THE ROLE OF CAPITAL STRUCTURE AND INNOVATION IN INFLUENCE COMPANY VALUE

This research has several objectives namely; 1) to find out and analyze the effect of company size (size) on company value; 2) to find out and analyze the effect of company size on capital structure; 3) to know and analyze the effect of profitability on capital structure; 4) to find out and analyze the effect of profitability on company value; 5) to find out and analyze the effect of capital structure on firm value; 6) to determine and analyze the role of capital structure in mediating the relationship of company size with firm value; 7) to know and analyze the role of capital structure in mediating the relationship of profitability with firm value. The population in this study are cosmetics and household use manufacturing companies listed on the Indonesia Stock Exchange (BEI) for the period 2011-2018. Sampling was done purposively with predetermined criteria. The data analysis of this study uses the Partial Least Square (PLS) approach. The calculation results show that the first hypothesis; which states that there is a significant positive effect between company size on firm value is not acceptable. The second hypothesis which states the size of the company (size) has a significant positive effect on capital structure is not acceptable. The third hypothesis which states profitability (profitability) has a significant negative effect on capital structure is not acceptable The fourth hypothesis which states that there is a significant positive effect between profitability on firm value can be accepted. The fifth hypothesis which states that there is a significant positive influence between capital structure on firm value cannot be accepted. Based on calculations, the capital structure variable has not been able to be a mediating variable in intervening the influence of company size on firm value. While on the other hand the capital structure variable is able to mediate in intervening the effect of profitability on firm value.

Avoiding Distortion in Corporate Valuation Litigation: An Application of Discounted Cash Flow

Eter Kharaishvili E-mail: eter.kharaishvili@tsu.ge Professor, Ivane Javakhishvili Tbilisi State University Tbilisi, Georgia https://orcid.org/0000-0003-4013-7354 Nino Lobzhanidze E-mail: nino.lobzhanidze@tsu.ge Assistant Professor, Ivane Javakhishvili Tbilisi State University Tbilisi, Georgia https://orcid.org/0000-0001-5830-6924 Abstract: The clothing industry has evolved substantially over the past 20 years. The changing dynamics of the fashion industry have influenced the development of the fast fashion market and consumer preferences. Manufacturers and retailers have been compelled to provide consumers with mass-produced, on-trend clothing at low costs and with quick turnaround times. The purpose of this research is to identify consumer preferences in the fast fashion market and develop recommendations for anticipated changes. The study employs bibliographic research, analysis, comparison, induction, expert evaluation, factorial analysis, and other methods. To investigate the preferences of the Georgian population within the fast fashion market, a quantitative study was conducted. The sample size was determined using G. Cochran's methodology, with 575 respondents surveyed. The research utilized statistical data from the National Statistical Service of Georgia, international statistics, analytical reports from Georgian economic ministries, materials from local and international organizations, and resources from scientific electronic portals. The article analyzes research on the fast fashion industry and changes in consumer preferences, highlighting the defining characteristics of the fast fashion market. Bibliographic research confirms that demand for fast fashion clothing remains a priority in current consumer behavior. However, it is recommended that brands and retailers update their distribution and sales strategies to align with the evolving reality, particularly changes in consumer preferences. In the fast fashion industry, it is essential to consider prevailing trends such as diversity and inclusion, the adoption of digital technologies, and the integration of physical and digital shopping experiences. When shaping consumer preferences and product choices, three critical factors must be addressed: the duration of the product life cycle, shifts in demand, and impulse buying behavior. The fast fashion market offers numerous growth opportunities, the most significant of which include: The introduction of circular economy models, the use of sustainable raw materials, the adoption of digital technologies to optimize customer preferences, personalize offerings, and improve supply chain operations. Quantitative research was conducted to study changes in consumer preferences. The survey included 575 respondents from 22 countries, including Georgia, Italy, France, the United Kingdom, Turkey, the United States, Germany, Austria, China, Sweden, Norway, Hungary, Ukraine, Ireland, Albania, Azerbaijan, Iraq, Pakistan, Slovakia, Indonesia, Poland, and Uruguay. The study addressed the following research questions: What are the current preferences of fast fashion consumers? What are the characteristics of fast fashion consumer behavior in European countries and Georgia? How important is fast fashion clothing for consumer self-esteem? What factors influence fast fashion consumer preferences? What distinguishing features can be observed in the motives and preferences for purchasing fast fashion clothing in Georgia and European countries? How important are sustainability and ethical considerations when purchasing clothing (e.g., environmental impact)? Are consumers willing to pay a higher price for clothing produced according to sustainable development or ethical principles? What is the impact of fast fashion on the planet and people? The results of the quantitative research are compared with findings from similar studies conducted in European countries. The article discusses the main limitations of the study, including regional differences in socio-economic conditions, the diversity of quantitative and qualitative methodologies, the need for longitudinal studies, and the impact of emerging trends. Directions for future research are proposed to address these limitations. The paper concludes by offering recommendations for adapting to expected changes in consumer preferences. Keywords: fast fashion; clothing market; consumer preferences; changing preferences; challenges. JEL Classification: D01; D12; L67.

