The influence of corporate social responsibility, corporate governance and firm size, on the value of manufacturing companies in Indonesia: Profitability as mediation

This study tests the effect of Corporate Social Responsibility, Good Corporate Governance, and Firm Size on firm value, with profitability as an intervening variable. The population was 133 manufacturing companies listed on the Indonesia Stock Exchange in 2013-2018. A census method was used to sample secondary data from the financial statements of listed companies in that period. Path analysis was used to analysis data using the Partial Last Square (PLS) program. The results are that Corporate Social Responsibility, Good Corporate Governance, and Firm Size have a positive effect on profitability and firm value. Profitability is an intervening variable between the relationship of Good Corporate Governance, Corporate Social Responsibility, and Firm Size to firm value. The study is a reference for government in building policies about the extent of the implementation of corporate social responsibility in Indonesia. The area is regulated by Indonesian Law no. 40 (2007) about Limited Liability, and relates to increasing investor perceptions about financial performance, corporate governance, and firm size.