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Gadjah Mada International Journal of Business
ISSN : 14111128     EISSN : 23387238     DOI : -
Core Subject : Economy,
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.
Arjuna Subject : -
Articles 617 Documents
Motivational Factors of the Collaborative Consumption in the Era of Sharing Econmy Iin Mayasari; Handrix Chrisharyanto
Gadjah Mada International Journal of Business Vol 20, No 3 (2018): September-December
Publisher : Master in Management, Faculty of Economics and Business, Universitas Gadjah Mada

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.22146/gamaijb.27552

Abstract

The aim of this study was to analyze the motivational factors of collaborative consumption in the era of the sharing economy, as a part of consumers’ behavior by online media platforms. Collaborative consumption is about people’s willingness to share and to collaborate to meet certain needs. The study used the qualitative method with interviews for the data’s collection. The context of the study was using consumers who had experience of using Airbnb, Go-Jek, and selling their product via online media. Twenty-four respondents were obtained for the interviews. The length of each interview was approximately 1.5 hours. The analysis of this shifting consumption across its different facets provided an analysis of the motivational aspect of sharing resources, and the change in consumer consumption patterns. The motivational research examined the underlying reasons for consumers to act, and to undertake collaborative consumption; home sharing and selling second-hand goods were analyzed from the perspectives of their economic aspects, utility reasons, social orientation, emotional aspects, ecological aspects and personal values.
Gold VS Bond: What Is the Safe Haven for the Indonesian and Malaysian Capital Market? Robiyanto Robiyanto
Gadjah Mada International Journal of Business Vol 20, No 3 (2018): September-December
Publisher : Master in Management, Faculty of Economics and Business, Universitas Gadjah Mada

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.22146/gamaijb.27775

Abstract

This study scrutinizes the potency of gold and bonds as safe haven assets for the Indonesian and Malaysian capital markets, because some previous studies have been undertaken in established market settings. The research period for this study was from June 2008 to September 2016. The quantile regression technique was used to analyze the data. The results of this study indicated that gold did not have a role as a safe haven for the Indonesian capital market, but did have a role as the safe haven for the Malaysian capital market. This study also found that Indonesian government bonds, Malaysian government bonds, and Malaysian corporate bonds could not act as safe haven assets. In contrast, corporate bonds in Indonesia had the potency to perform the function of a safe haven for stocks on the Indonesian Stock Exchange. 
Determinants of Labor Productivity in Emerging Markets: Evidence from Pre- and Post-Financial Crisis Mexico Young-Hee Kang; Kyunga Na
Gadjah Mada International Journal of Business Vol 20, No 3 (2018): September-December
Publisher : Master in Management, Faculty of Economics and Business, Universitas Gadjah Mada

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (174.62 KB) | DOI: 10.22146/gamaijb.28891

Abstract

Although the global financial crisis of 2008 had tremendous effects on global businesses, its impact on firm performance in emerging markets is unknown. To develop this knowledge, this study explores the factors that influenced labor productivity in emerging markets before and after the crisis. Using a sample of 2,061 Mexican firms that were collected by the World Bank in 2006 and 2010, this study investigates the relationships of bribery, informality, and corporate governance to labor productivity. The results show that, before the crisis, informality and foreign ownership were positively associated with labor productivity. On the other hand, after the crisis, bribery and informality are negatively related to labor productivity, while foreign ownership and external auditing make positive impacts on labor productivity. The findings imply that businesses need to improve the quality of their corporate governance and decrease bribery. Governments of emerging markets need to reduce the levels of informality.
International Financial Reporting Standards Foreign Direct Investment in Asean Countries Maryam Yousefi Nejad; Azlina Ahmad; Mohd Fairuz Md Salleh; Ruzita Abdul Rahim
Gadjah Mada International Journal of Business Vol 20, No 3 (2018): September-December
Publisher : Master in Management, Faculty of Economics and Business, Universitas Gadjah Mada

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (485.387 KB)

