Factors affecting long-term investment decisions: Evidence from listed companies in Vietnam

Abstract

The purpose of this study is to analyze the influence of managerial perceptions on the long-term investment decisions of listed companies in Vietnam, focusing on five factors: perception of capital structure, perception of profitability, perception of firm size, perception of corporate governance quality, and perception of financial risk. The study employed a quantitative method through direct surveys of managers at 120 listed companies and was processed using SPSS software. The results show that perception of profitability, perception of firm size, and perception of corporate governance quality have a positive impact on long-term investment decisions, while perception of capital structure and perception of financial risk have a negative influence. These findings affirm the crucial role of managerial awareness in investment decision-making, especially in the context of the Vietnamese market, which still faces high capital costs, significant financial risks, and uneven levels of information transparency. In practical implications, the study suggests that businesses should focus on improving corporate governance, enhancing profitability, leveraging economies of scale, and effectively managing capital structure and financial risks to support long-term investment decisions efficiently and sustainably, thereby contributing to improving the investment environment.