This research aims to determine the impact of tax avoidance, financial performance, and growth on firm value with capital structure as a moderator. It is very important for companies to study ways to increase the value of the company in order to attract investor interest in investing capital and to enhance investor confidence. The high interest of investors of all ages in investing in the company's shares can be reflected in the company's good value. Financial ratios provide an overview of a company's condition and health, especially to external parties, one of which is investors. The population of this study consists of companies listed on the IDX in the cyclical and non-cyclical consumption sectors during the period from 2020 to 2023. There are 128 test samples using the purposive sampling method. The results of this study indicate that tax avoidance does not have an impact on the value of the company, which is considered to reflect the emergence of non-compliance by the company in fulfilling its obligations as a taxpayer. Meanwhile, financial performance and growth have an impact on the value of the company, as ROA and SIZE can reflect the movement of the firm value. The role of capital structure cannot moderate the influence of tax avoidance on firm value, whereas capital structure can moderate the influence of financial performance and growth on firm value. The results of this study concludes that investors and decision-makers needs to pay attention in financial ratio when evaluating a company.

This study investigates the impact of profitability on firm value, with capital structure serving as a mediating variable and firm size as a moderating variable, focusing on companies listed on the Indonesia Stock Exchange's IDX30 index from 2018 to 2022. A quantitative approach is employed to examine the causal relationships, utilizing secondary data from the financial statements of each company, which were sourced from the firms' official websites or the IDX website. A non-probability sampling method was used to select the companies from the IDX30 index during the specified period. The analysis was conducted using panel data, with descriptive statistics and conditional process Hayes analysis performed through SPSS25 and the Hayes Process. The results reveal that profitability has a positive and significant effect on firm value, while also demonstrating a negative and significant impact on capital structure. Furthermore, capital structure positively influences firm value and mediates the relationship between profitability and firm value. Additionally, firm size moderates the effect of profitability on firm value and the impact of capital structure on firm value. These findings provide insights into the interconnected roles of profitability, capital structure, and firm size in determining firm value among IDX30 index listed companies.

The purpose of the study is to identify the transformations of working conditions and requirements for hotel staff based on an analysis of current trends in the development of the hotel business and changes in consumer preferences. The methodological basis of the study was the works of Russian scientists and practitioners in the field of hotel services and tourism, as well as on the topic of the peculiarities of the functioning of the domestic hotel business in modern conditions. The subject of the study is the economic relations that arise in the process of functioning of enterprises in the hotel industry, considering current trends and prospects for their development. The article identifies the following main and new challenges facing the hospitality industry as a result of the consequences of the pandemic and the current realities of the international situation: to ensure the widespread digitalization of technological processes and services offered; to pay attention to issues of respect for nature (greening activities); to introduce new types of accommodation means into the practice of domestic business, to take into account changes in consumer requirements and preferences. Based on the analysis of such customer preferences, a conclusion is made about their diversity and inconsistency. It was found that hotel companies are forced to change along with tourists, adapting to their requests and requirements. The development of tourism and hospitality in the digital economy also implies qualitative changes in the training and hiring of personnel. It was revealed that further digitalization, the use of modern software and the use of artificial intelligence in the hotel business will lead to a decrease in routine work in hotels, a reduction in employees and at the same time to the need to improve their qualification level. It is shown that it is advisable to make the choice of optimal software in order to increase the productivity of a hotel enterprise based on the involvement of specialists. Consulting analysts will help to choose from a variety of applications for the hotel business exactly those that will improve the efficiency of a particular customer hotel.

