Capital Structure Factors of Influencing the Effectiveness Management on Listed Companies in Stock Exchange of Thailand

Abstract

Capital is an important factor in running a business that has to be planned and decided on capital structure to get the right ratio, take into account the cost of capital incurred to get the lowest cost of capital, result in higher companies value. This is presented capital structure factors of influencing the effectiveness management. Qualitative study by synthesizing the documentary and interviews with 20 exclusives. Quantitative study to collected in listed companies during 2018 – 2020 in the samples of 320 companies on listed companies in Stock Exchange of Thailand. Capital structure to effectiveness management of tangibility, profitability, firm size, growth opportunity, non-debt tax shield, liquidity, volatility of earnings, share price performance. In this regards, capital structure factors of influencing the effectiveness management of firm size and non-debt tax benefits were positively related to debt financing with a statistical significance level of .01.  Finally, the exclusives should select a funding source that is appropriate to the situation in order to reduce unprofitable financing costs to effectiveness management.