scholarly journals Competitive Strategy Based on Transformation and Dynamic Capabilities in Resulting Business Performance of Islamic Microfinance Institutions

2016 ◽  
Author(s):  
Harry Sutanto
Keyword(s):  
Competitive Strategy ◽  
Business Performance ◽  
Dynamic Capabilities ◽  
Microfinance Institutions ◽  
Islamic Microfinance

scholarly journals A Proposed Framework on the Relationship between Islamic Microfinance Related Factors and Women Entrepreneurs Business Performance in Nigeria

2015 ◽  
Vol 6 (4) ◽  
pp. 38-44
Author(s):  
Farida Mohammed Shehu ◽  
Al-Hasan Al-Aidaros .
Keyword(s):  
Women Entrepreneurs ◽  
Business Performance ◽  
Raw Materials ◽  
Islamic Banking ◽  
Urban Migration ◽  
Microfinance Institutions ◽  
Related Factors ◽  
Islamic Microfinance ◽  
Conventional Banks ◽  
The Impact

Microfinance plays a key role in poverty alleviation, employment generation, mitigating rural urban migration, utilization of local resources and raw materials and contributing to the gross domestic product (GDP) of Nigeria. Women, majority of who are poor and engaged in informal micro, small and medium scale businesses are mostly the target of microfinance institutions. However, women entrepreneurs find it difficult to have access to the products and services of the conventional banks due to their stringent lending requirement. The presence of Islamic banking which promotes the profit and loss sharing (PLS) concept increases the awareness among women entrepreneurs to alternative funding sources. Despite availability of financing options, women entrepreneurs are constrained by their reluctance to use interest based microfinance services. This paper aims to provide a proposed framework that examines the impact of Islamic investment and financing contracts (Murabaha financing and Mudharabah savings) and other microfinance related factors (training, social capital and self-esteem) on women entrepreneurs business performance. Religiosity is a new moderating variable within the framework that is hypothesized to enhance business performance of women entrepreneurs. The proposed framework will fill the gap in Islamic banking and finance studies since the area of Islamic microfinance and the moderating effect of religiosity has not been empirically investigated.

Core Competency and Industry Environment: Its Influenceson the Competitive and Cooperative Strategyand Its Implicationon the Performance of Sharia-based Financial Institutionsin AcehProvince

2014 ◽  
Vol 2 (1) ◽  
pp. 125-141
Author(s):  
Muslim A Djalil ◽  
Muhammad Adam ◽  
Hendra Syahputra
Keyword(s):  
Financial Institutions ◽  
Competitive Strategy ◽  
Business Performance ◽  
Core Competency ◽  
Microfinance Institutions ◽  
Cooperative Strategy ◽  
Industry Environment ◽  
Endogenous Variables ◽  
And Performance ◽  
Intervening Variables

Objective : The aims of the research are to describe and investigate the causal relationship among underlying exogenous Variables (Core Competency and Industry Environment) and Endogenous Variables (Competitive Strategy and Cooperative Strategy and Performance) of Sharia Based Banking and Microfinance Institutions in the Province of Aceh, Indonesia. Methodology/Technique : The research consists of quantitative survey involving 252 respondents deriving from 79 Sharia based financial Institutions in the region. The collected data are processed by using SEM-Amos. Findings : All of eight hypotheses of variables tested in the model have a significant influence among constructs, except for two hypotheses, namely, between Core Competency and Cooperative Strategy and between Cooperative Strategy and Performance. Another finding is that core competency and Industry environment have stronger influence directly on performance than that influence through the intervening variables of Competitive Strategy and Cooperative Strategy. Type of Paper: Empirical Paper Novelty - The integration of RBV Approach (e.g. Core Competency) and Industrial Organization View(I/OV) Approach (e.g. Industry Environment) to boast superior business performance is particularly new to the context of sharia-based financial institutions. The research contributed to the literature on sharia-based banking and microfinance and strategic management. Keywords: Core Competency; Industry Environment; Competitive Strategy; Cooperative Strategy; Performance.