This research aims to describe profitability, liquidity, capital structure, and firm value; analyze the influence of profitability on capital structure; analyze the influence of liquidity on capital structure; analyze the influence of profitability on firm value; analyze the influence of liquidity on firm value; analyze the influence of capital structure on firm value; analyze the indirect effect of profitability on firm value through capital structure; and analyze the indirect effect of liquidity on firm value through capital structure. The population in this study consists of 27 listed companies. The sampling technique used is purposive sampling with criteria that provide financial reports for 4 years, from 2019 to 2022. Based on these criteria, a total of 13 companies were selected as samples. The data analysis technique used is path analysis. The results of the analysis show that profitability has a significant influence on capital structure. However, liquidity does not have a significant influence on capital structure. Profitability does not have a significant influence on firm value, whereas liquidity has a significant influence on firm value. Capital structure does not have a significant influence on firm value. Additionally, profitability does not have an indirect influence on firm value through capital structure, and neither does liquidity.

<p><em>The implementation of Corporate Social Responsibility is now very necessary. The purpose of this study is to explain the effect of CSR Disclosure (XI) on Company Value (Y), Profitability (X2) on Company Value (Y), and the role of Capital Structure (Z) as a moderating variable of the influence of CSR (XI) and Profitability (X2 ) of Company Value (Y).The sample in this study is a food and beverage company listed on the Indonesia Stock Exchange (BEI), in 2013-2017 whose financial statements contain corporate social responsibility activities. Data is taken through financial statements that will be sampled according to the desired criteria. This analysis technique uses statistical analysis, and regression analysis. The results of this study indicate that the Corporate Social Responsibility (CSR) variable has a positive and significant effect on Company Value, the Profitability Variable has a positive and significant effect on Company Value, the Capital Structure Variable significantly strengthens the effect of Corporate Social Responsibility (CSR) on Company Value, the Capital Structure Variable significantly strengthens the effect of Profitability on Company Value.</em></p><p><strong><em>Keywords:</em></strong><em> Corporate Social Responsibility (CSR) Disclosure, Profitability, Capital Structure, Company Value.</em></p>

Purpose: The purpose of this study is to determine the effect of sustainability reports, capital structure, and cash flow volatility on company values for mining companies in the energy and basic material sectors listed on the Indonesia Stock Exchange in 2021-2023 using investment opportunity set as a moderation. Methodology: The subjects of the study were mining companies in the energy and raw materials sector listed on the Indonesia Stock Exchange (IDX) in 2021-2023. There is a lot of data so purposive sampling is needed to filter the data needed and processed using multiple linear regression and Moderating Regression Analysis Results: Investment opportunity set can strengthen the influence of sustainability report, capital structure and cash flow volatility on company values. Finding: Sustainability report and capital structure have a positive effect on firm value while cash flow volatility has a negative effect on firm value. Investment opportunity set moderates the effect of sustainability report and capital structure on company values, but Investment opportunity set does not moderate the effect of cash flow volatility on company values. Novelty: This study uses the energy and basic materials sectors because these sectors have experienced a fairly high increase in investment value which results in high capital requirements and high cash flow volatility. Originality: This study provides a detailed explanation of the role of investment opportunity set as a moderating tool for the influence of sustainability reports, capital structure and cash flow volatility on company values. Conclusion: By using investment opportunity sets, the influence of sustainability reports and capital structures on company values can be increased, but according to research results, it turns out that investment opportunity sets cannot increase the influence of cash flow volatility on company values. Type of paper: Empirical Research Paper

The value of industrial sector companies continued to decline in the 2019-2021 period, which indicates that company performance in the industrial sector is still not good. Companies need to pay attention to what factors have an impact on the value of the company so that they can always increase the performance and value of the company. This study aims to empirically examine the influence of Profitability and Firm Size on Firm Value with Capital Structure as moderator. The population of this study is 56 industrial sector companies listed on the IDX for the 2019-2021 period with 44 sample data. Sampling was taken using purposive sampling method, and data analysis was using Moderated Regression Analysis (MRA) using the SPSS program. The results of this study prove that profitability has a positive impact on firm value, firm size does not affect firm value, capital structure cannot moderate the impact of profitability on firm value, capital structure can strengthen the impact of firm size on firm value. The results of this study contribute to industrial sector companies in an effort to increase the value of their companies.

