scholarly journals The The Impact of Behavioral Aspects on Investment Decision Making

2021 ◽  
Vol 10 (1) ◽  
pp. 15-27
Author(s):  
Ninditya Nareswari ◽  
Alifia Salsabila Balqista ◽  
Nugroho Priyo Negoro
Keyword(s):  
Decision Making ◽  
Structural Equation ◽  
Investment Decision ◽  
Partial Least Square ◽  
Least Square ◽  
Equation Modeling ◽  
Herd Behavior ◽  
Investment Decision Making ◽  
Behavioral Aspects ◽  
The Impact

This study aims to investigate the impact of behavioral aspects (sentiment investor, overconfidence, salience, overreaction, and herd behavior) on investment decision making. The sample contained 413 individual investors—used partial least square structural equation modeling (PLS-SEM) as a data analysis technique. The results showed that sentiment investors, overconfidence, salience, overreaction, and herd behavior positively affect investment decision making. The finding of this study has important implications for the investor to understand themselves to anticipate bias in investment decision making.

scholarly journals The influence of risk perception, risk tolerance, overconfidence, and loss aversion towards investment decision making

2019 ◽  
Vol 21 (3) ◽  
pp. 401
Author(s):  
Nadya Septi Nur Aini ◽  
Lutfi Lutfi
Keyword(s):  
Decision Making ◽  
Risk Perception ◽  
Loss Aversion ◽  
Structural Equation ◽  
Investment Decision ◽  
Risk Tolerance ◽  
Partial Least Square ◽  
Least Square ◽  
Survey Method ◽  
Investment Decision Making

This study aims to examine the effect of risk perception, risk tolerance, overconfidence, and loss aversion on investment decision making. The sample in this study were workers in Surabaya and Jombang, East Java. There were 400 respondents taken using a questionnaire through the survey method. This study used PLS-SEM (Partial Least Square-Structural Equation Model) as a data analysis technique. The results showed that risk perception has a significant and negative effect on investment decision making, risk tolerance and overconfidence have a significant and positive effect on investment decision making, while loss aversion has no effect on investment decision making. This research is expected to provide an overview of how to deal with risk in investment and how to avoid behavioral biases in investment decisions making.

scholarly journals Herd Behavior of Investments: An Assessment of Indian Stock Market

2020 ◽  
Author(s):  
AISDL
Keyword(s):  
Decision Making ◽  
Behavioral Finance ◽  
Structural Equation ◽  
Cognitive Biases ◽  
Investment Decision ◽  
Mediating Effect ◽  
Equation Modeling ◽  
Herd Behavior ◽  
Investment Performance ◽  
Investment Decision Making

Behavioral finance theorists contradict market efficiency and propose that investment decision making is not always rational. Investors base their decisions on factors in addition to stock fundamentals and such factors include cognitive biases such as loss aversion, herd behavior, regret aversion, price anchoring and the like. This paper makes an attempt to analyze the influence of two major factors – herd behavior and market factors on investment decision making and in turn it's mediating effect on perception of investment performance. Structured questionnaire was used for collecting the sample for study and structural equation modeling was performed. The study presents evidence to ascertain significant influence of both the factors – herd behavior and market – on investment decision making. The mediating effect of investment decision making on perception of investment performance was also observed to be strong and significant.

Factors influencing investor’s decision making in Pakistan

2018 ◽  
Vol 10 (1) ◽  
pp. 70-87 ◽  
Author(s):  
Muhammad Haroon Rasheed ◽  
Amir Rafique ◽  
Tayyaba Zahid ◽  
Muhammad Waqar Akhtar
Keyword(s):  
Decision Making ◽  
Locus Of Control ◽  
Structural Equation ◽  
Quantitative Research ◽  
Investment Decision ◽  
Equation Modeling ◽  
Individual Investors ◽  
Content Type ◽  
Investment Decision Making ◽  
The Impact

