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This study aims to examine the effects of company-specific macroeconomic fluctuation in raw materials prices on the speed of adjustment through dynamic targeting capital structure on textile companies listed on the Indonesia Stock Exchange during 2012 and the second quarter of 2020. Using panel data regression of the fixed-effect method, we discovered that the speed of adjustment varies in each industry and period. Textile companies listed on the Indonesia Stock Exchange adjust their capital structure through a dynamic target of 53.3% per year. It takes 1 year and 10 months to close the target capital structure. The factors that determine the target capital structure include company size, tangibility, liquidity and growth opportunity, asset utilization, as well as retained earnings. On the other side, factors that contribute to the speed of adjustment include company size, growth opportunity, earnings volatility, asset utilization, retained earnings, distance to the target, and economic growth. Other factors that also affect the speed of adjustment include fluctuations in the prices of cotton and crude oil. The result of this study is expected to provide an optimal capital structure formulation to the textile industries in Indonesia to finance companies’ operational activities and growth opportunities effectively. This study also provides an overview of how textile companies make capital structure adjustment, as there are changes in company-specific factors, macroeconomic conditions, and fluctuation in raw material prices.

Environmentally friendly and sustainable issues are quite important in business. This study aims to see the effect of green variables on sustainable business both directly and through green entrepreneurship. This analysis method is a multivariate data analysis model, including factor analysis and Partial Least Square (PLS). The research objects were 270 restaurants in several cities in Indonesia included in the UNWTO criteria as a culinary tourism destination city. This research was conducted during the Covid-19 pandemic. All green variables have a significant effect on business sustainability through green entrepreneurship. Business managers must be able to optimize the waste treatment process, for example, not to disturb stakeholders' comfort. [ABSTRACT FROM AUTHOR]

Sustainable development and corporate social responsibility (CSR) are becoming more prominent in Islamic finance, which is characterized by financial and economic models based on ethical principles and values. Previous research has examined various determinants of Islamic CSR disclosure, but only a few of those studies are based on corporate governance mechanism. Thus, the purpose of this paper is to review previous research and fill gaps using a literature review approach. It analyzes the determinants of Islamic CSR disclosure based on previous findings, then categorizes them into: (1) board structure, (2) ownership structure, (3) CEO power, and (4) shariah governance. The study seeks to offer further knowledge about Islamic CSR, and thus contribute fresh insights to academics, Islamic bank company managers, and governments. [ABSTRACT FROM AUTHOR]

The risk is the probability of uncertain situations with the changes. In banks, this circumstance happens when they distribute credits to the parties needing the cash. In performing this intermediary function, the systemic risks related to macroeconomics are available: inflation and exchange rate (ER) of IDR/USD. Hence, this research objective is to investigate and analyze the impact of these systemic risks on non-performing loans. The population originates from the commercial banks in the capital market in Indonesia from 2009 until 2017. We apply the Slovin formula and a simple random sampling method to calculate and acquire the total representative samples. After the archival technique collects the data, we use the regression with pooled data to analyze them. This study demonstrates that systemic risk from the inflation rate positively affects non-performing loans; however, the ER of IDR/USD shows no effect. [ABSTRACT FROM AUTHOR]

Purpose: This paper aims to identify psychological factors that influence people to be involved in Ponzi and pyramid schemes. Design/methodology/approach: A psychological approach to finance or behavioural finance is applied in this research because of the assumption that human beings are not always rational. The sample consisted of 98 investors in 11 cities in Indonesia who were or had invested in an investment program with a Ponzi or pyramid scheme. The snowball sampling technique was applied. Findings: The conclusion is that optimism (emotional bias), confirmation bias, representativeness bias, framing bias and overconfidence (cognitive bias) positively influenced investment decisions related to Ponzi and pyramid schemes. Originality/value: The novelty aspect of this research is the implementation of a behavioural finance perspective to answer and express the fascinating phenomenon of Ponzi and pyramid investment schemes. [ABSTRACT FROM AUTHOR]

The purpose of this paper is to find out the influence of internal and external factors on the risk of musharakah financing of Islamic Commercial Banks in Indonesia. Financing risks in previous Islamic banking studies focus more on overall financing risks involving internal and external aspects, both separately and jointly. There have been no studies that examine the internal and external aspects of sharia commercial banks on financing risks, especially in the musharakah contract. This study will complement the literature on the aforementioned issue. This study uses a quantitative method with panel data regression analysis. The data used is quarter financial ratio data from all Sharia Commercial Banks in Indonesia for the period 2012-2017. The results of the study show that bank internal factors predominantly influence the risk of musharakah financing. Whereas on external factors, only GDP growth has a significant effect. [ABSTRACT FROM AUTHOR]