The Analysis of Causal Factors Influencing Sustainable Growth of Listed in the Stock Exchange of Thailand: Real Estate and Construction Business Group

Abstract

The purpose of this research is to analyze the causal factors influencing sustainable growth of real estate and construction business group listed in the Stock Exchange of Thailand. The research conducted under quantitative approach with secondary data collection from consecutive passed five-year data, since 2013 to 2017 on the record form and collecting data shown in the financial reports together with the 56-1 form posted on the website of the Stock Exchange of Thailand. The research population consists of 537 companies from the real estate and construction business group listed the stock market. Regarding to purposive sampling technique, a total of 65 companies in the list covers the complete financial statement of designed criteria in order to examine the hypotheses. The statistics in the analysis are advanced statistics, the linear structural equation modeling, for path analysis. The study reveals the factors influencing sustainable growth of real estate and construction business group listed in the Stock Exchange of Thailand at the statistical significance level of 0.05. The capital structure has a positive influence on sustainable growth and earning management has a negative influence on sustainable growth. It implies the capital structure establishing itself on debts tends to having more growth in real estate business, whereas a firm with earning management reduces its business growth as well. In addition, it also exhibits the audit quality has a negative influence on earning management. It is seen if a firm performs the qualified audit work, the deduction of earning management will occur.