Jurnal Perspektif Pembiayaan dan Pembangunan Daerah
Vol. 7 No. 1 (2019): Jurnal Perspektif Pembiayaan dan Pembangunan Daerah

Competitiveness of Indonesian banking industry based on commercial bank business group: Panzar Rosse Model

Fajra Octrina (Business Administration, Polytechnic LP3I Bandung, Indonesia)
Rike Setiawati (Faculty of Economics and Business, Universitas Jambi, Indonesia)



Article Info

Publish Date
31 Aug 2019

Abstract

The present research was aimed to investigating the competitiveness in Indonesian banking sector during the period of 2005 to 2016, to set the limit of the scope of the study a total sample is 84 banks. This research was conducted by grouping banks based on ownership and based on BUKU (General Bank based on Business Activities). The study also aimed to analyze the banking competitiveness based on classification of banks and groups of capital ownership. The study was conducted by evaluating the value of H-statistic for the research model comprising of three input variables, namely funds, labors and capital. The results of the research show that the market of banking industry in Indonesia is classified as monopolistic competition. The limitation of this study is that this study only looks at the competition variable, and has not seen its relationship with other variables. In subsequent studies, it is expected to conduct research related to competition and relate it to other variables, such as market share or level of market concentration.

Copyrights © 2019






Journal Info

Abbrev

JES

Publisher

Subject

Economics, Econometrics & Finance

Description

Jurnal Perspektif Pembiayaan dan Pembangunan Daerah (The Journal of Perspectives on Financing and Regional Development) is an open-access, peer-reviewed international forum for scientists involved in research to publish high quality and refereed papers. Jurnal Perspektif Pembiayaan focuses on ...