Pengaruh Strategi Bisnis Perusahaan Dan Kompetisi Pasar Ekuitas Terhadap Risiko Crash Harga Saham Dengan Overvalued Equities Sebagai Variabel Mediasi

Abstract

A b s tr a c tBusiness Strategy, Equity Market Competition, Overvalued Equities, and Stock Price Crash Risk. The purpose of this research is to examine the influence of prospector business strategy and defender business strategy, equity market competition, and indirect effect of prospector business strategy on stock price crash risk through ovevalued equities. The sample of this research are 192 companies that are divided into 96 prospector business strategy and 96 defender business strategy during 2010-2016. This study uses a secondary data from financial report, number of investor, and stock price information. Which is obtained from the official website of IDX, KSEI and yahoo finance. The results of this study indicate that the prospector business strategy effect on the stock price crash risk, while the defender business strategy does not affect on stock price crash risk. The equity market competition is proven to reduce the stock price crash risk. The existence of a prospector business strategy will tend to overvalued equities which in turn, increase stock price crash risk.

The Effect Of Innovation Strategy In The Influence Of Managerial Ability On Firm Performance

“…Capable managers have improved firm performance without selecting an innovation strategy. The strategic choice of each company must be adjusted to the firm's character and conditions (Arianwuri et al, 2017). The focus of manufacturing sector companies in Indonesia is still on managing complex operations, so innovation is limited.…”

“…The focus of manufacturing sector companies in Indonesia is still on managing complex operations, so innovation is limited. Innovation requires many research and development costs and causes higher risk uncertainty (Arianwuri et al, 2017). So, innovation is dangerous for the manufacturing sector, which has to survive and run complex operations in intense competition.…”