Corporate Value, Performance, and Reputation: Evidence from Indonesia

Ni Made Indah Alami Pertiwi, Gerianta Wirawan Yasa

Abstract


This study was done due to raise more empirical evidence on the effect of corporate performance and corporate social responsibility to corporate value. This study use Return on Asset (ROA), Economic Value Added (EVA), and Corporate Social Responsibility Disclosure (CSR) as independent variables, and Tobin’s Q as an indicator of corporate value as dependent variable. This study is using a total of 138 manufacturing company that listed in Indonesian Stock Exchange during 2012 – 2016, and a total of 43 companies are selected by using purposive sampling method. This study is using multiple linear regresson analysis to analyze the data. This study suggest that both variable ROA and EVA have positive impact to corporate value, while CSR has negative impact to corporate value.


Keywords


Corporate Social Responsibility; Economic Value Added; Return on Asset; Tobin’s Q.

Full Text:

PDF

References


E.F. Fama. “The Effect of a Firm’s Investment and Financing Decision on the Welfare of its Security Holders.” The American Economic Review, Vol. 68, pp. 272–284, Jun. 1978.

E.F. Brigham and M.C. Ehrhardt. Financial Management (Theory and Practice) 13rd Edition. Thomson South Western: New York, 2013.

Payamta and M. Machfoedz. “Banking Sector Performance Evaluation Before and After Went to be a Public Company at Indonesian Stock Exchange.” KELOLA, No. 20, Aug. 1999.

N.L.P. Wiagustini. Principles of Financial Management. Udayana University Press: Bali, 2010.

M.A. Harjoto and H. Jo. “Corporate Governance and Firm Value: The Impact of Corporate Social Responsibility.” Journal of Business Ethics, Vol. 103, No. 3, pp. 351–383, Oct. 2011.

I. Ghozali and A. Chariri. Accounting Theory (3rd Edition). University of Deponegoro Press: Semarang, 2007.

A. Haghiri and S. Haghiri. “The Investigation of Effective Factors on Stock Return with Emphasis on ROA and ROE Ratios in Tehran Stock Exchange (TSE).” Journal of Basic and Applied Scientific Research, Vol. 2, No. 9, pp. 9097–9103, 2012.

M.A.M. Kabajeh, S.M.A.A. Nu’aimat and F.N. Dahmash. “The Relationship between the ROA, ROE and ROI Ratios with Jordanian Insurance Public Companies Market Share Prices.” International Journal of Humanities and Social Science, Vol. 2, No. 11, pp. 115–120, Jun. 2012.

T.K. Pertiwi and F.M.I. Pratama. “The Effect of Financial Performance, Good Corporate Governance to Corporate Value in Food and Beverages.” Jurnal Manajemen dan Kewirausahaan, Vol. 14, No. 2, pp. 118–127, 2012.

M.R. Kohansal, A. Dadrasmoghaddam, K.M. Karmozdi and A. Mohseni. “Relationship between Financial Ratios and Stock Prices for the Food Industry Firms in Stock Exchange of Iran.” World Applied Programming Journal, Vol. 3, No. 10, pp. 512–521, Oct. 2013.

M. Nurhayati. “The Effect of Profitability, Liquidity, and Size to Dividend Policy and Corporate Value in Non-Service Industry.” Jurnal Keuangan dan Bisnis, Vol. 5, No. 2, pp. 144– 153, Jul. 2013.

Z.E. Sari. “The Effect of Profitability, Leverage, Economic Value Added, and Systematic Risk to Corporate Value (Empirical Study on Listed Companies in LQ45 Index).” Jurnal Akuntansi, Vol. 1, No. 2, pp. 1–28, 2013.

A.K. Sharma and S. Kumar. “Economic Value Added (EVA) – Literature Review and Relevant Issues.” International Journal of Economics and Finance, Vol. 2, No. 2, pp. 200–220, 2010.

I. Ismail. “The Ability of EVA (Economic Value Added) Attributes in Predicting Company Performance.” African Journal of Business Management, Vol. 5, No. 12, pp. 4993–5000, 2011.

K.K. Wedayanthi and N.P.A. Darmayanti. “The Effect of Economic Value Added, Independent Commissioner Board Proportion, and Return on Asset to Corporate Value.” E-Jurnal Manajemen UNUD, Vol. 5, No. 6, pp. 3647–3676, 2016.

R. Nurlela and Islahuddin. “The Effect of Corporate Social Responsibility to Corporate Value with Management Ownership as Moderating Variable,” in National Accounting Symposium XI, 2008, pp. 1–25.

K.F. Adnantara. “The Effect of Ownership Structure and Corporate Social Responsibility to Corporate Value” M.Ak. thesis, Udayana University, Bali, 2012.

D. Suhardjanto and S. Nugraheni. “The Effect of Corporate Social Responsibility (CSR) Disclosure to Corporate Value (Empirical Study on Indonesian Stock Exchange).” Jurnal Akuntansi, Vol. 16, No. 2, pp. 162–175, 2012.

H. Servaes and A. Tamayo. “The Impact of Corporate Social Responsibility on Firm Value: The Role of Customer Awareness.” Management Science, Vol. 59, No. 5, pp. 1045–1061, 2013.

I. Ghozali. Multivariate Analysis with SPSS Program. University of Diponegoro Press: Semarang, 2006.


Refbacks

  • There are currently no refbacks.


 

 
  
 

 

  


About IJSBAR | Privacy PolicyTerms & Conditions | Contact Us | DisclaimerFAQs 

IJSBAR is published by (GSSRR).