Noise as the Impact of Trading Mechanism and Periodic Clearing Procedures: Substantive Evidence From Indonesia Stock Exchange

Sumiyana (2007b) investigates that noises occurred in Indonesia Stock Exchange. Especially, Sumiyanas\u27 research concludes that noise over trading and nontrading period, along with overnight and lunch break nontrading session, and the first and second trading session, had occurred. However, Sumiyana\u27s research does not identify who are responsible for the noise. This research used intraday data in Indonesia Stock Exchange. Samples of the data are the firms consecutively listed in LQ 45 indexes for the year of 2004-2006.This research attempts to identify who are responsible for the noise. This research studies effects of trading mechanism and clearing mechanism on the stock return behaviour. Finally, this research is enabling to differentiate the effect of trading mechanism from the effect of clearing mechanism. This research concludes that periodicclearing procedure at the beginning of the trading period is noisy. Therefore, this research suggests that trading mechanism in Indonesia Stock Exchange is inefficient. This research also hopefully recommends shifting from the periodic to continuous trading mechanism

Islam and the Moral Economy: the Challenge of Capitalism

This is a book review on Islam and the moral economy that highlights the challenge of capitalism

Task-technology Fit and Person-job Fit: a Beauty Contest to Improve the Success of Information Systems

This study raises the issue that information system success could be enhanced by complementingother factors. This study investigates the success of information systems by inducing2the task-technology fit (TTF) and person-job fit (PJF) into the DeLone and McLean model. Thisstudy aims to examine, among the two induced factors, which one is able to explain andimprove the success of the information systems implementation.The results of this study indicate that the TTF explains the models' goodness of fit betterthan that of the PJF when induced into the modified DeLone and McLean model. This studyimplies this in terms of both theory and practice. Theoretically, this research presents an alternativeresearch model that can be used to investigate the success of information systems byconsidering the aspect of the users' cognitive suitability (the cognitive fit theory). Furthermore,practically, this study suggests the importance of focusing on users' skills and competenciesand, subsequently, management should do so. Additionally, the TTF recommends a simpleproposition that it could be attached immediately into the individuals' skills and competencies.However, the PJF needs to be deeply embedded in the job's qualifications and recruitmentpolicies

Accounting Fundamentals and Variations of Stock Price: Methodological Refinement with Recursive Simultaneous Model

This study investigates association between accounting fundamentals and variations of stock prices using recursive simultaneous equation model. The accounting fundamentalsconsist of earnings yield, book value, profitability, growth opportunities and discount rate. The prior single relationships model has been investigated by Chen and Zhang (2007),Sumiyana (2011) and Sumiyana et al. (2010). They assume that all accounting fundamentals associate direct-linearly to the stock returns. This study assembles that all accountingfundamentals should associate recursively.This study reconstructs the model and found that only the first two factors could influence stock returns directly, while the three remaining factors should relate precedently to the earnings yield and book value. This study suggests that new reconstructed relationships among accounting fundamentalscould decompose association degree between them and the movements of stock prices. Finally, this study concludes that this methodological refinement would improve the ability of predicting stock prices and reduce stock price deviations. It implies that accounting fundamentals actually have higher value relevance in the new recursive simultaneous equation model than that in single equation model. It also entails that relationship decompositions revitalize the integration of the adaptation and the recursion theories

Beneficial explanation for SME's e-commerce adoption: The sequential stages of organizational, industrial and national readiness

This study investigates small and medium-sized enterprises' e-commerce adoption (e-CA) in Indonesia. This study differs from all the previous research on this topic, which was designed using linear models, since this study uses a structural data set and an equation model. It comprehensively outlines a new model with sequentially ordered readiness. Moreover, this research presents critical reasoning for this new model. This study rearranges organizational, industrial, and national readiness into a sequential model. The new model could explain and describe the small and medium-sized enterprises' e-CA better than all the previous research had done. It means that organizational, industrial, and national readiness influence their stages consecutively and result in e-CA. From a methodological perspective, industrial and national readiness work as intervening variables. This suggests that each readiness is not a mutually exclusive construct, but it relates to the others in the sequential order. Therefore, this study infers that national strategic policies to enhance the small and medium-sized enterprises' e-CA should be applied during the first, initial stage, starting from organizational to industrial and ending with national readiness. It also means that SMEs should construct their enterprises to be sequential and structural. © 2021, Centre of Sociological Research. All rights reserved

Multiple measurements of CEOs’ overconfidence and future earnings management: evidence from Asia-Pacific developing countries

This study investigates the association between CEOs’ overconfidence and future earnings management. This research is designed to explain CEOs’ overconfidence with the serial logic of self-confidence and self-identity in constructing their overconfidence. The authors demonstrate the CEOs’ overconfidence using multiple measures exploratorily that criticise their behaviour to manage their firms’ earnings aggressively. The authors collected data from the Bureau Van Dijk and Refinitiv Thomson Reuters databases. They identified manufacturing firms listed on the stock exchanges of Singapore (SSE), Malaysia (KLSE), Thailand (SET), the Philippines (PSE), Indonesia (IDX), Vietnam (HOSE), Pakistan (PSE); Taiwan (TSEC); India (NSE) and China (SSE). They categorised developing countries as lower-middle and upper-middle-income. This study used Generalised Least-Square (GLS) regression to test all the hypotheses. This study finds this association robust in an international setting for developing countries. In other words, it shows some extant research that most CEOs in developing countries would intentionally like to manage future earnings. Furthermore, it identifies developing countries with lower-middle incomes and less competition due to emerging capital markets. Then, it highlights that CEOs in developing countries tend to be overconfident because of cognitive behaviour. Moreover, these CEOs assemble an organisational culture that can easily improve prospective performance. Therefore, this study infers that economic uncertainty causes CEOs to be overconfident, enhancing their boldness when managing earnings excessively. This study presents a novelty supported by three critical reasoning arguments. First, it explains the phenomenon of CEOs’ overconfidence through self-confidence (self-control). Second, the authors develop multiple measurements used in the study to mark the CEOs’ overconfidence as a combined product of self-confidence and self-identity. It uses capital expenditures to measure the CEOs’ overconfidence and firm overinvestment, the incremental debt-to-equity ratio, historical earnings persistence, historical stock price persistence, the magnitude of the related party’s transactions and political connections. Third, this study investigates CEOs’ overconfidence in an international setting

PENGARUH ATTRACTION TERHADAP INTERNET BANKING DENGAN MENGEMBANGKAN MODEL KEPERCAYAAN DAN KOMITMEN NASABAH

This research aims to extend the trust-relationship commitment model customer in using internet banking and analyze the relationship between trust and attraction towards customer commitment to try and continue to use internet banking service. Measurement of customer�s commitment to use of internet banking was measured using shared value, opportunistic behavior control, communication, trust, and commitmen. Data analysis was performed with the Structural Equation Model (SEM) using AMOS 19. Respondents in this research were customers of Bank Central Asia who had and had not previously used the internet banking. The result of the research indicates that shared value has a significant positif impact in developing relationship commitment, shared value is the most important determinant of trust and has a significant positive relationship with trust, communication plays significant positive role on trust, communication representing the most important determinant of attraction and having a significant positive relationship on relationship commitment, opportunistic behavior control has a significant positive relationship with trust, attraction and trust has a significant positive influence on relationship commitment