scholarly journals Penilaian Kesehatan KJKS BMT Binamas

2019 ◽  
Vol 3 (2) ◽  
pp. 125-144
Author(s):  
Adi Angga Sukmana ◽  
Sri Mulyati
Keyword(s):  
Quality Management ◽  
Business Performance ◽  
Health Assessment ◽  
Financial Data ◽  
Microfinance Institutions ◽  
Capital Asset ◽  
Management Efficiency ◽  
Standard Assessment ◽  
Islamic Microfinance ◽  
Asset Quality

The analysis conducted will interpret ratios or financial data and its implications. Thisresearch is compiled to analyze health assessment KJKS BMT Binamas years 2012-2014 using a standard assessment of the Regulation of the Minister of State forCooperatives and SMEs RI Number: 35.3 / Per / M.KUKM / X / 2007 on guidelinesfor a health assessment KJKS and UJKS Cooperative. The results of this study will betaken into consideration in the evaluation and a policy for BMT KJKS Binamas toimprove their business performance so that stability is maintained and is expected toenhance public trust in this Islamic Microfinance Institutions. The approach used inthis study is a quantitative and descriptive variables used are capital; asset quality;management; efficiency; liquidity; independence and growth; the identity of thecooperative; and compliance with Islamic principles. Based on analysis of the healthassessment KJKS BMT Binamas can be seen that score recapitulation of eightvariables in 2012 amounted to 74.92% so that it can be categorized fairly sound, andin 2013 increased to 74.92% with the category Fairly Healthy, later in 2014 slightlydecreased to 75.95% are still in the category of Fit. Value ratios consistently ratedhigh happens because KJKS continue to maintain sound operational

scholarly journals Islamic Micro Finance and Its Impact on Poverty Reduction of Two Village Models in Bogor, Indonesia

2017 ◽  
Vol 6 (1) ◽  
pp. 87-102
Author(s):  
Mustica Bintang Sabiti ◽  
Jaenal Effendi
Keyword(s):  
Multiple Regression ◽  
Rural Areas ◽  
Business Performance ◽  
Poverty Reduction ◽  
Descriptive Analysis ◽  
Positive Influence ◽  
Microfinance Institutions ◽  
Paired Sample ◽  
Islamic Microfinance ◽  
The Impact

The purpose of this paper is to identify the effectiveness of Islamic microfinance institutions and their impact on poverty reduction in two types of rural areas in the district of Bogor, Indonesia. This research uses descriptive analysis, using a likert’s scale and with a paired sample t test to determine the impact of Islamic micro finance to micro business performance. Multiple regression is also used to see the effect of the types of villages in the implementation of micro-enterprise businesses. The results show that the Islamic micro financing has affected the effectiveness of the income and expenditure aspects, but also quite effective in the aspect of profit and use in expenditure. Furthermore, funding-based Islamic microfinance also has a positive influence on business micro and poverty reduction.DOI:  10.15408/sjie.v6i1.4337

Financial and social efficiency analysis of Islamic microfinance institutions

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Marwa Fersi ◽  
Mouna Bougelbène
Keyword(s):  
Capital Structure ◽  
Credit Risk ◽  
Risk Taking ◽  
Negative Impact ◽  
Microfinance Institutions ◽  
Social Efficiency ◽  
Content Type ◽  
Islamic Microfinance ◽  
The Impact ◽  
The Relationship

