Untitled

Abstract

This study aims to test empirically the factors affecting firm’s performance. The object of this research is manufacturing companies listed in Indonesia Stock Exchange for the period of 2017-2019. Sampling was done by using non-probability sampling technique with purposive sampling method which resulted 80 sample companies for 240 observational data. To test the hypotheses, univariate analysis and multiple linear regression is used. This study found that the number of segments and investment opportunity set have a significant effect on the firm’s performance, meanwhile the diversification level and earning growth do not have a significant influence. With the conclusion that the number of segments and investment opportunity set have a positive effect on the firm’s performance, also multi segment firms’ performance is higher than single segment firms’ performance.