Pengaruh Koneksi Politik terhadap Diversifikasi Perusahaan

Abstract

This study aims to examine the influence of political connections owned by the company through the board of directors and board of commissioners on company diversification as measured using the Herfindahl Index. This research data is secondary data consisting of financial reports of manufacturing companies listed on the Indonesia Stock Exchange (IDX) for 2019-2021. The sample selection used a purposive sampling technique and obtained 525 observational data. The analysis technique used is panel data analysis. The results of this study indicate that political connections have a positive effect on company diversification.