PurposeThe purpose of this paper was to investigate the impact of credit risk-taking on financial and social efficiency and examine the relationship between credit risk, capital structure and efficiency in the context of Islamic microfinance institutions (MFIs) compared to their conventional counterparts.Design/methodology/approachThe stochastic frontier approach was used to estimate the financial and social efficiency scores, in a first step. In a second step, the impact of risk-taking on efficiency was evaluated. The authors also took into account the moderating role of capital structure in this effect using the fixed and random effects generalized least squares (GLS) with a first-order autoregressive disturbance. The used dataset covers 326 conventional MFIs and 57 Islamic MFIs in six different regions of the world over the period of 2005–2015.FindingsThe overall average efficiency scores are less than 50%, where CMFIs could have produced their outputs using 48% of their actual inputs. IMFIs record the lowest financial (cost) efficiency that is equal to 28% on average. The estimation results also reveal a negative impact of nonperforming loan on financial and social efficiency. Finally, the moderating effect of leverage funding on the relationship between credit risk-taking and financial efficiency was confirmed in CMFIs. However, leverage seems to moderate the effect of risk-taking behavior on social efficiency for IMFIs.Originality/valueThis paper makes an initial attempt to evaluate the effect of risk-taking decision and its implication on efficiency and MFIs' sustainability. Besides, it takes into consideration the role played by the mode of governance through the ownership structure. In addition, this research study sheds light on the importance of the financial support for the development and sustainability of these institutions, which in return, contributes to a sustainable economic development.

Determinant factors of culinary creative business performance in the city of Makassar

2021 ◽  
Vol 42 (04) ◽  
pp. 44-53
Author(s):  
ST HATIDJA ◽  
◽  
Amiruddin TAWE ◽  
Chalid I. MUSA ◽  
La HALISU ◽  
...  
Keyword(s):  
Structural Equation ◽  
Business Performance ◽  
Dynamic Capabilities ◽  
Sampling Method ◽  
Sampling Technique ◽  
Simple Random Sampling ◽  
Full Data ◽  
Research Findings ◽  
Modelling Techniques ◽  
The City

The purpose of this study is to analyze how the capabilities of business performance in creative culinary ventures in Makassar City, Indonesia. Data were obtained from sources using a questionnaire distributed to 1,402 entrepreneurs in the small and medium business category. The sampling method is probability sampling with simple random sampling technique. The number of samples in this study was determined using the Slovin formula of 311 people, totalling 197 respondents who received the questionnaire in full. Data were analyzed using descriptive statistics with structural equation modelling techniques. The research findings explain dynamic capabilities that are important for enhancing innovation and business performance, as well as to assist future researchers to examine other factors that are predictors in improving business performance.

scholarly journals UJRAH SUMBER PROFITABILITAS PADA ISLAMIC MICROFINANCE INSTITUTIONS (BMT)

2020 ◽  
Vol 3 (1) ◽  
pp. 39-57
Author(s):  
Eny Lathifah ◽  
Ahmad Zuhril Kalam
Keyword(s):  
Microfinance Institutions ◽  
Islamic Microfinance

Tujuan penulisan ini adalah untuk mengetahui ujrah sebagai sumber profitabilitas pada Islamic Microfinance Institutions (BMT Maslahah) dalam opersionalisasi pada akad-akad berbasis ujrah. Metode penelitian ini adalah penelitian kualitatif dengan pendekatan deskriftif atas studi kasus pada BMT Maslahah. Analisis yang digunakan dalam penelitian ini menggunakan triangulasi data yang bersumber dari dokumentasi, observasi dan wawancara yang langsung kepada responden demi mendapatkan data yang sebenarnya. Hasil penelitian ini adalah ujrah sebagai sumber profitabilitas pada islamic microfinance institutions berasal dari beberapa aspek operasional usaha, yakni pada produk tabungan, pembiayaan, jasa, dan sarana investasi syariah bagi anggota. BMT Maslahah memiliki keunggulan ujrah dengan spesifikasi yang menunjukkan nilai profitabilitas yang sangat tinggi dan bersifat tetap, bagi anggota tabungan biasa mendapatkan bisa bonus saldo yang besarannya tidak tetap dan apabila BMT mengalami kerugian usaha, anggota tidak perlu menanggung kerugian tersebut, dan bagi anggota investasi saham bisa memperoleh bonus dalam jumlah yang besar dan tetap setiap tahunnya dan kekurangan akad yang berbasis ujrah ialah dalam sisi pembiayaan dan investasi saham, besaran keuntungan yang didistribusikan tidak mengikuti laba usaha.

