The Impact of Capital Structure Determinant on Investment Opportunity: Evidences from Manufacturing Companies in ASEAN Countries

I Gede Adiputra, Atang Hermawan

Abstract

The purpose of this research is to obtain the result that determines the capital structure that consists of: firm size, financial risks, profitability, and debt policy on investments opportunity in fiveASEAN countries: Indonesia, Malaysia, Singapore, Thailand, and Philippines. The subject of this research is the manufacturing companies that are listed on the stock exchange market between the year of 2011 to the year of 2016. Data analysis method that is used in this research is Simultaneous Regression and panel. The result of this research proved that firm size had a positive and significant influence on Investment Opportunity in Indonesia, Malaysia and Singapore but not significant in Thailand and Philippines. The financial risk had no influence on Investment Opportunity in five ASEAN countries. Profitablity had a positive and significance influence on Investment Opportunity in Singapore, Phillipines, and Thailand. The debt policy had negative and significance influence in Indonesia, Thailand, and Phillipines. The currency rate plays a significant role for Investment Opportunity in Indonesia, Malaysia, and Singapore. Altogether, the capital structure had significant influence on Investment Opportunity. In Singapore, it gave no significance but instead had significant influence in the other four ASEAN countries.

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Paper Citation


in Harvard Style

Adiputra I. and Hermawan A. (2018). The Impact of Capital Structure Determinant on Investment Opportunity: Evidences from Manufacturing Companies in ASEAN Countries.In Proceedings of the 7th International Conference on Entrepreneurship and Business Management - ICEBM Untar, ISBN 978-989-758-363-6, pages 105-112. DOI: 10.5220/0008488901050112


in Bibtex Style

@conference{icebm untar18,
author={I Gede Adiputra and Atang Hermawan},
title={The Impact of Capital Structure Determinant on Investment Opportunity: Evidences from Manufacturing Companies in ASEAN Countries},
booktitle={Proceedings of the 7th International Conference on Entrepreneurship and Business Management - ICEBM Untar,},
year={2018},
pages={105-112},
publisher={SciTePress},
organization={INSTICC},
doi={10.5220/0008488901050112},
isbn={978-989-758-363-6},
}


in EndNote Style

TY - CONF

JO - Proceedings of the 7th International Conference on Entrepreneurship and Business Management - ICEBM Untar,
TI - The Impact of Capital Structure Determinant on Investment Opportunity: Evidences from Manufacturing Companies in ASEAN Countries
SN - 978-989-758-363-6
AU - Adiputra I.
AU - Hermawan A.
PY - 2018
SP - 105
EP - 112
DO - 10.5220/0008488901050112