• Title/Summary/Keyword: Structural Equation Modelling

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Relationship Between Innovation Activities and Business Performance: A Case Study in Indonesia

  • ARIF, Muhammad Ridwan;HASAN, Dahsan
    • The Journal of Asian Finance, Economics and Business
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    • v.8 no.4
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    • pp.307-315
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    • 2021
  • The study aims to investigate the relationship between innovation activities and business process performance in higher education institution (hereinafter referred to as "HEI") context. The data was collected using a survey and later analyzed through Partial Least Squares Structural Equation Modelling (PLSSEM) and SmartPLS software. A total of 50 questionnaires were submitted from respondents representing vocational study program management located in Makassar, Indonesia. The findings show that two hypotheses discussed in this study fit the empirical data. Specifically, the results show that there is a positive relationship between innovation activities and business process performance, involving two types of innovation activities, which are exploration activities and exploitation activities, within HEIs. Explorative activity is firmly related to exploitative activity, which furthermore links to business process performance within the HEIs observed. The results confirm that exploration activity can stimulate and lead the HEIs management to generate exploitation activity. For instance, capabilities to absorb knowledge from the external institution may lead this institution to generate advanced academic processes, as well as more efficient and effective managerial processes. The study also signifies ambidexterity capacity, suggesting that it may lead HEIs management to formulate proper strategies in achieving better performance and gaining competitive advantage.

The Relationship Between Internal Auditors' Personality Traits, Internal Audit Effectiveness, and Financial Reporting Quality: Empirical Evidence from Jordan

  • ALBAWWAT, Ibrahim Emair;AL-HAJAIA, Mohammad Eid;AL FRIJAT, Yaser Saleh
    • The Journal of Asian Finance, Economics and Business
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    • v.8 no.4
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    • pp.797-808
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    • 2021
  • This study examines the interaction between internal auditors' personality traits and the internal audit function effectiveness. It also investigates the effect of such interacted variables on financial reporting quality. This study employed a questionnaire survey to collect data from 193 internal auditors of Jordanian companies listed on the Amman Stock Exchange. The study model is validated and tested using the partial least squares structural equation modelling. The results reveal that all the examined personality traits of internal auditors significantly impact internal audit function effectiveness except for the extraversion trait. The results also show that personality traits have indirect effects on financial reporting quality via internal audit function effectiveness. These results suggest that internal auditors with high scores on openness to experience, emotional stability, and conscientiousness traits can be among the most significant contributors to the internal audit function effectiveness. The results also suggest that internal auditors' personality traits can be regarded as an internal audit function intangible resource that enhances effectiveness. The study's findings might be of interest to many different parties interested in enhancing internal audit function effectiveness and boosting the financial reporting quality, such as external and internal auditors, auditees, human resource departments, and Chief Internal Audit Executives.

The Effect of Sharia Destination Image on Developing Post-Visit Behavior: A Case Study in Indonesia

  • MARLIZAR, Marlizar;LUBIS, Abdul Rahman;UTAMI, Sorayanti;CHAN, Syafruddin
    • The Journal of Asian Finance, Economics and Business
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    • v.8 no.4
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    • pp.959-969
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    • 2021
  • This study aims to develop new constructs and indicators for sharia destination image, and then examine its effects on perceived value, tourist satisfaction, and post-visit behaviour. Furthermore, it analyses the mediating role of perceived value and tourist satisfaction on relationship between sharia destination image and post-visit behaviour. The population were domestic and Malaysian Muslim tourists who visited Aceh during the study period. The sampling was carried out in two stages. The first stage involved selecting most visited districts. The second stage involved randomly selecting tourists who visit during the study period in the districts. Data was collected using a structured questionnaire with a Likert scale. Also, a total of 270 questionnaires were distributed to domestic and Malaysian tourists in Aceh. Cluster sampling was used to determine the sample area, and purposive sampling technique was used to determine the study sample. Furthermore, the data analysis technique is Structural Equation Modelling. The results showed that the sharia destination image has a significant effect on perceived value. Meanwhile, the perceived value significantly influenced tourist satisfaction and post-visit behaviour. In addition, the perceived value and tourist satisfaction can mediate the effects of sharia destination image, which has no direct effect on post-visit behaviour.

