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An Analysis of the Influence of Ownership Structure, Investment, Liquidity and Risk to Firm Value: Evidence from Indonesia

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  • Maryam Mangantar
  • Muhammad Ali

Abstract

The aims of this study is to determine the influence of ownership structure, investment, stock liquidity and risk stock to operating performance, Good Corporate Governance (GCG) and firm value on the manufacturing sector listed in Indonesian Stock Exchange (IDX). The research results are; the ownership structure have a positive significant effect to operating performance and the risk stock have a negative significant effect on operating performance and operating performance have positive insignificant effect on firm value. The ownership structure have a significant effect on corporate governance and corporate governance have a significant effect on firm value. However, investment, stock liquidity and risk stock have a negative insignificant effect on corporate governance. Stock liquidity have a negative significant effect on firm value, however ownership structure and investment have insignificant effect on firm value. Special findings from this research are that there is gradual process in influencing firm value so that corporate governance has the role as intervening variable, which is the variables moderating the effects of ownership structure in affecting firm value.

Suggested Citation

  • Maryam Mangantar & Muhammad Ali, 2015. "An Analysis of the Influence of Ownership Structure, Investment, Liquidity and Risk to Firm Value: Evidence from Indonesia," American Journal of Economics and Business Administration, Science Publications, vol. 7(4), pages 166-176, November.
  • Handle: RePEc:abk:jajeba:ajebasp.2015.166.176
    DOI: 10.3844/ajebasp.2015.166.176
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    References listed on IDEAS

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    Cited by:

    1. Maryam Mangantar, 2018. "An Analysis of the Government Financial Performance Influence on Community Welfare in North Sulawesi Province Indonesia," International Journal of Economics and Financial Issues, Econjournals, vol. 8(6), pages 137-143.
    2. Rinaldo Dito & Puspita Vina Anggilia, 2020. "Independent Parties in Minimizing Agency Problem in Indonesia: An Alternative Model," HOLISTICA – Journal of Business and Public Administration, Sciendo, vol. 11(1), pages 13-28, April.

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