scholarly journals Proposing an Integrated Islamic Microfinance Model in Alleviating Poverty and Improving the Performance of Microenterprises in Indonesia

2019 ◽  
Vol 2 (2) ◽  
pp. 135-154
Author(s):  
Weni Hawariyuni ◽  
Salina Hj. Kassim
Keyword(s):  
Exploratory Study ◽  
Business Performance ◽  
Design Methodology ◽  
Economic Aspects ◽  
High Demand ◽  
Muslim Countries ◽  
The World ◽  
Islamic Microfinance ◽  
Major Factors

Objective – This study proposes an integrated Islamic microfinance model in alleviating poverty and improving the performance of microenterprises based on a case study of Indonesia, by focusing specifically on BRI Microbanking. Design/methodology – This study adopts the exploratory study to construct the integrated Islamic microfinance with the purpose to alleviate poverty and enhance the business performance of enterprises. Results – As Islamic microfinance is known widely due to the high demand from Muslim countries. Since, it plays a crucial role effectively in alleviating poverty and developing the business performance on enterprises, particularly on microenterprises. Presently, many scholars attempted to build a successful Islamic microfinance model by using Islamic financing instruments such as mudarabah,  musyarakah, and murabahah. This study attempts to build an integrated Islamic microfinance model by using BRI Syariah Micro as a case study. It is expected that this integrated Islamic microfinance model can enrich existing models in terms of social and economic aspects. Originality/Value – This research concentrates on proposing an integrated Islamic microfinance model based on the case study of BRI Syariah Microbanking. There seems to be a gap in the literature on the actual implementation of integrated Islamic microfinance in the world. The study highlights major factors to be emphasized to ensure the effectiveness of proposing an integrated Islamic microfinance model for BRI Syariah micro banking to alleviate poverty and to improve the performance of microenterprises. 

scholarly journals Alleviating Poverty through Islamic Microfinance: Outreach and Efficiency (Study on BMT and Islamic Cooperatives in Indonesia)

2020 ◽  
Vol 16 ◽  
pp. 1362-1376
Author(s):  
Purwanto Purwanto ◽  
Ina Primiana ◽  
Dian Masyita ◽  
Erie Febrian
Keyword(s):  
Coefficient Of Determination ◽  
Data Envelopment ◽  
Strong Positive Correlation ◽  
Microfinance Institutions ◽  
Social Efficiency ◽  
Qualitative Approaches ◽  
The Social ◽  
Dependent Variables ◽  
Islamic Microfinance ◽  
The Impact

The involvement of Islamic Microfinance Institutions (IMFI) in building the national economy is paramount to help the poor. However, provision of access and services to lower-level households can potentially conflict with the sustainability of the institutions. This study analyses the social outreach factors that determine financial and social efficiencies. To reach the set goal and solve this issue, we used mixed methodology combining quantitative (statistical instruments, such as Data Envelopment Analysis (DEA) and multivariate analysis) and qualitative approaches (interviews to clarify or deepen the existing information). The assessment of the dependent variables is influenced by proxies of depth, breadth, length, scope, and cost. The results showed that the average loan instalments and the number of offices and branches significantly influence financial and social efficiency. The age of the institution only has an effect on financial efficiency. Simultaneously, profit orientation, the amount and type of financing and the amount and type of savings only have a high impact on social efficiency, whereas the impact of fund collection and cost per borrower is insignificant. There is a strong positive correlation between the two dependent variables. The influence of independent variables on financial and social efficiency is significant with the coefficient of determination 23.1274 % and 53.2941 %, respectively.

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