Firm Value: Does Corporate Governance and Research & Development Investment Matter?


  • Cut Sri Murinda Faculty of Economic and Business of Syiah Kuala University, Banda Aceh Indonesia
  • Islahuddin Islahuddin Faculty of Economic and Business of Syiah Kuala University, Banda Aceh Indonesia
  • Nuraini A Faculty of Economic and Business of Syiah Kuala University, Banda Aceh Indonesia



Enterprise Risk Management Disclosure, Good Corporate Governance, Intellectual Capital, Research & Development Investment


This study aims to examine the factors that affect firm value. This research uses purposive sampling method. The sample of the research is 45 financial companies (128 year-firm observations) listed in Indonesia Stock Exchange for the period of 2017-2019. Multiple regression analysis with unbalanced panel data was applied to analyze the data. A corporate governance index published by Globe and Mail with 4 sub-indices is adopted, namely board composition, shareholding and compensation policies, shareholder rights and disclosure. The results of this study indicate that good corporate governance and research & development investment have no effect on firm value. This explains that the implementation of good corporate governance and firm investment in research & development are not the main information for investors in making investments. However, intellectual capital and enterprise risk management disclosure have effect on firm value. The results can be used as a reference for researchers, especially in the accounting sector related to the development of measuring instruments for good corporate governance.


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