Journal of Private and Commercial Law
Vol. 8 No. 2 (2024): Journal of Private and Commercial Law

Analysis of The Impact of News Related to The Company's Image on Share Sales in Stock Market

Arvian Wiyanggoro (Faculty of Law, Universitas Negeri Semarang)
Amar Ma’ruf (University of Adelaide)



Article Info

Publish Date
30 Apr 2025

Abstract

The primary purpose of this research is to examine the stock price of a company's shares, which has brought negative information available on the Indonesia Stock Exchange (IDX) to the case of any company. One of many go-public companies' corporate name is PT X. One of its subsidiaries is PT Y, the eSAF frame manufacturer for motor vehicles. This study employs a normative legal approach using library research techniques as the data collection method and analyzes two approaches in research methods: statute and conceptual. The results show that a good quality product leads to negative publicity for the firm, which in turn results in the selling of shares by investors, leading to a fall in PT X stock prices. This paper emphasizes negative news flow regarding stock prices and approaches it from both the stock and investor perspective. The research's contribution focuses on the relations between corporate news, investors, and stock market activity, looking at the example of the Indonesian market, which has practical value for investors, companies, and market regulators. The eSAF frame was one of the reasons, though attention towards the weight and corrosion resistance properties was highlighted. The outcome of this situation was the declining prices of PT X stock because the negative news caused investors to pull out their investments in PT X shares. This shows that share prices quickly move in the direction of the news, especially bad news, and the investors' perception of the company regarding market performance.

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Journal Info

Abbrev

jpcl

Publisher

Subject

Law, Crime, Criminology & Criminal Justice

Description

The Journal of Private and Commercial Law (ISSN Print 2599-0314 ISSN 2599-0306 Online) is a scientific publication dedicated to the fields of Private and Commercial Law, as well as related disciplines. It was initiated by the Department of Private and Commercial Law, Faculty of Law at Universitas ...