أثر استراتيجية التنويع في القيمة السوقية للشركات الخدمية المساهمة العامة الأردنية

Abstract EN

This study aims to analyze the effect of diversification strategy on market value.

In addition, it aims to clarify the role of the financial leverage in modifying the effect of diversification strategy on the market value of Jordanian public service firms.

The study population consisted of the service firms listed in Amman Stock Exchange, which have available financial reports for the years (2001-2015).

The sample of the study included (20) service firms, out of (49) service firms, with a total of (300) observations.

The study used the Panel Data Approach in order to achieve the objective of the study.

The study used the two step (2SLS) method to address the effect of the diversification strategy on market value.

The results indicated that diversification strategy positively affects market value.

However, the results did not show the difference in the effect of diversification strategy on market value depending on the difference in financial leverage levels.