Gadjah Mada International Journal of Business
Gadjah Mada International Journal of Business (GamaIJB) is a peer-reviewed journal published three times a year (January-April, May-August, and September-December) by Master of Management Program, Faculty of Economics and Business, Universitas Gadjah Mada. GamaIJB is intended to be the journal for publishing articles reporting the results of research on business, especially in the context of emerging economies.
The GamaIJB invites manuscripts in the various topics include, but not limited to, functional areas of management, accounting, international business, entrepreneurship, business economics, risk management, knowledge management, information systems, ethics, and sustainability.
Articles
617 Documents
Abusive Supervision Scale Development in Indonesia
Wulani, Fenika;
Purwanto, Bernadinus M;
Handoko, Hani
Gadjah Mada International Journal of Business Vol 16, No 1 (2014): January-April
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada
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The purpose of this study was to develop a scale of abusive supervision in Indonesia. The study was conducted with a different context and scale development method from Tepperâs (2000) abusive supervision scale. The abusive supervision scale from Tepper (2000) was developed in the U.S., which has a cultural orientation of low power distance. The current study was conducted in Indonesia, which has a high power distance. This study used interview procedures to obtain information about supervisorâs abusive behavior, and it was also assessed by experts. The results of this study indicated that abusive supervision was a 3-dimensional construct. There were anger-active abuse (6 items), humiliation-active abuse (4 items), and passive abuse (15 items). These scales have internal reliabilities of 0.947, 0.922, and 0.845, in sequence.       Â
AN INVESTIGATION INTO FACTORS INFLUENCING INTERNATIONAL STRATEGIC ALLIANCE PROCESS
Wahyuni, Sari;
Postma, Theo J.B.M.
Gadjah Mada International Journal of Business Vol 5, No 3 (2003): September-December
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada
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Empirical research indicates that strategic alliances, like other organizational forms, emerge as an adaptive mechanism to market uncertainty, and their developments over time reflect the co-evolution of distinctive firm capabilities and of industry and market activities. Interestingly, most strategic alliances go through similar revolutionary cycles in terms of their motives and capabilities toward the cooperative relationship. Studies in this areas how that alliance failure is an outcome of the co-evolutionary adjustment to changes in the market, the competitive dynamics between partners, and assessment of efficiency of the alliance as an alternative governance structure. It is thus critical to adopt a dynamics perspective and historical observations of cooperative process. This paper attempts to distil, derive and integrate theories across different perspectives into a unified framework that offers a better understanding of alliance process development. Our analysis shows that we can divide strategic alliance development into three phases of development: formation, operation and evaluation. We further endeavor to seek the important factors that should be taken into account in each stage of their life.
Inflation Dynamics in Indonesia: Equilibrium Correction and Forward-Looking Phillips Curve Approaches
Insukindro, Insukindro;
Sahadewo, Gumilang Aryo
Gadjah Mada International Journal of Business Vol 12, No 1 (2010): January - April
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada
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A series of relatively high inflation characterize Indonesian economy, especially during the economic crisis. Economists generally agree that high inflation is one of the major economic problems, and that economic authorities need to cope with such a problem. Therefore, it is essential to understand the behavior of inflation in Indonesia. The aim of this paper is to estimate the inflation dynamics in Indonesia using equilibrium correction and forward-looking Phillips Curve approaches. Previous empirical studies show that the equilibrium correction or backward-looking approach may explain the inflation dynamics in Indonesia. The backward-looking specification does not have to be the proper model even if the fact shows that the specification holds. The major innovation of this paper is the application of a forward-looking Phillips curve model. The empirical resultsâestimated using the Generalized Method of Moments (GMM)âshow that the forward-looking Phillips Curve approach dominates the backward-looking behavior. It indicates that after a credible monetary policy announcement, for instance, the former model predicts that economic agents will change their behavior quickly. Therefore, the policy will affect the economy more rapidly
Factors Affecting Poor Strategy Implementation
Pella, Muh. Darmin Ahmad;
Sumarwan, Ujang;
Daryanto, Arief;
Kirbrandoko, .
Gadjah Mada International Journal of Business Vol 15, No 2 (2013): May-August
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada
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Research on strategy implementation has been developed for three decades, yet only a few studies focus on factors affecting poor strategy implementation. This research evaluates the influence of strategy implementation problems on strategy implementation success and firm performance. This survey was conducted in 60 Indonesian companies and the data were statistically analysed using Structural Equation Modeling Partial Least Square (SEM PLS). The results show significant influence of strategy implementation problems on the degree of successful strategy implementation and perceived firm performance. The seven major obstacles that have impact on poor strategy implementation are: problems related to corporate scorecard, key performance indicators, information technology, competence, performance appraisal, strategy management office, and financial support.                 Â
REAL STOCK PRICES AND THE LONG-RUN MONEY DEMAND FUNCTION IN MALAYSIA: Evidence from Error Correction Model
Abdullah, Naziruddin;
Abd. Majid, M. Shabri
Gadjah Mada International Journal of Business Vol 6, No 2 (2004): May-August
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada
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This study adopts the error correction model to empirically investigate the role of real stock prices in the long run-money demand in the Malaysian financial or money market for the period 1977: Q1-1997: Q2. Specifically, an attempt is made to check whether the real narrow money (M1/P) is cointegrated with the selected variables like industrial production index (IPI), one-year T-Bill rates (TB12), and real stock prices (RSP). If a cointegration between the variables, i.e., the dependent and independent variables, is found to be the case, it may imply that there exists a long-run co-movement among these variables in the Malaysian money market. From the empirical results it is found that the cointegration between money demand and real stock prices (RSP) is positive, implying that in the long run there is a positive association between real stock prices (RSP) and demand for real narrow money (M1/P). The policy implication that can be extracted from this study is that an increase in stock prices is likely to necessitate an expansionary monetary policy to prevent nominal income or inflation target from undershooting.
