• Enrico Pranata Adiwidjojo Universitas Kristen Satya Wacana
  • Robiyanto Robiyanto Universitas Kristen Satya Wacana
Keywords: Cash Holding, Family firm, Gender Diversity, Leverage


Family firms are companies that are controlled by family members through ownership and management. This study aims to observe the existence of cash holding, gender diversity, and performance in family and non-family firms. Purposive sampling in this study resulted in 47 samples of companies listed on the PEFINDO25 Index. In the selection of these samples found 26 family firm and 21 non-family firm. Test results in this study prove that there is a significant difference in cash holding. Cash holding at the family firm is larger, but variables other than cash holding do not show a significant difference. The implications of this study are for investors, governments, and corporate power holders as a reference for decision making.


Adams, R. B., & Ferreira, D. (2009). Women in the boardroom and their impact on governance and performance. Journal of Financial Economics, 94(2), 291–309.

Afza Amran, N., & Che Ahmad, A. (2009). Family Business, Board Dynamics and Firm Value: Evidence from Malaysia. Journal of Financial Reporting and Accounting, 7(1), 53–74.

Ali, A., Chen, T., & Radhakrishnan, S. (2007). Corporate disclosures by family firms. 44, 238–286.

Allouche, J., Amann, B., Jaussaud, J., & Kurashina, T. (2008). The impact of family control on the performance and financial characteristics of family versus nonfamily businesses in Japan: A matched-pair investigation. Family Business Review, 21(4), 315–330.

Anderson, R. C., & Reeb, D. M. (2003). Founding-Family Ownership and Firm Performance: Evidence from the S&P 500. Journal of Finance, 58(3), 1301–1328.

Andres, C. (2008). Large Shareholders and Firm Performance — An empirical examination of founding-family ownership. 14, 431–445.

Bambang, M., & Hermawan, M. S. (2013). Founding Family Ownership and Firm Performance in Consumer Goods Industry: Evidence from Indonesia. SSRN Electronic Journal, 4(2), 112–131.

Barontini, R., & Caprio, L. (2006). The effect of family control on firm value and performance: Evidence from continental Europe. European Financial Management, 12(5), 689–723.

Bertrand, M., & Schoar, A. (2006). The Role of Family in Family Firms. Journal of Economic Perspectives, 20(2), 73–96.

Cheryta, A. M., Moeljadi, M., & Indrawati, N. K. (2018). Leverage, Asymmetric Information, Firm Value, and Cash Holdings in Indonesia. Jurnal Keuangan Dan Perbankan, 22(1), 83–93.

Chrisman, J. J., Chua, J. H., & Pearson, A. W. (2012). E T & P in Small Firms. Entrepreneurship Theory and Practice, 267–293.

Faccio, M., Lang H.P., L., & Leslie, Y. (2001). The ultimate ownership of western European corporations. Corporate Governance and Corporate Finance: A European Perspective, 163–190.

Gill, A. (2012). Determinants of Corporate Cash Holdings : Evidence from Canada. 4(1), 70–79.

Glaeser, E., Bertrand, M., Diamond, D., Giannetti, M., Gromb, D., Guadalupe, M., … Yermack, D. (2007). Inside the Family Firm: The Role of Families in Succession Decisions and Performance. Journal of Economic, (May).

Hermawati, T. (2007). Budaya Jawa dan Kesetaraan Gender. Jurnal Komunikasi Massa, 1(1), 18–24. Retrieved from

Jensen, C., & Meckling, H. (1976). Theory of The Firm : Managerial Behavior , Agency Costs and Ownership Structure. Journal of Financial Economics, 3, 305–360.

Jensen, M. C. (2005). The Free Cash Flow Theory of Takeovers: A Financial Perspective on Mergers and Acquisitions and the Economy. SSRN Electronic Journal, 102–143.

Kang, H., Cheng, M., & Gray, S. J. (2007). Corporate Governance and Board Composition: diversity and independence of Australian boards. Journal Compilation, 15(2), 194–207.

Kristanti, F. T., Hendrawan, R., Eka, S., & Alrasidi, S. (2019). The differences between family firms and non-family firms : Evidence in Indonesia. Jurnal Keuangan Dan Perbankan, 23(2), 206–216. Retrieved from

Lückerath-Rovers, M. (2013). Women on boards and firm performance. Journal of Management and Governance, 17(2), 491–509.

Miller, D., & Breton-miller, I. Le. (2006). Family Governance and Firm Performance: Agency, Stewardship, and Capabilities. Family Business Review, 19(1), 73–87.

Ozkan, A., & Ozkan, N. (2004). Corporate cash holdings: An empirical investigation of UK companies. Journal of Banking and Finance, 28(9), 2103–2134.

Rhode, D., & Packel, A. K. (2012). Diversity on Corporate Boards: How Much Difference Does Difference Make? SSRN Electronic Journal, 377–426.

Robert, G. D. (1988). The Family Business. Family Business Review, 1(4), 427–445.

Singapurwoko, A. (2013). Indonesian Family Business vs. Non-Family Business Enterprises: Which has Better Performance? International Journal of Business and Commerce, 2(5), 35–43. Retrieved from
How to Cite
Adiwidjojo, E., & Robiyanto, R. (2020). THE DIFFERENCES BETWEEN FAMILY FIRM AND NON-FAMILY FIRM PERFORMANCE: STUDY ON PEFINDO25 INDEX. Jurnal Ilmiah MEA (Manajemen, Ekonomi, & Akuntansi), 4(3), 37-47.