulation of the problem, the objectives, the selection of

individuals and entities together with the design and analysis of data. This instrument

has twelve items, the first three characterize the population studied, the remaining

nine characterize the financial management practices developed by these

organizations based on multiple choice questions. The survey instrument was applied

by telephone, e-mail and visits to the productive units of those who agreed to

participate and who were previously informed of the informed consent.

Realities of financial management in the strawberry sector in the municipality of Sibaté, Cundinamarca

Vol 3 - No 2 July - December e-ISSN 2745-1194 Pages 27-50

The information gathering instrument was validated by two experts, one of whom was

an expert in financial management and the other an expert in statistical processes. The

SPSS® 25.0 (Statistical Package for the Social Sciences) statistical package was used

to analyze the results.

Results

The results obtained from the implementation of the methodological proposal reflect

the descriptive characterization of the companies that belong to the strawberry

producing and marketing sector in the municipality of Sibaté. Figure 2 shows the

classification of the sizes of the enterprises, where 76.9% are microenterprises and

23.1% are small enterprises, concluding that the difference is significant because of the

alternative that microenterprises generate to improve the living conditions of the

sector, obtaining additional income in the regional development of the municipality;

likewise, they are the main source of employability for the female population of the

municipality of Sibaté, Cundinamarca.

Figure 2. Size of the companies studied expressed in percentages

Source: own elaboration

Figure 3 shows the time in the market of the companies in the strawberry producing

and marketing sector in the municipality of Sibaté, Cundinamarca, where 10.8%,

13.8% and 30.3%, respectively, of the productive units are pioneers in the market,

showing a transcendence in time of more than 6 and up to 15 years, evidencing the

adequate management of the production and marketing factors.3% respectively of the

productive units are pioneers in the market, showing a transcendence in time of more

than 6 and up to 15 years, evidencing the adequate management of the production and

76,9

23,1

0,0 0,0

Microempresa Pequeña empresa Mediana empresa Gran empresa

Realities of financial management in the strawberry sector in the municipality of Sibaté, Cundinamarca

Vol 3 - No 2 July - December e-ISSN 2745-1194 Pages 27-50

commercialization factors, which shows that the growth in the market and the life cycle

of the product are some of the variables by which the legal representatives decide to

invest in this sector, since the particularities and characteristics of the environment

contribute to the regional development process of the municipality.

Figure 3. Time on the market of the companies studied expressed as a percentage.

Source: own elaboration

Figure 4 shows the purposes for which the legal representatives of the companies

consider that there should be a person or area in charge of financial activities. 52.8%

state that the purpose of these financial activities is to comply with the legal,

accounting and tax regulations of the company, but the lack of knowledge of the

subject and the fear that their economic and financial information will be known by

third parties keeps them away from this alternative; on the other hand, 30.8% are

inclined to investment decisions, work administration and financing, allowing this

percentage to drive the different stages of the operation; and 16.4% state that the

existence of a person or area in charge of finances is granted by the need to manage

information for administrative decision-making, which shows that for these

entrepreneurs, financial activities in their microenterprises are a relevant control and

management tool for business projection with a view to growth.

9,7

15,4

30,3

20,0

13,8

10,8

Menos de 3 años Más de tres años

y hasta 6 años

Más de 6 años y

hasta 9 años

Más de 9 años y

hasta 12 años

Más de 12 años y

hasta 15 años

Más de 15 años

Realities of financial management in the strawberry sector in the municipality of Sibaté, Cundinamarca

Vol 3 - No 2 July - December e-ISSN 2745-1194 Pages 27-50

Figure 4. Purposes of financial activities in the companies studied expressed as a

percentage.

Source: own elaboration

Figure 5 shows that 46.6% of the entrepreneurs use legitimate methods, even to the

point of not having any accounting, which clearly does not allow them to make long-

term decisions. However, 34.4% use balance sheets in their accounting and 18.9%

manage to obtain the income statement or statement of financial position, which

indicates that their legal representatives contemplate keeping accounting and

financial activity properly managed, which allows them to report the costs incurred,

the deductions derived from the operation and the income obtained from it.

It is also important to say that the cash flow statement is one of the most complex

financial statements to prepare in a company because it is necessary to have a deep

knowledge of the organization to be able to develop it, so none of the productive units

in the sector have used it and although it is a basic financial statement that shows the

cash generated and used in operating, investing and financing activities, it is not used.