Abstract

The objective of this study is to investigate the relationship between International Financial Reporting Standard (IFRS) and Foreign Direct Investment (FDI) inflows. FDI has been identified as an economic consequence of IFRS. However, thus far, few studies have examined this issue in developing countries and there are no studies which have examined IFRS-FDI in ASEAN countries. In order to fulfill this objective, this study hypothesizes that IFRS is positively associated with FDI inflows. The hypothesis was empirically tested using a sample consisting of the ten ASEAN countries from 2001 to 2016, using a bias corrected Least Square Dummy Variable (LSDVC), and Ordinary Least Square (OLS). The results of the LSDVC and OLS analyses indicate that IFRS is positively associated with FDI inflows. Normally after the adoption of a new standard such as IFRS, regulators, practitioners and academicians would be interested in understanding the consequences. Therefore, this study contributes to the understanding of the economic consequences of IFRS. This study also provides evidence regarding the outcomes of IFRS, from the aspects of FDI inflows’ enhancement. Therefore, the outcomes of this study may be useful for adopter and non-adopter countries to understand the economic consequences of IFRS. The findings may also provide important inputs to policy makers of non-adopter countries who are contemplating the adoption of IFRS. The positive relationship between IFRS and FDI inflows provides evidence that IFRS is an important determinant of FDI inflows, and eventually economic growth.
Does a Deposit Insurance Scheme Induce Moral Hazard among Bankers? Evidence from an experiment with bankers Gumilang Aryo Sahadewo; Bernardinus Maria Purwanto; Rimawan Pradiptyo
Gadjah Mada International Journal of Business Vol 20, No 3 (2018): September-December
Publisher : Master in Management, Faculty of Economics and Business, Universitas Gadjah Mada

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.22146/gamaijb.38873

Abstract

The implementation of a deposit insurance scheme entails a trade off. On one hand, as shown in theoretical and empirical studies, a deposit insurance scheme reduces the likelihood of a bank run. On the other hand, a deposit insurance scheme induces moral hazard among bankers that may lead to bank failures. We rigorously test the effect of different deposit coverage limit and the implementation of a differential premium treatment on bankers’ behaviors in the deposit and credit market. We do so by designing a laboratory experiment that involves real bankers as participants. We find that the coverage limit treatments do not have any effect on deposit rate offer. Nevertheless, we find that a high deposit coverage limit induces smaller banks to have a higher share of risky projects. This is evidence of moral hazard particularly among small banks.
Is University Students’ Value Orientation toward Integrity Behind Their Decision to Cheat or Not Cheat in Exams? Anggara Wisesa; Dematria Pringgabayu; Adita Pritasari; Nurfaisa Hidayanti; Dany Muhammad Athory Ramdlany
Gadjah Mada International Journal of Business Vol 21, No 1 (2019): January-April
Publisher : Master in Management, Faculty of Economics and Business, Universitas Gadjah Mada

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (297.827 KB) | DOI: 10.22146/gamaijb.25755

Abstract

Organizational values characterize every activity, including the behavior of the members of an organization, and their decision-making. However, there are moments in which the members of the organization violate the values, even though they know they should not. It also happens to university students. This fact brings us to reflect on how the values are interpreted in value orientation. By employing the phenomenological method using Kohlberg’s constructivist theory of moral development stages, this study explored the value orientation towards integrity in business school students’ decisions to cheat or not. The result indicates that even for students who face the same decision to cheat or not, their decision is affected by how they understand the value of integrity, which depends on their value orientation and their cognitive moral development. Most respondents had a mindset of egoistic value orientation, which is more concerned with the benefits and payback when making a decision. Most cases happened without there being a prior decision to cheat; the decision is made at the time of the exam by considering the emerging internal or external situational factors.
Working Capital Management in Indonesia: An Analysis on Over-investment and Under-investment Firms Rahmat Heru Setianto; Adinda Pratiwi
Gadjah Mada International Journal of Business Vol 21, No 1 (2019): January-April
Publisher : Master in Management, Faculty of Economics and Business, Universitas Gadjah Mada

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (345.385 KB) | DOI: 10.22146/gamaijb.28354

