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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 582 Documents
Development and Validation of TQM Constructs: The Philippine Experience Talavera, Ma. Gloria V
Gadjah Mada International Journal of Business Vol 6, No 3 (2004): September-December
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada

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Abstract

This study was conducted to determine the critical components of a Total Quality Management program (referred to as TQM constructs) and the specific strategies, policies and programs that should comprise each TQM construct (referred to as TQM elements); and to validate these TQM constructs in selected companies in the Philippines. Development of the TQM constructs involved the theoretical derivation of the TQM constructs from literature. Validation of the TQM constructs involved a two-stage survey determining the critical components perceived important by managers and assessing the extent by which these critical TQM program components are adopted. Assessment of the instrument’s reliability was done through the Internal Consistency Method with Cronbach coefficient alpha as the relevant coefficient while content and construct validity were done through panel review and Exploratory Factor Analyses, respectively.Results of the first survey indicate a slight deviation in what is perceived as critical components of a quality management system vis-a-vis the original 72 TQM elements. In general, the elements pertaining to a TQM construct as theoretically derived no longer formed part of such construct but merged with other elements in another TQM construct where it shared similarity in functions. This implies that under Philippine context, especially when using perception of importance as the basis for scale development, the integration of activities, strategies and functions associated with TQM program adoption is perceived by respondent managers as more critical. The study presented the multi-functional and multi-dimensional aspects of the TQM constructs. The resulting 35 critical TQM items were further validated in Survey 2. The TQM factors pertaining to the adoption of quantitative techniques in quality management as well as the incentive and reward system were rated lowest in terms of adoption.
Trust in Organizational and Workplace Deviant Behavior The Moderating Effect of Locus of Control Abdul Rahim, Abdul Rahman; Nasurdin, Aizzat Mohd.
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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Abstract

This study seeks to investigate the moderating role of locus of control (LOC) in the relationship between trust in organization (TiO) and workplace deviant behavior (WDB). Three forms of deviant behavior are identified: interpersonal deviance, production deviance, and property deviance. The regression analyses carried out on a sample of 355 employees show mixed results. Trust in organization (TiO) demonstrates a negative relationship with production deviance and property deviance. In contrast, trust in organization (TiO) is positively related to interpersonal deviance. Furthermore, locus of control (LOC) is found to moderate the relationship between trust in organization (TiO) and deviant behaviors. Implications, limitations, and suggestions for future research are discussed.
Fraud Firms and the Matching Principle: Evidence from Korea Hong, Jooyeon; Paek, Wonsun gamaijb@gmail.com
Gadjah Mada International Journal of Business Vol 16, No 2 (2014): May-August
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada

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Abstract

This paper examines whether the degree of matching for poor-performing fraud firms varies depending on the strength of the causal relation between expenses and revenues. A stronger causal relation exists between revenues and operating expenses than between revenues and total expenses that include non-operating expenses as well as operating expenses. Fraud firms have stronger incentives for managing earnings. Given that managing earnings is easier when using non-operating items than when using operating items, the degree of matching is (not) lower for fraud firms than for non-fraud firms at the strong (weak) level of the causal relation between revenues and expenses. Empirical results suggest that the degrees of matching are different between fraud and non-fraud firms only at the strong level of the causal relation between revenues and expenses. This result implies that the investigation of the matching model at a strong level of the causal relation between revenues and expenses is more effective than that at a weak level of the causal relation, with regard to examining the degree of matching for fraud firms. This study contributes to the literature by providing evidence on the importance of the level of the causal relation when examining the degree of matching.     
Test FOR Dynamic Relationship between Financial Development and Economic Growth in Malaysia: A Vector Error Correction Modeling Approach Amiruddin, Rosilawati; Mohd Nor, Abu Hassan Shaari; Ismail, Ismadi
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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Abstract

This paper purports to study the effectiveness of financial development to Malaysian economic growth utilizing quarterly data. In view of the priority given to dynamic relationship in conducting this study, Vector Autoregressive (VAR) method which encompasses Johansen-Juselius’ Multivariate cointegration, Vector Error Correction Model (VECM), Impulse Response Function (IRF), and Variance Decomposition (VDC) are used as empirical evidence. The result reveals a short-term and long-term dynamic relationship between financial development and economic growth. The importance of financial sector in influencing the economic activity is proven as a clear policy implication.
Survey on the Use of Derivatives in Indonesia Lantara, I Wayan Nuka
Gadjah Mada International Journal of Business Vol 12, No 3 (2010): September - December
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada

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Abstract

This paper provides survey evidence on the use of derivatives among firms listed on the Indonesian Stock Exchange. The finding shows that the participation rate in the use of derivatives is 28.8 percent, much lower than those found in developed countries. For the derivatives non-users, insignificant risk exposure is reported as the most important rationale for not using derivatives. Consumer goods industry constitutes the largest proportion of firms using derivatives. The majority of respondents utilize derivatives to hedge against financial risks rather than to speculate. Foreign currency risk and interest rate risk are the most important types of risks faced with by respondents. Using the Chi-square and the Fisher’s exact tests, the result corroborates the size effect hypothesis, where the use of derivatives is more popular among large firms than small firms. A SURVEY ON THE USE OF DERIVATIVES IN INDONESIAKeywords: derivatives; hedging; risk management
Aknowledgement in Chief, Editor
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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Abstract