Purpose The purpose of this paper is to look at the impact of two most commonly used heuristics, namely, representative bias and availability bias on investment decision making and to check that either locus of control interact with the said relations through theoretical proposal and then verification through empirical evidence. Design/methodology/approach The study is a quantitative research using a survey questionnaire for its data collection. Data are collected from 227 investors operating at Islamabad, Lahore, and Sargodha in Pakistan and analyzed using structural equation modeling while the interaction effect is analyzed through simple linear regression following the rules set by Baron and Kenny (1986). Findings The results reveal that both of the heuristics under study significantly cause investors to deviate from rational decision making while the locus of control have no significant moderating effect. Originality/value The proposed model provides insight on how the behavioral factors can lead investors to suboptimal decision making. This study is first of its kind to quantify the degree of irrationality caused by these factors. The findings of this study are practically useful for individual investors, investment managers, and also for policy makers.

scholarly journals Application of Blockchain for Supply Chain Financing: Explaining the Drivers Using SEM

2021 ◽  
Vol 7 (3) ◽  
pp. 167
Author(s):  
Mohammad Rokibul Kabir ◽  
Md. Aminul Islam ◽  
Marniati ◽  
Herawati
Keyword(s):  
Supply Chain ◽  
Technology Acceptance ◽  
Structural Equation ◽  
Research Work ◽  
Partial Least Square ◽  
Least Square ◽  
Equation Modeling ◽  
Innovation Research ◽  
Supply Chain Financing ◽  
The Impact

Owing to the lack of research in emerging Asian nations, this research aimed to unearth the determinants of blockchain acceptance for supply chain financing by a Bangladeshi financing company called IPDC. Centred on a technology acceptance framework called UTAUT (unified theory of acceptance and use of technology) and open innovation research, an expanded model with a mediating variable is developed for this study. This research work employs the deductive inference method in conjunction with the positivism paradigm. A structural questionnaire was used to gather data, which were then processed through Smart-PLS (partial least square) for SEM (structural equation modeling). The survey includes all the people who are directly or indirectly involved in the supply chain financing platform of IPDC. The study consists of seven direct hypotheses and one mediating hypothesis. The results show that all the direct hypotheses except the impact of social influence on the behavioural intention to use (BINTU) blockchain are significant. The mediating hypothesis indicating the role of BINTU in the relationship between facilitating conditions (FCON) and the actual use of blockchain is also supported. FCON and BINTU together explain 88.7% variation in blockchain use behaviour for supply chain financing. The research advances past findings by employing an expanded UTAUT framework and validating observations with the other relevant studies throughout the world.

scholarly journals How Creative Destruction Functions in Corporate Entrepreneurial Process: An Empirical Investigation of Schumpeterian Concept in Engineering Firms Setting in Pakistan

2021 ◽  
Author(s):  
Muhammad Zubair Alam ◽  
Shazia Kousar ◽  
Muhammad Rizwan Ullah ◽  
Amber Pervaiz
Keyword(s):  
Structural Equation ◽  
Corporate Entrepreneurship ◽  
Creative Destruction ◽  
Positive Influence ◽  
Opportunity Recognition ◽  
Partial Least Square ◽  
Least Square ◽  
Equation Modeling ◽  
Engineering Firms ◽  
The Impact

Abstract Schumpeter's idea of creative destruction (CD) explains innovation functions in organisations. This paper investigates the CD concept in engineering firms by explaining how technical opportunity (TO) transforms into corporate entrepreneurship (CE) actions once opportunities have a market orientation (MO). A survey conducted using a structured questionnaire with 132 managers in engineering firms in Pakistan. Structural Equation Modeling (SEM) using Partial Least Square (PLS) approach has been used to analyse the data. Results reveal that MO and TO exerts a positive influence on CE. MO is the reason for the emergence of TO, which is exploited by CE's in engineering firms. CD intensifies the impact of MO on TO significantly. Opportunity recognition in engineering firms is distinguished and bounded by MO and technical viability. Engineering firms need to identify gaps in the market through naturally occurring obsolescence of products and services (CD) to create TO with appropriate MO. This study has revived a classical debate over opportunity recognition by proposing a CE model by incorporating external factors. The Schumpeterian opportunity recognition process and CD have been explained for engineering firms that are distinguished from other types of firms. Kirznerian opportunity recognition view has also been debated to dialect Schumpeterian view.

