Open AccessDo Independent Commissioners Control the Effect of Family-Owned Business Characteristics on Dividend Policy? A Study in Indonesian Manufacturing Companies
Author(s) -
Ernie Hendrawaty,
Sri Hasnawati,
Lia Purnamasari
Publication year - 2021
Publication title -
international journal of environmental, sustainability and social science
Language(s) - English
Resource type - Journals
eISSN - 2721-0871
pISSN - 2720-9644
DOI - 10.38142/ijesss.v2i2.71
Subject(s) - panel data , indonesian , dividend policy , dividend , control (management) , business , fixed effects model , regression analysis , control variable , family business , accounting , marketing , finance , econometrics , economics , management , statistics , linguistics , philosophy , mathematics
This study aims to determine the role of independent Commissioners to control the effect of family-owned business characteristics on dividend policy. This study construct panel data that estimate using panel regression with a fixed-effect model. The model is estimated using financial data of 64 Indonesian manufacturing companies that were observed from the period 2016-2018. The result showed that family-owned business characteristics have a positive effect on dividens. The Independent Commisioners were able to control the effect of family business characteristics on the dividend policy. The Independent Commissioners have a role in reducing the positive effect of family-owned businesses characteristics on dividends.