Sri Hasnawati, Agnes Sawir


The objectives was to find empirical evidence of the influence fi­nan­cial d­e­cisions, firm size, and owner­ship structure on firm value in the three economic con­di­tions (before, during, and after the crisis). The model was used mul­tiple reg­ression. The study was con­duc­ted in 1992–2008 with samples of 78 public com­pa­nies and 1084 datas. The results explained that company size and de­cision not to pay dividends were most af­fected varia­bles. In addition, policy not to pay dividends had negative ef­fect on firm value. There were also significant differences of company value. For public companies, company's size should be considered. Po­li­cies of paying cash dividends could be con­sidered in order to increase company value.


Financing decision, company size, ownership structure, firm value


Barclay, M., & Holderness, C. (1990). Social responsiveness, corporate structure, and economic performance. Academy of Management Review, 7, 235–241.

Barclay, M. J., Smith, C. W., & Watts, R. L. (1998). The determinations of corporate leverage and dividend policies. Dalam The New Corporate Finance. 2nd Edition. Malaysia: Irwin Mc-Graw-Hill.

Baskin, J. (1989). An empirical investigation of the pecking order hypothesis. Journal of Financial Management Association, 18(1), 26–35.

Bathala, C. T., Moon, K. P., & Rao, R. P. (1994). Managerial ownership, debt policy and the impact of institutional holdings: An agency perspective. Financial Management, 23, 38–50.

Baxter, N. D., & Cragg J. G. (1970). Corporate choice among long-term financing instruments. The Review of Economics and Statistics, 2(3), 225–235.

Brickley, J. (1983). Shareholder wealth, information signaling and the specially designated dividend: An empirical study. Journal of Financial Econo-mics, 12(2), 187–209.

Brigham, E. F., Gapenski, L. C., & Daves, P. R. (2006). Intermediate financial management. 9th Edition. Florida: Dryden Press.

Claessens, S., Djankov, S., & Lang, L. H. P. (2000). Separation of ownership and control in East Asean Corporation. Journal of Financial Economics, 58, 81–112.

DeAngelo, H., & Masulis R. W. (1980). Optimal capital structure under corporate and personal taxation. Journal of Financial Economics, 8, 3–29.

Demsetz, H., & Lehn, K. (1985). The structure of corporate ownership causes and consequences. Journal of Political Economy, 93, 1155–1177.

Easterbrook, F. H. (1984). Two agency-cost explana-tion of dividends. American Economic Review, 74(4), 650–659.

Fama, E. F., & Jensen, M. C. (1983). Separation of ownership firm control. Journal of Law and Economics, 26(2), 301–325.

Himmelberg, C. P., Hubbard, R. G., & Palia, D. (1999). Understanding determinants of mana-gerial ownership and the link between owner-ship and performance. Journal of Fi-nancial Economics, 53, 353–384.

Holderness, C., Kroszner, R., & Sheehan, D. (1999). Were the good old times that good? Changes on managerial stock ownership since the great depression. Journal of Finance, 54(2), 435–469.

Jensen, M. C., & Meckling, W. H. (1976). Theory of the firm: Managerial behaviour, agency costs and ownership structure. Journal of Financial Economics, 3, 305–360.

Kim, E. H. (1978). A mean-variance theory of optimal capital structure and corporate debt capacity. The Journal of Finance, 33(1), 45–63.

Kraus, A., & Litzenberger R. H. (1973). A state–preference model of optimal financial le-verage. The Journal of Finance, 28(4), 911–922.

La Porta, R., Lopez, F., Shleifer, A., & Vishny, R. W. (1999). Corporate ownership around the world. The Journal of Finance, 54, 471–517.

Leff, N. (1978). Industrial organization and entre-preneurship in the developing countries: The economics group. Economic Development and Cultural Change, 4.

Lemmon, M. L., & Lins, K. V. (2003). Ownership structure, corporate governance, and firm value: Evidence from the East Asian financial crisis. The Journal of Finance, 58(4), 1445–1468.

