ANALYSING THE IMPACT OF CORPORATE GOVERNANCE ON FIRM VALUE – A CASE STUDY
DOI:
https://doi.org/10.53555/54hyfa76Keywords:
Firm Size, Board Diversity Index, Herfindahl-Hirschman Index, Firm ValueAbstract
This article studies the stimulus of Corporate Governance on Firm Value. Upright Corporate Governance enhances investor confidence, promotes financial stability, reduces risk of corporate scandals, and contributes to long-standing business sustainability and value construction. Recognizing the implication of corporate governance practices, an empirical study has been made in Seshasayee Paper and Boards Ltd as a first effort, casing the duration of seven years from 2017-18 to 2023-24. No earlier analysis has been done in this perspective. In the current study, Tobin’s Q formula has been applied for arriving at the value of the firm. Corporate Governance factors viz., Firm Size, Board Diversity Index and Herfindahl-Hirschman Index (HHI – shareholding pattern) have been considered as independent variables to evaluate their impression on the dependant variable – firm value. Multiple Regression model has been applied for evaluation.
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