Analysis of Management Strategy, Corporate Social Responsibility and High-Profile Firm Value In Indonesia

Abstract

Information regarding Corporate Social Responsibility (CSR) can encourage investors to make decisions that enhance firm value. Efficient risk management in operational activities further increases firm value while minimizing potential operational failures. High-profile companies show greater interest in disclosing CSR activities due to high external sensitivity and media coverage. This study examines the moderating effects of risk management and media exposure on the impact of CSR on high-profile firm value in Indonesia from 2016 to 2018. Using a quantitative approach, secondary data from 69 observations were analyzed through Moderated Regression Analysis (MRA). The empirical findings indicate that CSR has a significant positive effect on high-profile firm value. However, neither risk management nor media exposure moderates the relationship between CSR and firm value. These findings suggest that investors evaluate CSR implementation as a direct positive signal rather than focusing on risk disclosures or media coverage. Consequently, companies should prioritize genuine CSR practices to enhance corporate value, while regulators need to establish clearer standards for risk management disclosures.