Structural equation model of variables affecting firm’s market value in precious mineral mining industry: Case of Eastern African Community

Abstract

This paper investigates the relationship between social factors, capabilities, and technology reliability and their effect on market valuation of gold mining companies in the Eastern African Community (EAC). Many stakeholders believe that promoting the use of technology among employees can be challenging. The idea primarily contributes to increasing growth, profitability, and development using technologies and training needs and a well-established control procedure in the gold mining industry. Therefore, increasing the firm overall market value serves as the key objective of this study. In each company, six senior managers were selected in the Eastern African Community to survey this research. The findings confirm the relationship between variables and alignment to the hypothesis and theoretical framework. Overall, gold mining companies should strive to pursue the proper structure, as it offers a sound foundation for the operations and technology of the company to increase their market values.