Investigating Determinants of Entrepreneurial Leadership Among SMEs and Their Role in Sustainable Economic Development of Saudi Arabia

  • NAUSHAD, Mohammad
    • The Journal of Asian Finance, Economics and Business
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    • v.8 no.4
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    • pp.225-237
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    • 2021
  • The current study aims to classify what determines entrepreneurial leadership among small and medium enterprises (SMEs) in the Saudi Arabian context. It also attempted to recognize the role played by entrepreneurial leadership by supporting SMEs in the nation's sustainable economic growth. The study is based on a primary survey administered among SMEs in the Riyadh region of Saudi Arabia. Overall, 152 responses were collected. However, after data cleaning, only 107 were found to be fit for final analysis. Structural Equation Modelling using SmartPLS® Software was applied for analysis. The findings emerged from the study immensely concluded that entrepreneurial leadership is an essential instrument for managers/owners of the SMEs sector who aim to improve the efficiency of tasks and contextual performance in Saudi Arabia. The study came across that "ability to absorb uncertainty," "ability to build commitment," "the ability to frame the Challenge," "the ability of path-clearing," and "ability to specify limits," are the five constructs that help frame the entrepreneurial leadership in the Saudi context. The study suggests that leadership trainers, SME policymakers must focus on precisely these skills to inculcate the ability of entrepreneurial leadership among Saudi entrepreneurs, SMEs owners, and managers.

What Kind of Fun Food Marketing Do Customers Want?

  • CHA, Seong-Soo;LEE, Min-Ho
    • The Korean Journal of Food & Health Convergence
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    • v.7 no.3
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    • pp.1-11
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    • 2021
  • Purpose of the research: This study aims to explain the state of marketing using fun among recent popular marketing strategies. Although companies are using various differentiated marketing strategies to gain a competitive edge, among them, fun marketing has constituted the most effective area of interest recently. Research design and methodology: To extract the customer selection attributes of fun marketing, after reviewing the literature, six optional attributes were selected from the factors of fun marketing towards consumers such as funny design, language play, celebrity use, funny taste, how to eat, and newtro (new + retro). Out of 300 questionnaires, 276 were used for analysis, excluding unscrupulous or incomplete questionnaires. The results were reviewed for validity and reliability using SPSS andAMOS, and the hypothesis was verified using structural equation modelling (SEM). Principal results: The results showed that funny design, language play, and newtro statistically significantly affected customer satisfaction, but celebrity use, funny taste, and eating methods had no significant effect. It was also confirmed that satisfaction had a statistically significant effect on repurchase intention. Major conclusions: This study can serve as basic data to enhance the marketing strategy of the food service industry, and it provides theoretical and practical implications.

Social Media Adoption: Small and Medium-sized Enterprises' Perspective in Sri Lanka

  • SAMSUDEEN, Sabraz Nawaz;THELIJJAGODA, Samantha;SANJEETHA, Mohamed Buhary Fathima
    • The Journal of Asian Finance, Economics and Business
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    • v.8 no.1
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    • pp.759-766
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    • 2021
  • In this digital age, all organizational environments force businesses to adopt Information and Communication Technologies (ICT) since these technologies have immense impact on such businesses' competitiveness and productivity. Nonetheless, the productivity and the competitiveness enjoyed by such firms vary depending on the size or the organizations, context of the country; developing or developed, and what kinds of technologies are adopted. This investigation focused on small- and medium-sized enterprises (SMEs) of Eastern province of Sri Lanka where such studies are scanty. The adoption of social media (SM) by SMEs is inclined to change how organizations operate, this calls for an investigation of the elements that impact SMEs to adopt SM and such investigation. Technology-Organization-Environment (TOE) framework was based to understand the factors. Research approach was quantitative approach using questionnaire survey. Data were collected using online form to see 285 valid responses. Structural Equation Modelling was deployed to evaluate the proposed model. Results revealed that Relative Advantage, Compatibility, Complexity, Observability, Competitive Intensity, Bandwagon Pressure, and Competitive Pressure were influencing, while Trialability, Top Management Support, CEO's Innovativeness did not show statistically significant influence on SMEs' social media adoption.

The Effects of User Experience Factors on Satisfaction and Repurchase Intention at Online Food Market

  • CHA, Seong Soo;LEE, Su Han
    • The Journal of Industrial Distribution & Business
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    • v.12 no.4
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    • pp.7-13
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    • 2021
  • Purpose: This study aims to empirically analyze the effects of user experience on satisfaction and repurchase in the online food market and to present implications. Online food markets have rapidly dominated the grocery market since their appearance, and online food purchases by middle and seniors as well as young people are increasing rapidly. Research design, data, and methodology: The survey was conducted on 268 consumers with experience in using online food markets, and the results of the survey were analyzed using SPSS statistical program to verify reliability and feasibility, and using structural equation modelling (SEM) using AMOS. This study positively analyzed the impact of satisfaction and repurchase intent by setting system quality, product quality, brand characteristics, and economics as user experience factors in online food markets. Results: The results showed that among online food market user experience factors, the quality of the product and brand characteristics have a significant impact on satisfaction. This means that consumers decide to purchase food through online food markets by considering high-quality products and brand value together. Conclusions: This study has broadened the horizon of recent research on online food market which has been rapidly increasing in the market triggered by Covid19, providing significant implications.

