Determinant Factors of Firm Risk - Using the Structural Equation Modeling Approach: Evidence from Indonesia

• 발행기관: 한국유통과학회
• 저자명: Asih Marini WULANDARI Sri Mangesti RAHAYU Muhammad SAIFI Nila Firdausi NUZULA
• 간행물 정보: 『The Journal of Asian Finance, Economics and Business(JAFEB)』Vol. 9 No.8, 47~55쪽, 전체 9쪽
• 주제분류: 경제경영 > 경제학
• 파일형태: PDF
• 발행일자: 2022.08.31

영문 초록

The purpose of this study was to determine the relationship between company risk and factors such as business size, ownership structure, and leverage. The study was conducted on 142 manufacturing sector companies listed on the Indonesia Stock Exchange from 2013 to 2018. The purposive sampling method was used to select the research sample. The sample size for this study was 21 different companies. The analytical approach uses Structural Equation Modeling (SEM) with WarpPLS. According to the findings of the investigation, the size of the company has a significant influence on both the amount of leverage the company uses and the amount of risk the company takes. The level of leverage is significantly influenced by the ownership structure. However, the ownership structure does not have a significant impact on the level of risk the company; rather, leverage has a big impact on the level of risk the company faces. The findings of this study are helpful to prospective investors in measuring the risk posed by the company to make judgments regarding investments. The findings of this study are also essential for management to consider while controlling the risk of the organization.

목차

1. Introduction

2. Literature Review

3. Research Method

4. Result and Discussion

5. Conclusion

References

키워드

Firm Size Ownership Structure Leverage Firm Risk Structural Equation Modeling