Title: DIVERSIFICATION STRATEGY, EFFICIENCY AND PERFORMANCE OF MANUFACTURING COMPANIES LISTED ON THE INDONESIAN STOCK EXCHANGE

Author: RISKA AGUSTIN

Item Type : Thesis (Thesis)

Affiliations: Master of Management Science Study Program, Faculty of Economics and Business, Universitas Airlangga , Surabaya, Indonesia

Publisher: Universitas Airlangga

 

Abstract

Diversification strategy is an important strategy in developing a company's market share globally which is expected to improve company performance. Diversification strategies can be carried out by diversifying into different industry segments and international diversification. In carrying out a diversification strategy approach, managers need knowledge and efficiency in managing this strategy so that they can increase the benefits of diversification strategies on company performance. This research aims to determine the effect of diversification strategy on company performance which is moderated by efficiency. This research was conducted in the manufacturing sector listed on the Indonesia Stock Exchange (BEI) with an observation period of 2012-2017. Based on the population criteria applied, the sample selection method used was purposive sampling and data was obtained from 71 companies with 273 data samples. The analysis technique used is using Data Envelopment Analysis (DEA) to determine the efficiency value of a company with the help of DEAP 21 software and using multiple linear regression to determine the influence between variables with the help of SPSS 21 software. The results of the research show that industrial diversification and international diversification have a positive effect significant to company performance. Efficiency as a moderating variable shows the same results on the relationship between the two types of diversification on company performance. Efficiency strengthens the positive influence of industrial diversification and international diversification on company performance.

Keywords: diversification, efficiency, company performance, data envelopment analysis (DEA).

 

Sources: http://repository.unair.ac.id/76825/