Can Coffee Shops That Have Become the Red Ocean Win with ESG?

  • KWAK, Min-Kyu;CHA, Seong-Soo
    • Journal of Distribution Science
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    • v.20 no.3
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    • pp.83-93
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    • 2022
  • Purpose: This study aims to investigate the relationship between ESG activities (Environment, Social, Governance) of coffee shops and their brand image, purchase intention. Research design, data and methodology: To test the hypothesis, a survey was conducted for about one month from May to June, 2021, and a total of 311 people responded to the survey, and the responses from 311 copies were used for the analysis. Validity and reliability analysis were performed, and the relationship between latent variables was empirically analyzed using the structural equation modelling. Results: The results of the study are as follows. First, among the ESG activities of coffee shops, the environmental and social sectors had a significant positive (+) effect on the brand image, but the governance aspect showed no significant effect on the brand image. Second, it was found that the symbolic image and the empirical image had a significant positive (+) effect on the purchase intention, but the functional image did not have a significant effect on the purchase intention. Conclusions: The results of this study suggest that as the number of coffee shops and the heated competition are increasing, it is possible to build a differentiated brand image through ESG activities rather than relying on the functions and services of competing products.

The Effect of Deceptive Brand Image on Consumer Purchase Intention: Empirical Evidence from Iraqi Market

  • ALQAYSI, Sahar Jalal;ZAHARI, Abdul Rahman
    • The Journal of Asian Finance, Economics and Business
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    • v.9 no.6
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    • pp.207-217
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    • 2022
  • In recent years, the Iraqi market witnessed a large opening that resulted from the entry of many different products with an absence of government regulations. As a result, marketing deception practices have emerged as a new phenomenon. This study examines the effect of deceptive brand image on consumer purchase intention, with consumer attitude as a mediator. A quantitative method was applied in the form of a questionnaire distributed to shoppers at Carrefour Supermarket in Erbil, Kurdistan Region of Iraq. A random sampling technique was conducted. Subsequently, 200 questionnaires were distributed, and 175 valid questionnaires were analyzed, indicating an 87% response rate. Partial least squares structural equation modelling (PLS-SEM) has been utilized to test the hypothesis. The result showed that brand image deception has a negative impact on consumer purchasing intention. Also, attitude mediates the relationship between deceptive brand image and consumer purchase intention. The empirical finding confirms that deceptive marketing practices such as brand deception can change the attitude of consumers negatively toward brands and, therefore, affect the consumer purchase intentions. The findings suggest that honest brand marketing is beneficial in increasing the attitude toward the brand. This strategy will increase consumer purchase intentions.

Examining Relationship among Intellectual Capital, Internal Collaboration, External Collaboration and Distribution Performance

  • AKIL, Sawir Rifatullah;SOEMARYANI, Imas;HILMIANA, Hilmiana;JOELIATY, Joeliaty
    • Journal of Distribution Science
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    • v.20 no.7
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    • pp.1-9
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    • 2022
  • Purpose: This study aims to examine the effect of intellectual capital on both internal and external collaboration and its impact on distribution performance enhancement in public sector. Research design, data, and methodology: The study applied quantitative approach with the help of AMOS Structural Equation Modelling. The unit of analysis is the Indonesian local government. The research involved 430 leaders from local government agencies as respondents. Results: This study found that intellectual capital positively influences both internal and external collaboration as well as distribution performance. Furthermore, the current research confirms the different effect of internal collaboration and external collaboration on distribution performance; internal collaboration positively affects distribution performance, while the external one does not. Eventually, internal collaboration mediates the indirect effect of intellectual capital on distribution performance, whereas the external collaboration does not. Conclusions: This study strengthens and complements the lean stream by confirming the role of intellectual capital as critical antecedent of internal collaboration, external collaboration, and distribution performance. Moreover, this research underlines the critical role of internal collaboration as the intercourse which supports distribution performance enhancement in public sector. Lastly, the study highlights the benefits of external collaboration in distribution practice if appropriately and wisely managed.