Empirical Nexus between Corporate Governance and Corporate Financial Performance: A Common Estimated Approach
1Rosa Fitriana, 2Renillyn Mores, 3Wahyudin Zarkasyi, 4Yati Mulyati
1,4Widyatama University, Bandung
2De La Salle Lipa, Filipina
3Padjadjaran University, Bandung
https://doi.org/10.47191/jefms/v7-i8-52
ABSTRACT:
The study aims to investigate the association between corporate governance and corporate financial performance. This study is unique and contributing to the body of knowledge by investigating several new and unique relationships between financial management constructs and corporate governance with Common Estimated Method (CEM) which are entirely new to the literature. This study will explore corporate financial performance and corporate governance which have not been explored previously in literature especially in context of management accounting firms. Thus, focusing on major objectives are to bridge the gap between study variables in Indonesian economy especially State-Owned Enterprises (SOE). Another contribution is the unique context of Indonesian industry as such relationships has never been explored in this context before. Thus, current study is expected to provide several key policy insights and future research recommendations.
KEYWORDS:
corporate governance, corporate financial performance, corporate performance
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