The Impact of CEO Characteristics on Firm Value in the Mining Sector in Southeast Asia
1Michael Aditya Kurniawan Purnomo,2Wahyu Widarjo
1,2Faculty of Economics and Business, Sebelas Maret University, Surakarta, Indonesia.
https://doi.org/10.47191/jefms/v7-i12-37ABSTRACT:
Economic activity is an important aspect of social interaction, which forms the basis of business operations. This study aims to provide empirical evidence regarding the impact of CEO characteristics, such as gender, education level, discipline, tenure, overseas work experience, and foreign nationality, on firm value in the mining sector in Southeast Asia. Using the purposive sampling method, this study involves 70 mining companies that have published annual and financial reports from 2018-2023. Multiple linear regression analysis shows that CEO gender, education level, tenure, and foreign nationality significantly affect firm value. The results show that companies led by female CEOs and those with higher education levels tend to have higher values. In contrast, the CEO's discipline and foreign work experience do not significantly affect firm value. These findings emphasise the importance of considering CEO characteristics in strategic decision-making to improve firm performance. Future research should explore other variables that may contribute to firm value and conduct cross-sector analyses for a more comprehensive understanding.
KEYWORDS:
CEO, gender, education level, firm value, overseas work experience, mining sector.
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