Title: The Influence of Company Characteristics and Macro Variables on Capital Structure Decisions in Manufacturing Companies Listed on the Indonesia Stock Exchange and Bursa Malaysia in 2009-2013
Authors: Rizqi Izdihar Helmi
Item Type: Thesis (Thesis)
Affiliations: Master of Management Science Study Program, Faculty of Economics and Business, Universitas Airlangga , Surabaya, Indonesia
Publisher: Universitas Airlangga
Abstract
Capital structure decisions in a company are influenced by both microeconomic and macroeconomic variables. The microeconomic variables that influence are company size, profitability, asset tangibility, and company growth, while the macroeconomic variables are Gross Domestic Product (GDP) growth, inflation rate, and interest rates. This research is quantitative research using secondary data from the Indonesia Market Capital Data (ICMD) and the Malaysian Stock Exchange. The research in Indonesia covers three sectors: basic and chemical industries, various industries, and consumer goods. The research in Malaysia only covers two sectors: consumer goods and industrial goods. The number of observations in Indonesia includes 530 observations, while observations in Malaysia include 106 observations. The results of the research in Indonesia show that the microeconomic variables of profitability, growth, and asset tangibility have a positive influence, while the microeconomic variable of company size has a negative influence on the company's capital structure decisions. All macroeconomic variables have a negative influence on the inflation rate, interest rate, and GDP growth. The results of the research in Malaysia show that the microeconomic variables of profitability, growth, and asset tangibility have a positive influence, while the microeconomic variable of company size has a negative influence on the company's capital structure decisions. All macroeconomic variables have a negative influence on inflation rates, interest rates, and GDP growth.
Keywords: capital structure, microeconomic variables, macroeconomic variables
Sources: http://repository.unair.ac.id/64901/