This paper is aimed at investigating the impact of Enterprise Risk Management (ERM) on firm value in Vietnam. Data is collected from 345 publicly traded companies on the Vietnamese stock exchange, covering 1,380 firm-year observations from 2018-2021. Then, the research team applied the quantitative methodology by using panel data with the model of a general least square (GLS) to evaluate the effect of ERM on firm value. In this study, we investigate the existence of appropriate ERM practices in Vietnamese businesses and their potential to enhance business value. The key results provide compelling empirical support for the advantage of effective ERM adoption in improving firm value in Vietnam. In addition, our findings point out that most of the factors examined, namely ROA, Firm Size, Total Asset Turnover, and Dividends show a significant positive effect, whereas Geopolitical Instability, Financial Leverage, and Firm Age are found to negative impact on firm value and Sales Growth has an insignificant relationship with the change in the value of the firm. Based on the results, our suggested recommendations are that companies should pay more attention to adapting and performing enterprise risk management in order to maximize the value, especially during a period of ongoing geopolitical instability.
