JURNAL AKUNTANSI DAN BISNIS : Jurnal Program Studi Akuntansi
Vol. 9 No. 2 (2023): November 2023

Determination of Firm Value on Cost Leadership Strategy, Executive Compensation and Foreign Ownership in the Health Sector of Indonesian Public Listed Companies

Majidah (Universitas Telkom)
Hilwa Ramadhanti Sakina (Universitas Telkom)



Article Info

Publish Date
01 Nov 2023

Abstract

Investors' perception of how well a company manages resources, indicated by its share price, is known as company value. Referring to signaling theory, cost leadership strategy, executive compensation and foreign ownership give positive signals on the value of the company. Meanwhile, executive compensation as per agency theory is expected to be able to suppress agency problems, so as to produce quality performance so that investors respond positively. This study aims to examine cost leadership strategy, executive compensation, foreign ownership, and enterprise risk management as determinants of corporate value. Health sector companies listed on the Indonesia Stock Exchange in 2017-2021 became the population of this study. Purposive sampling obtained 54 observational data. Data analysis using panel data regression. The results explain that cost leadership strategy, executive compensation, foreign ownership, and enterprise risk management are simultaneously determinants of company value. Cost leadership strategy and executive compensation are partial determinants of a company's value.  However, foreign ownership is a negative determinant of corporate value in the health sector on the IDX, the findings are new to this study.  

Copyrights © 2023






Journal Info

Abbrev

jurnalakundanbisnis

Publisher

Subject

Economics, Econometrics & Finance

Description

JURNAL AKUNTANSI DAN BISNIS: Journal Accounting Study Program is a Journal for aims to serve as a medium of information and exchange of scientific articles between teaching staff, alumni, students, practitioners and observers of science in accounting and business. Jurnal Akuntansi dan Bisnis editor ...