16,4

30,8

52,8

Información para la toma de decisiones

administrativas

Decisiones de inversión y administración de

trabajo y financiamiento

Para el cumplimiento de normas legales,

contables y fiscales

Realities of financial management in the strawberry sector in the municipality of Sibaté, Cundinamarca

Vol 3 - No 2 July - December e-ISSN 2745-1194 Pages 27-50

Figure 5. Accounting reports handled by the companies studied, expressed as a

percentage.

Source: own elaboration

Figure 6 shows the sources of financing used by the legal representatives of the

companies in the strawberry production and marketing sector in the municipality of

Sibaté, Cundinamarca. As the first source we find the financing of the resources

generated by the company with 46.2%, likewise 35.9% manage resources contributed

by the partners, since it is the first source of constitution of the productive unit; while

17.9% are leveraged by third parties, such as government funds that help them

generate business models and project development, this because they help create

prototypes to market the product or service in the market, the managers of these

organizations also rely on seed capital to start the project, and finally go to financing

with banks both first and second floor in order to have flow in daily operation, since

the time it takes a strawberry crop per hectare invested is two years with a value of $

60.000,000 million pesos per hectare planted, where the first six months should be

obtained the total investment, thus from month seven will begin to make profits,

otherwise there is a high possibility that the break-even point is not achieved and

losses occur, which makes them to seek different sources of funding.

34,4

18,9

0,0 0,0

46,6

Balance Estado de

Resultados

Estado de Cambios

en el Patrimonio

Flujos de Efectivo Otros

Realities of financial management in the strawberry sector in the municipality of Sibaté, Cundinamarca

Vol 3 - No 2 July - December e-ISSN 2745-1194 Pages 27-50

Figure 6. Sources of financing resources of the companies studied expressed as a

percentage.

Source: own elaboration

Figure 7 shows the existence of working capital management policies of companies in

the strawberry producing and marketing sector in the municipality of Sibaté, where

64.6% say that they do not have such policies and 35.4% indicate that they exist but do

not apply them, which means that they are neglecting the production or service

process, in turn generating increases in operating risk costs, affecting the profitability

of the production units.

Figure 7. Existence of working capital management policies of the companies studied

expressed as a percentage.

Source: own elaboration

35,9

17,9

46,2

Recursos aportados por los

socios

Recursos financiados por

terceros

Recursos generados por la

empresa

35,4

64,6

Existen y se aplican

Existen pero no se aplican

No existen

Realities of financial management in the strawberry sector in the municipality of Sibaté, Cundinamarca

Vol 3 - No 2 July - December e-ISSN 2745-1194 Pages 27-50

Figure 8 shows that 70.8% of the legal representatives and/or managers do not

contemplate investment activities because they are not clear about the concept. It is

necessary to highlight that the results of graph 7 show that 100% of the companies in

this sector lack a person or a team to develop the financial function, since there is no

one to make decisions with criteria to reduce the risk. In the same context, 29.2%

expect to have future profits even when investing generates some uncertainty when it

comes to increasing capital and business activity.

Figure 8. Existence of investment activities in the companies studied expressed as a

percentage.

Source: own elaboration

Figure 9 shows that 66.7% do not contemplate the existence of cost systems in the

companies of the strawberry producing and marketing sector in the municipality of

Sibaté, Cund, which is equivalent to the lack of aspirations at a competitive level in

terms of processes to adapt and orient their products with total customer satisfaction,

it can also be seen how they become confused or unaware of the production processes

and their requirements, likewise 33.3% indicate that they exist but are not applied, so

the phenomenon for one or the other case is the same.

29,2

70,8

Sí No

Realities of financial management in the strawberry sector in the municipality of Sibaté, Cundinamarca

Vol 3 - No 2 July - December e-ISSN 2745-1194 Pages 27-50

Figure 9. Existence of cost systems in the companies studied expressed as a

percentage.

Source: own elaboration

Figure 10 shows that 100% of the legal representatives and/or managers of companies

in the strawberry producing and marketing sector in the municipality of Sibaté,

Cundinamarca, do not use financial indicators as part of their daily operations, which

means that they are unable to analyze their liquidity, solvency, profitability and

operational efficiency. The harmful effects with which they are confronted day by day

lead to the lack of knowing in detail the economic, financial and accounting behaviors

of the organizations, this due to the gigantic fears or false beliefs that the guild has for

not knowing how their company is, they prefer to start over and over again under the

motto of "not to suffer in case of losses"

Figure 10. Existence of financial indicators in the companies studied expressed as a

percentage.