Aknowledgement    
Performance Implications of Environment-Strategy-Governance Misfit Gani, Lindawati; Jermias, Johnny
Gadjah Mada International Journal of Business Vol 11, No 1 (2009): January - April
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada

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Abstract

This study examines the impacts of matching competitive environment, business strategy, and corporate governance structure on firm performance. We predict that in a dynamic environment, firms pursuing a product differentiation strategy will perform better than firms pursuing a strategy of cost leadership, but the performance differential is affected by the level of board independence and managerial share ownership. In a stable environment, we predict that firms pursuing a strategy of cost leadership will perform better than firms pursuing a product differentiation strategy, and the performance differential is affected by the level of board independence and managerial share ownership. Overall, the results are consistent with the predictions of this study. Board independence and managerial ownership affect the performance differential between product differentiators and cost leaders in a dynamic environment. In a stable environment, however, the results are not statistically significant.
WHAT A FIRM TAKES TO COMPETE IN CONDITIONS OF ECONOMIC ADVERSITY Sseyonga, Muyanja
Gadjah Mada International Journal of Business Vol 5, No 1 (2003): January-April
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada

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Abstract

This article attempts to identify the key factors that underpin thesuccess of firms in conditions of economic distress. Such factors encompass astute management with the skill and experience in a variety of competitive moves and maneuvers; adoption of low-cost -low price strategies; more use of scenario planning rather than mere replication of past company actions; sufficient liquidity to exploit opportunities availed by economic downturn;and exploiting the advantages of knowledge management. Better incorporation of information technology, proper use of currency risk management methods, smart globalization that incorporates both government and non-government elements, favors the formation of joint ventures with local businessmen, and investment of ample time in the understanding the customs, values, and traditions of local societies elevate company’s com-petitive advantages over rivals which enhances the company’s capacity to deal with economic distress. It is incontrovertible, however, that the success of firms must be backed by strong and appropriate macroeconomic management by governments with respect to fiscal, monetary and trade policies.
A Comparative Analysis of the Productivity of Islamic and Conventional Mutual Funds in Indonesia: Data Envelopment Analysis (DEA) and General Least Square (GLS) Approaches Abd. Majid, M. Shabri; Maulana, Hartomi
Gadjah Mada International Journal of Business Vol 14, No 2 (2012): May - August
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada

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Abstract

This paper is an extended version of our earlier study (Abd. Majid and Maulana 2010) to further re-examine the relative efficiencies of selected Islamic and conventional mutual funds companies in Indonesia during the period 2004 to 2007 and their determinants. To measure their efficiencies, the output-input data consisting of a panel of conventional and Islamic mutual funds companies are empirically examined based on the most commonly used non-parametric approach, namely, Data Envelopment Analysis (DEA). It also attempts to investigate the influence of the mutual funds companies’ characteristicson efficiency measures using the Generalized Least Square (GLS) estimation. The study finds that, on average, the Indonesian mutual funds companies experienced a decrease in Total Factor Productivity (TFP) growth. It is mainly caused by a decline in both efficiency and technical efficiencies, where the efficiency change is largely contributed by the changes in pure efficiency rather than scale efficiency. Additionally, the study also documents that the funds size negatively affects efficiency. This indicates that due to its diseconomies of scale, a larger mutual funds company is less efficient than a smaller funds company. Finally, in comparing the efficiency of the mutual funds companies, the study finds that, on average, the Islamic unit trust companies perform more poorly than their conventionalcounterparts.
Coworker Exchange, Leader-Member Exchange, and Work Attitudes:P A Study of Coworker Dyads Wikaningrum, Tri
Gadjah Mada International Journal of Business Vol 9, No 2 (2007): May - August
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada

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Abstract

The purpose of this study is to examine how leader-member exchange (LMX) similarity might affect exchange quality between coworkers. This research also investigates the relationships of LMX and CWX (coworker exchange) to employees’ organizational commitment and job satisfaction. Each respondent from 76 nurses at three hospitals in Semarang were asked to rate the quality of the relationship he/she had with his/her supervisor, resulting in 76 LMX ratings. They were also asked to rate the quality of their relationships with each of their coworkers. A dyad was created where we had complete information on two employees rating one another. Once paired, a total of 146 dyads with complete LMX, CWX, and work attitude data were acquired. The results of this research indicate that the interaction between two coworkers’ LMX scores predicts CWX quality for the coworker dyad. After controlling for CWX, LMX quality is positively related to job satisfaction, but not to organizational commitment. Furthermore, after controlling for LMX, a greater diversity in a worker’s CWX relationship is negatively associated to his/her organizational commitment, but not to his/her job satisfaction. The interaction of CWX quality and CWX diversity, however, does not predict work attitude.

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