Purpose. The aim of the article is to identify and analyse the key theoretical aspects of the consumer behaviour model in the context of international trade activity, as well as methodological approaches that allow predicting consumer preferences and adapting companies' strategies to the requirements of global markets. Methodology of research. The theoretical and methodological basis of the research consists of scientific works dedicated to consumer behaviour models, as well as the analysis of the application of economic theories, particularly the theory of utility, preferences, and choice, for assessing demand in international markets. The research employed general scientific and specialized methods, such as literature analysis, statistical models, and empirical data, which allowed for the evaluation of factors influencing consumer preferences and customer satisfaction. Special attention was given to the use of machine learning methods and big data for forecasting demand and adapting offerings to the needs of different market segments. Findings. The key aspects influencing consumer behaviour in international markets have been identified: economic, social, cultural, and psychological factors. Modern approaches to modelling consumer behaviour have been considered, including the use of machine learning methods for demand forecasting and offer personalization. The main factors contributing to the successful adaptation of companies to changes in consumer preferences have been identified, particularly the importance of using big data and artificial intelligence technologies to detect and meet the needs of different consumer groups. The effectiveness of approaches such as market segmentation, adaptation of marketing strategies, and offer personalization has been evaluated to ensure competitiveness in the global market. Originality. Further expansion of the concept of consumer behaviour modelling based on innovative methods such as machine learning and big data analysis has allowed for the proposal of an integrative approach to forecasting and adapting offers in international markets. The significance of cultural, social, and economic characteristics for effective demand management and the formation of marketing strategies have been substantiated, which is crucial for ensuring sustainable business development in the context of globalization. Practical value. The results of the study can be used to develop new strategies for companies operating in international markets and help them effectively adapt their offerings to changes in consumer preferences. The use of innovative methods for analysing consumer behaviour will significantly enhance the competitiveness of companies and ensure sustainable economic development in the context of globalization and rapid changes in international markets. Key words: globalization, competitiveness, international trade, consumer behaviour models, demand, market segmentation, utility theory.

The COVID-19 pandemic has brought impacts on the food system in several ways, such as on the supply and demand of food or changes in consumer preferences. However, little is known yet about these effects but needs to be analyzed to define actions and policies for crisis mitigation and achieving food system resilience and food security. In this article, we estimate the effect of the COVID-19 lockdown on changes in food consumer preferences in Colombia, applying a logit model approach for seven attributes, namely animal welfare, environmental sustainability, information on the origin and manufacturing of food, food appearance, food price, fair payment to the producer, and food packaging. In addition, we provide an analysis of changes in beef consumption during the lockdown, since the beef industry is among Colombia's most important agricultural activities and is heavily affected by substitution effects. Our results show that consumer beliefs regarding these attributes remained mostly stable, but that income is a determining factor for the decision to consume certain types of food, such as beef, rather than for possible changes in beliefs. This means that income ends up being decisive for the consumption of food such as beef and that, for its part, it does not have a greater weight in the change of beliefs of the people surveyed. The results will help the food system actors in defining interventions for achieving food security and resilience.

This study aims to analyze the effect of company growth, capital structure, and dividend policy on firm value in property, real estate, and building construction companies listed on the Indonesia Stock Exchange for the period 2013-2017. The data used are secondary data and the method used is panel data regression analysis with the help of the Eviews 9 program to obtain a comprehensive picture of the relationship between one variable with another variable. The sample in this study consisted of 19 companies that were consistently listed on the IDX for 5 years in the 2013-2017 period with purposive sampling as a sampling method. The results of this study are that the variable capital structure and dividend policy have a significant influence on the firm's value partially at a level of significance of less than 5%. While the company's growth variable does not have a significant effect on the company's value partially. The results of the simultaneous regression analysis found that company growth, capital structure, and dividend policy together affect the value of the company. The predictive ability of the three variables on firm value is 72.1% while the remaining 27.9% is influenced by other factors

The purpose of this study was to examine: the effect of corporate social responsibility on firm value, the effect of capital structure on firm value and to know the ability of capital structure to moderate corporate social responsibility on firm value in companies listed on the Sri-Kehati Index. The research method uses the Moderated Regression Analysis model, purposive sampling with 25 companies two years of observation 2017-2018. The results of this study are the capital structure does not affect the value of the company, corporate social responsibility does not affect the value of the company, the potential capital structure in moderating the relationship of corporate social responsibility to the value of the company in companies listed on the Sri-Kehati Index.


 The purpose of this study is to examine the effect of firm size, sales growth, asset structure, and profitability on firm value with capital structure as an intervening variable. The population are all companies listed on the Indonesia Stock Exchange. While the sample in this study were all manufacturing companies listed on the Indonesia Stock Exchange Period 2012 - 2017. Sampling using purposive sampling and data analysis methods using multiple linear regression and path analysis. The results of this study are firm size and asset structure have a positive effect on capital structure. Sales growth and profitability have a negative effect on capital structure. Capital structure, sales growth, and asset structure have a negative effect on firm value. Firm size has a positive effect on company value. Capital structure cannot mediate the influence of firm size and profitability on firm value. Capital structure can mediate the effect of sales growth and asset structure on firm value.