Abstract

This study aims to examine the existence of excess working capital in Indonesian firms and its effect on the firms’ performance and risk. The sample includes 425 firm-year observations of Indonesian manufacturing firms for the period 2010 – 2014. To account for the potential asymmetric relation between excess Net Working Capital (NWC) and firm performance, an asymmetric regression model is employed, allowing the slope coefficient of the excess NWC to be different for positive and negative excess NWC. The results indicate (i) the existence of an optimal level of working capital, (ii) higher excess working capital leads to lower performance and risk, (iii) additional investment in working capital reduces firms’ performance for those with positive excess working capital. It is also documented that (iv) additional investment in working capital reduces firms’ risk for those that have working capital deficiencies. The findings have important implications for corporate managers in determining the optimal level of working capital.
The Building of Country Manager's Competence and Its Use to Orchestra Subsidiary's Resources: Empirical Study of Indonesian Subsidiaries in Nigeria So Yohanes Jimmy; Firmanzah Firmanzah; Tengku Ezni Balqiah; Albert Widjaja
Gadjah Mada International Journal of Business Vol 21, No 1 (2019): January-April
Publisher : Master in Management, Faculty of Economics and Business, Universitas Gadjah Mada

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (449.507 KB) | DOI: 10.22146/gamaijb.29191

Abstract

This study employs resource orchestration model to investigate the influence of country manager’s competence on subsidiary performance in host country. Structural equation model with multisteps approach is operated using Lisrel to analyze 41 data from Indonesian business unit operating in Nigeria. This study found that country managers uses subsidiary absorptive capacity, which is formed by the combination of headquarter and local partner resources, as the dominant source of learning to develop their competence overtime. This competence does not directly influence subsidiary performance, but it is notably used to accumulate the critical assets for their subordinate business units. These assets then become valuable inputs for business units to develop or modify their operational capabilities, which directly influence the performance. One contribution of this study is providing more detail explanation of how headquarter resources invested abroad are transformed into subsidiary performance.
The Effect of Executive Compensation on Credit Default Swap Spread Meizaroh Meizaroh; Masripah Masripah
Gadjah Mada International Journal of Business Vol 21, No 1 (2019): January-April
Publisher : Master in Management, Faculty of Economics and Business, Universitas Gadjah Mada

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (306.965 KB) | DOI: 10.22146/gamaijb.32246

Abstract

Investors have been trying to formulate the optimum composition of executives’ compensation which will incentivize the executives to perform better and act in the shareholders’ best interests. This study aims to find empirical evidence about the impact of executive compensation on the default risk with the Credit Default Swap (CDS) spread as the proxy, using panel data to test the research model, which combines the analysis of cross-section and time series data. The study is conducted based on 1,416 observations of 177 U.S. companies from 2008-2015. The data are mainly collected from Datastream, Compustat, CRSP, and the US SEC’s EDGAR database. The current study provides a contribution by suggesting that executives’ compensation will trigger risk-taking behavior. The results of this study reveal, firstly, both equity-based compensation and debt-like compensation induce risk-taking behavior by the executives. Secondly, the correlation between both the form of the compensation and the CDS spread is weakened in a high information asymmetry environment. Lastly, this study finds that a CFO’s compensation has more influence on the CDS spread, compared to the other board executives, but this condition only occurs when the compensation is awarded in the form of debt-like compensation. To improve the generalization of the results, a further study may consider expanding the sample into several countries.
Building SMEs’ Competitive Advantage and the Organizational Agility of Apparel Retailers in Indonesia: The role of ICT as an Initial Trigger Achsanul Qosasi; Erwin Permana; Anang Muftiadi; Margo Purnomo; Erna Maulina
Gadjah Mada International Journal of Business Vol 21, No 1 (2019): January-April
Publisher : Master in Management, Faculty of Economics and Business, Universitas Gadjah Mada

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (478.16 KB) | DOI: 10.22146/gamaijb.39001

Abstract

The use of Information and Communication Technology (ICT) could make Small Medium Enterprises (SME) capable of capturing future potential markets. This study investigates how the use of ICT affects firms’ agility and finally ends in their competitive advantage. In other words, this study examines how firms’ ICT capabilities directly enhance their competitive advantage. Their ICT capability also affects the firms’ competitive agitlity indirectly by mediating their business agility. This study infers that if small business firms would like to enhance their supply chains and customer relationship management, they should adopt ICT as a tool to transform their businesses. This transformation improves small firms’ competitiveness levels because it allows them to manage all their customers. Meanwhile, the small business firms could enhance their agility due to their suppliers’ closeness. This means that the small business firms have posited the concepts and philosophy suggested by the resources dependent theory.

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