ABSTRACT

ISO 9001 is an international standard prepared to help organizations implement a quality management system. In a global context, companies that are efficient, effective and competitive are companies that are attractive to investors. Improving organizational competitiveness, increasing the global economy requires companies to improve management practices with increasingly good standards. In the context of the capital market in Indonesia, stock price reactions always respond to every information, whether good or bad news. This study is to examine ISO 9001 certification by the company in response to stock prices. Therefore, the researcher issued an announcement regarding ISO 9001 certification about the company's stock price in Indonesia. The research method used pair t-test and one sample T-test. The results showed that the company's stock prices in Indonesia were reported quickly and positively on ISO 9001 certification information on first day after the announcement. And cumulative abnormal return shows a positive trend. This research contributes to the importance of corporate governance so that companies get a response from the stock market so that the value of the company increases. In addition, this study also adds a reference to the capital market.

Keywords: certification, ISO 9001, abnormal return, stock price, composite index