International Journal of Social and Education (INJOSEDU)
Vol. 1 No. 6 (2024): September

ANALYSIS OF THE IMPACT OF THE IMPLEMENTATION OF SHARIA PRINCIPLES ON THE FINANCIAL PERFORMANCE OF COMPANIES IN INDONESIA

Maraliza, Helma (Unknown)



Article Info

Publish Date
11 Sep 2024

Abstract

This study aims to investigate how sharia principles are applied has affected Indonesian enterprises' financial performance, particularly in the banking and financial industry. The law of sharia principles applied include the prohibition of usury, gharar, and maysir, as well as the implementation of contracts in accordance with Islamic law. The study's conclusions show that applying sharia principles significantly affects improving the company's financial performance. Companies that implement sharia principles tend to have higher levels of profitability, better financial stability, and more effective risk management compared to conventional companies. These findings support the theory that ethical and transparent sharia principles can improve the competitiveness and sustainability of companies in the long term. This study concludes that the company's financial performance benefits from the application of sharia principles, so it is important for companies in Indonesia to consider implementing these principles as part of their financial strategy.

Copyrights © 2024






Journal Info

Abbrev

injosedu

Publisher

Subject

Social Sciences

Description

International Journal of Social and Education (INJOSEDU) is a journal that deals with social, cultural, economic, political and educational issues. Education covers all kinds of fields of education, in the sphere of family, school, and even higher education. The field of education is not confined to ...