Product Development Categorized as Independent Strategic and Innovative Practice: Case from Indian Manufacturing
Dutt, Himanshu
Gadjah Mada International Journal of Business Vol 10, No 2 (2008): May - August
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada
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In recent time, Indian manufacturing has seen technologically intensive and resource optimization based initiatives to satisfy competitive urge and to build or sustain market position. This they do by developing products either strategically or innovatively, but that is hardly distinguished or seen as a separate approach to product development. Strategically, product development is resource optimization based while innovatively, it is product differentiation focused. This paper outlines the strategic and innovative approach to product development and analyzes sector specific role of each in product development. The study is undertaken with nine product development team-leaders and resource-heads, three of each from automobile, steel and textile. It is concluded that textile is strategically skewed toward product development whereas automobile is inclined towards innovative orientation. The biggest limitation of this study is smaller sample-size because respondents are reluctant to disclose new technical initiatives and composition of product development.
How Does Procedural Fairness Affect Performance Evaluation System Satisfaction? (Evidence from a UK Police Force)
Mahfud, Sholihin
Gadjah Mada International Journal of Business Vol 15, No 3 (2013): September - December
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada
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This paper investigates whether, and if so, how procedural fairness affects performance evaluation system satisfaction in a UK Police Force. Employing a survey method with samples of detective inspectors and detective chief inspectors with significant managerial responsibilities in a UK Police Force, this study finds that procedural fairness affects performance evaluation system satisfaction. Further analysis reveals that the effect of procedural fairness on performance evaluation system satisfaction is mediated by trust. This study provides empirical evidence on how procedural fairness affects performance evaluation system satisfaction. The results of this study may benefit the designer of performance evaluation systems in police organizations.Â
Bank Mergers Performance and the Determinants of Singaporean Banksâ Efficiency: An Application of Two-Stage Banking Models
Sufian, Fadzlan;
Abd. Majid, Muhamed-Zulkhibri
Gadjah Mada International Journal of Business Vol 9, No 1 (2007): January - April
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada
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An event study window analysis of Data Envelopment Analysis (DEA) is employed in this study to investigate the effect of mergers and acquisitions on Singaporean domestic banking groupsâ efficiency. The results suggest that the mergers have resulted in a higher post-merger mean overall efficiency of Singaporean banking groups. However, from the scale efficiency perspective, our findings do not support further consolidation in the Singaporean banking sector. We find mixed evidence of the efficiency characteristics of the acquirers and targets banks. Hence, the findings do not fully support the hypothesis that a more (less) efficient bank becomes the acquirer (target). In most cases, our results further confirm the hypothesis that the acquiring bankâs mean overall efficiency improves (deteriorates) post-merger resulted from the merger with a more (less) efficient bank. Tobit regression model is employed to determine factors affecting bank performance, and the results suggest that bank profitability has a significantly positive impact on bank efficiency, whereas poor loan quality has a significantly negative influence on bank performance.
Accounting Fundamentals and the Variation of Stock Price: Factoring in the Investment Scalability
Sumiyana, Sumiyana;
Baridwan, Zaki;
Sugiri, Slamet;
Hartono, Jogiyanto
Gadjah Mada International Journal of Business Vol 12, No 2 (2010): May - August
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada
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This study develops a new return model with respect to accounting fundamentals. The new return model is based on Chen and Zhang (2007). This study takes into account theinvestment scalability information. Specifically, this study splitsthe scale of firmâs operations into short-run and long-runinvestment scalabilities. We document that five accounting fun-damentals explain the variation of annual stock return. Thefactors, comprised book value, earnings yield, short-run andlong-run investment scalabilities, and growth opportunities, co associate positively with stock price. The remaining factor,which is the pure interest rate, is negatively related to annualstock return. This study finds that inducing short-run and long-run investment scalabilities into the model could improve the degree of association. In other words, they have value rel-evance. Finally, this study suggests that basic trading strategieswill improve if investors revert to the accounting fundamentals.Keywords: accounting fundamentals; book value; earnings yield; growth opportuniÂties; shortÂrun and longÂrun investment scalabilities; trading strategy;value relevance
The Bank Lending Channel of Monetary Policy? The Panel Evidence from Egypt
Shokr, Mohamed Aseel;
Karim, Zulkefly Abdul;
Jusoh, Mansor;
Zaidi, Mohd. Azlan Shah Shah
Gadjah Mada International Journal of Business Vol 16, No 3 (2014): September-December
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada
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This paper examines the relevance of the bank lending channel of monetary policy in Egypt using bank-level data. Previous empirical studies in Egypt that used macro-level data have not supported the relevance of the bank lending channel. However, using a sample of 32 commercial banks for the period from 1998 until 2011 and a dynamic panel GMM technique, the empirical findings revealed the relevance of the bank lending channel of monetary policy in Egypt. Moreover, there is a heterogeneity effect of monetary policy on bank loans according to bank size, in which the small banks are more affected during a monetary contraction than larger banks. This finding signals that the monetary authorities in Egypt should take cognizance of the stability of interest rates in order to stabilize the bank loan supply.      Â