33,3

66,7

Existen y se aplican

Existen pero no se aplican

No existen

0 0,0

100,0

Existen y se aplican Existen pero no se aplican No existen

Realities of financial management in the strawberry sector in the municipality of Sibaté, Cundinamarca

Vol 3 - No 2 July - December e-ISSN 2745-1194 Pages 27-50

Finally, Figure 11 shows that 76.9% of the companies in the strawberry producing and

marketing sector in the municipality of Sibaté, Cund, do not have policies for the

management of the corporate portfolio, arguing that they manage everything in cash

and in cash, only 23.1% are concerned about the portfolio variable, which is one of the

most important for managing working capital.

Figure 11. Existence of portfolio management policies in the companies studied

expressed as a percentage.

Conclusions

Within the literature reviewed, several authors were found that highlight financial

practices as a transcendental pillar of the development of organizations with respect

to their competitiveness (Vecino, 2015; Van Raaij et al. 2020; Ferrero, 2014), since

their studies have focused on the relevance of evaluating investment projects in

companies operating in Colombia, analyzing the social and cultural dimensions in the

urban and rural sector. In relation to regional development, other studies are based on

the holistic process in which different factors of a given region are important, as well

as the business structure, without affecting the economic investment capacity, whose

objective is to favor growth and development in the territories (Orozco & Rodríguez,

2017; Quirós M, Quirós. J, & Izquierdo, 2017).

Likewise, in the sources of financing and working capital management, several

researches emphasize that the strategy to achieve the operability of companies and

their permanence in time is based on the normal execution of their operational

activities in coordination and synergy between governmental institutions and the

private sector (Briozzo et al. 2016; Rangel, 2012; Aguilar, Torres, & Salazar, 2017), so

that the impact of scarce resources to finance smaller economic entities, achieve an

operational financial management capable of managing the available cash that

23,1

76,9

Existen y se aplican

Existen pero no se aplican

No existen

Realities of financial management in the strawberry sector in the municipality of Sibaté, Cundinamarca

Vol 3 - No 2 July - December e-ISSN 2745-1194 Pages 27-50

contributes to adequate financing that minimizes costs and inventory management to

increase the profitability of the organization.

The methodological strategy used in this research was appropriate, since the proposed

objectives were fully executed: the companies in the sector were analyzed to determine

the actual application of financial practices within the management of strawberry

producing and marketing companies in the municipality of Sibaté, Cundinamarca.

initially, through a documentary review, the main concepts of financial practices were

related, studying their relevance in the regional economy, through the characterization

of the financial management variables; On the other hand, a descriptive analysis was

developed to identify such practices applied by the companies studied, finding

important weaknesses in their management, realities related to cultural and

idiosyncratic elements, as well as to the lack of financial resources and limited

possibilities of competitive growth.

Therefore, the representatives of the companies in the sector under study should bear

in mind that adequate financial practices strengthen the business fabric that generates

well-being for the whole of society through regional development. This provision is the

essential principle for the economic activity analyzed, without always having as a

priority the returns for the invested capital, or the control of the activity and of the

productive resources, because the synergy with society and the compliance with the

rules and laws as a fundamental axis for the entrepreneurs can guarantee the

patrimonial balance.

In general terms, this study recognizes the characteristics of the main financial

management variables applied by the business units of the strawberry producing and

marketing sector in the municipality of Sibaté, Cundinamarca. Based on the findings

obtained, future lines of research are envisioned, including production chains,

development of municipal, departmental and national policies for the regional

development of the sector, social structure in the rural area of the intermediate

municipalities, and guidelines that contribute benefits to both academia and the

production sector.

Finally, it is important to recommend that this line of research should work from the

variables that characterize the financial practices that lead to the regional development

of any territory, providing specific results of the shortcomings and fears that

entrepreneurs have when obtaining financial results in certain periods of time, finding

opportunities for improvement in the daily operation of crops that increase the

possibilities of control and investment.

Realities of financial management in the strawberry sector in the municipality of Sibaté, Cundinamarca

Vol 3 - No 2 July - December e-ISSN 2745-1194 Pages 27-50

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