Levy, H., & Sarnat, M. (1990). Capital investment and financial decision. 4th Edition. New York: Pren-tice-Hall Inc.

Lins, K. V. (2003). Equity ownership and firm value in emerging markets. Journal of Financial and Quantitative Analysis, 38(1), 159–184.

McConnell, J. J., & Servaes, H. (1995). Equity ownership and two faces of debt. Journal of Financial Economics, 39, 131–157.

Miller, M. (1977). Debt and taxes. Journal of Finance, 32(2), 261–275.

Modigliani, F. & Miller, M. (1958). The cost of capital, corporation finance and the theory of investment. American Economic Review, 48(3), 261–297.

_________ (1963). Taxes and the cost of capital: A correction. American Economic Review, 53(3), 433–443.

Moh’d, M. A., Perry, L. G., & Rimbey, J. N. (1998). The impact of ownership structure on corpora-tion debt policy: A time-series cross-sectional analysis. The Financial Review, 33, 85–98.

Morck, R. A., Shleifer, A., & Vishny, R. W. (1988). Management ownership and market valuation. Journal of Financial Economics, 20, 293–315.

Mueller, H. M., & Warneryd, K. (2001). Inside versus outside ownership: A political theory of firm. RAND Journal of Economics, 32(3), 527–541.

Myers, S. C. (2001). Capital structure. The Journal of Economic Perspectives, 15(2), 81–102.

Putterman, L. (1993). Ownership and the nature of firm. Journal of Comparative Econo-mics, 17(2), 243–263.

Prasetyorini, B. F. (2013). Pengaruh ukuran perusahaan, leverage, price earning ratio dan profitabilitas terhadap nilai perusahaan. Jurnal Ilmu Manajemen, 1(1), 183–196.

Rachmawati, A., & Triatmoko, H. (2007). Analisis faktor-faktor yang mempengaruhi kualitas laba dan nilai perusahaan. Makassar: Simposium Nasional Akuntansi X.

Rajan, R. G., & Zingales, L. (1995). What do we know about capital structure? Some evidence from international data. Journal of Finance, L(5), 1421–1460.

Salvatore, D. (2005). Ekonomi manajerial dalam perekonomian global. Edisi 5. Jakarta: Salemba Empat.

Scharfstein, D. S. (1998). The dark side of internal capital markets II: Evidence from diversified conglomerates. NBER Working Paper, 6352.

Short, H., & Keasey, K. (1999). Managerial ownership and the performance of firms: Evidence from the UK. Journal of Corporate Finance, 5, 79–101.

Stiglitz, J. E. (1972). A re-examination of the modigliani-miller theorem. American Economic Review, 59(5) 784–793.

Soliha, E., & Taswan. (2002). Pengaruh kebijakan hutang terhadap nilai perusahaan serta beberapa faktor yang mempengaruhinya. Jurnal Bisnis dan Ekonomi, 9, 149–163.

Sujoko, & Soebiantoro, U. (2007). Pengaruh struktur kepemilikan saham, leverage, faktor intern dan faktor ekstern terhadap nilai perusahaan. Jurnal Manajemen dan Kewirausahaan. 9(1), 41–48.

Thies, C. F., & Klock, M. S. (1992). Determinant of capital structure. Review of Financial Economics, 1(2), 40–53.

Titman, S., & Wessels, R. E. (1988). Determinants of capital structure choice. Working paper. Los Angeles: University of California.

Wiwattanakantang, Y. (2001). The equity ownership structure of Thai firms. Working Paper. Tokyo, Japan: Center for Economic Institutions, Institute of Economic Research, Hitotsubashi University.

Full Text: PDF

The Journal is published by Faculty of Economics, Department of Management - Petra Christian University. It available online supported by Directorate General of Higher Education - Ministry of National Education - Republic of Indonesia.

©All right reserved 2016.Jurnal Manajemen dan Kewirausahaan, ISSN: 1411-1438, e-ISSN: 2338-8234

web stats
View My Stats

Copyright © Research Center Web-Dev Team