ANALYSIS OF THE EFFECT OF GOOD CORPORATE GOVERNANCE ON COMPANY VALUE AT PT. ASTRA HONDA MOTOR MEDAN

Tonny  Setiawan Sinaga

Tonny Setiawan Sinaga Science of Management, Economic and Bussiness, University of North Sumatera,Medan, Indonesia

Keywords: Managerial Ownership, Independent Commissioner, Corporate Values

Abstract

The development of the business world which continues to increase every year requires business people to develop the implementation of a new corporate governance system, namely good corporate governance. This research is classified as quantitative descriptive research. The purpose of this study was to examine the effect of the mechanism of Good Corporate Governance (managerial ownership and independent commissioners) either partially or simultaneously on company value as measured by Price to Book Value (PBV) at PT. Astra Honda Motor Medan. The data used is secondary data with data collection techniques through the official website of the research object. The data analysis technique used is statistical multiple linear regression analysis. The results of this study indicate that by means of a partial test managerial ownership and independent commissioners have no effect on firm value. Simultaneously managerial ownership and independent commissioners have no effect on firm value (Price to Book Value)