The Relationship Between Ownership Concentration, Environmental Performance and Firm Performance Evidence From Indonesia (original) (raw)
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Linking Ownership Concentration to Firm Value: Mediation Role of Environmental Performance
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Research was aimed to examine the indirect effect of ownership concentration on firm value through environmental performance. Firms with businesses at mining, manufacture, and agriculture sectors, and that listing at Indonesia Stock Exchange and participating with Environmental Performance Assessment Program (PROPER), were the sample of research. Research has given some results. Ownership concentration has positive impact non-linearly on environmental performance. Ownership concentration can increase firm value through strategy of improving environmental performance. These results supported stakeholder theory and legitimacy theory. Corporate action that adopts environmentally friendly issue was selected as strategy to create firm value.
ABSTRACT: This study aims to determine and analyze the effect of good corporate governance and environmental performance on company value. The objects in this study are company value which is influenced by managerial ownership, independent board of commissioners, board of directors, independent audit committee, and environmental performance in manufacturing companies listed on the Indonesia Stock Exchange (IDX) in 2015-2019. This study uses secondary data, namely from the annual reports of manufacturing companies on the IDX 2015-2019. The sampling technique used was purposive sampling with a sample size of 90 companies. This study uses multiple linear regression analysis techniques. The results of this study can be concluded that managerial ownership, independent board of commissioners, board of directors and audit committee as well as environmental performance have a positive effect on the value of manufacturing companies listed on the Indonesia Stock Exchange in 2015-2019. KEYWORDS: good corporate governance, managerial ownership, independent board of commissioners, board of directors, audit committee, environmental performance, company values.
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This research aims to examine the determination of the Environmental Management System (EMS) and environmental performance on the company's financial performance as moderated by foreign ownership in the stock structure of manufacturing companies listed on the Indonesia Stock Exchange. This research uses a quantitative method by analyzing 27 manufacturing companies listed on the IDX through purposive sampling-based sample selection, then data analysis using the moderated regression analysis method. The results showed that foreign ownership could not moderate the effect of EMS proxied by ISO 14001 certification on the financial performance of the entity proxied by ROA, but on the other hand, the structure of foreign ownership shares could positively and significantly moderate the effect of environmental performance proxied by PROPER KLHK. on the entity's financial performance. Meanwhile, if tested directly, neither EMS nor environmental performance has an effect on the company...
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This study aims to observe and analyze the influence of proportion of independent board commissioners, the audit committee, board of directors, return on asset, return on equity and environmental performance towards firm value. Firm value was proxied with Tobin’s Q. The population in this study is manufacturing companies listed in Indonesia Stock Exchange year 2013 – 2017. The study used 18 sample companies from 160 companies. The sample was determined by using purposive sampling. The result of this study showed that proportion of independent board commissioners, audit committee and Return On Assets has a significant effect on firm value while the board of directors, Return On Equity and PROPER has no significant effect on firm value.
The Influence Of Environmental Performance And Good Corporate Governance On Company Value
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The value of the company is an indicator of the company in terms of fulfilling its obligations to investors, the value of the company also reflects the sustainability of the company in the future. However, there are many cases of environmental pollution in Indonesia, such as the case of PT. Lapindo Brantas Inc. who made negligence in drilling oil and gas in Sidoarjo had a negative impact on society, the environment and resulted in the decline in the share price of PT. Energi Mega Persada, Tbk. (major shareholder of PT. Lapindo Brantas Inc). In addition, there is also a case of PT. Freeport is currently the concern of various parties related to the change in the status of the contract of work owned by PT. Freeport became a Special Mining Business License (IUPK). This study aims to determine the effect of environmental performance and good corporate governance on firm value on IDX LQ45 index companies for the 2017-2021 period. The sampling technique used is purposive sampling techniqu...
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The relationship between environmental performance and financial performance of Indonesian companies
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Environmental disclosures have increased in recent years as the concerns on global environmental issues have been growing. As the activities of oil and gas industry deals with destructive operations, it is one of the industry which is considered as the most exposed industry to environmental matters which owes effort to be responsible in disclosing the information about the activities and maintain sustainable developments. This research is to investigate and explore the relationships of environmental performance and corporate governance towards the environmental disclosure of oil and gas companies operating in the upstream projects in Malaysia by adopting the Global Reporting Initiative (GRI) index. This study will apply an interpretative approach to social science research by using content analysis based on secondary data extracted from annual reports, sustainability reports, corporate social responsibility reports as well as companies' website. The research will be conducted on 54 annual reports of 27 oil and gas companies operating in Ma laysia upstream projects from 2015 to 2016. Regression analysis and correlation will be used to examine the association between the variables of this research study. It is expected that there is a significant relationship of environmental performance and corporate governance towards the environmental disclosure. This study aspires to contribute to valuable knowledge which would suggest and outline the best practices for companies in disclosing their environmental disclosures.
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The Industrial Revolution 4.0 is a revolution in technological development, this revolution helps company operational activities to be more efficient in improving company performance. In addition, companies must apply the triple bottom line (3P) principle in their operations. This research uses environmental disclosure and environmental performance with moderate variables two corporate governance mechanisms, foreign ownership and an independent board of commissioners. In this research, the companies that will be used as objects are manufacturing companies listed on the Indonesia Stock Exchange (IDX) for the period 2015 to 2019. The results of research this uses provide evidence that environmental performance has effect on company performance while environmental disclosure doesn’t affect company performance. And the moderating variable, foreign ownership provides evidence that it can strengthen the relationship between environmental performance and environmental disclosure on company...
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This research aims to know the effect of Ownership Structure and Sustainability Report Disclosure toward Company Value with Financial Performance as Intervening Variable on companies that publish Sustainability Report during 2013-2016. Research design was a causative research. The data population taken from companies publish Sustainability Report and listed in Indonesia Stock Exchange (IDX) during 2013-2016. Sampling method used in this research is purposive sampling. There were 10 companies that fulfilled the sample criterias. So, the data sample in this research were 40. Analysis techniques consisted of multiple regression analysis and path analysis. The result of this research showed that (1) Managerial Ownership directly effects Company Value, (2) Institutional Ownership does not directly effect on Company Value, (3) Sustainability Report Disclosure does not directly effect on Company Value, (4) Managerial Ownership indirectly effects on Company Value with Financial Performance ...