scholarly journals DAMPAK IKLIM ORGANISASI TERHADAP STRES KERJA DAN KINERJA KARYAWAN

2017 ◽  
Vol 20 (1) ◽  
pp. 121 ◽  
Author(s):  
Muhammad Rasyid Abdillah ◽  
Rizqa Anita ◽  
Rita Anugerah
Keyword(s):  
Structural Equation Modeling ◽  
Organizational Climate ◽  
Job Stress ◽  
Structural Equation ◽  
Employee Performance ◽  
Partial Least Square ◽  
Least Square ◽  
Equation Modeling ◽  
Head Office ◽  
The Impact

Penelitian ini bertujuan untuk menguji dampak iklim organisasi terhadap stres kerja dan kinerja karyawan. Data yang digunakan dalam penelitian ini adalah data primer dalam bentuk kuesioner dimana subjek penelitiannya adalah para 45 karyawan PT. Adei Plantation & Industry Head Office Pekanbaru Riau. Pengujian hipotesis menggunakan Structural Equation Modeling Partial Least Square. Hasil penelitian menunjukkan bahwa iklim organisasi berpengaruh terhadap stres kerja dan kinerja karyawan. Selain itu, hasil ini juga menunjukkan bahwa pengaruh iklim organisasi terhadap kinerja karyawan adalah pengaruh tidak langsung melalui stres kerja.This study aims to examine the impact of organizational climate on job stress and employee performance. The data used in this study was primary data in the form of a questionnaire in which the research subjects are 45 employees of PT. Adei Plantation & Industry Head Office Pekanbaru Riau. To test the hypothesis using Structural Equation Modeling Partial Least Square. The result suggest that organizational climate influence on job stress and employee performance. In addition, result also suggest that the effect of organizational climate on employee performance is indirect influence through job stress.

scholarly journals Factor Influencing Investor’s Decision Making in Indonesia: Moderating the Role of Locus of Control

2020 ◽  
pp. 49-56
Author(s):  
Febria Nalurita ◽  
Farah Margaretha Leon ◽  
Hamdy Hady
Keyword(s):  
Decision Making ◽  
Locus Of Control ◽  
Loss Aversion ◽  
Structural Equation ◽  
Investment Decision ◽  
Equation Modeling ◽  
Investment Decision Making ◽  
Market Factors ◽  
Regret Aversion

This study aims to investigate the effect of loss aversion, regret aversion, and market factors, on investment decision making with the moderating role of locus of control. Data collection is done by distributing questionnaires. The survey was conducted on individual investors in the Indonesia Stock Exchange in Jakarta to obtain a sample of 281. This research uses the Structural Equation Modeling approach. The statistical tool used is LISREL 8.8. This study found that loss aversion, regret aversion, and market factors significantly influence investment decision making. Locus of control plays the role of moderation between loss aversion, regret aversion, market factors, and investment decision making. The novelty in this study reveals the research that needs to be done to encourage investors to make rational decisions and control the required rate of returns through their locus of control. This research helps investors to make decisions logically and rationally with an open mind, high-performance thoughts and positive actions for investment goals that produce positive returns.

scholarly journals THE IMPACT OF PERSONAL PRODUCTIVITY DUE TO THE ATTACKS OF CORONAVIRUS DISEASE 2019: USING PARTIAL LEAST STRUCTURAL EQUATION MODEL

2020 ◽  
pp. 1-4
Author(s):  
SHEKH ABDULLAH-AL-MUSA AHMED ◽  
NIK ZULKARNAEN BIN KHIDZIR ◽  
SHIRIN AFROZ
Keyword(s):  
Structural Equation ◽  
Influence Factor ◽  
Equation Model ◽  
Partial Least Square ◽  
Least Square ◽  
Equation Modeling ◽  
Dependent Variables ◽  
Independent Variable ◽  
Personal Productivity ◽  
The Impact

Global coronavirus disease 2019 (COVID-19) is an infectious disease caused by severe acute respiratory syndrome coronavirus 2 (SARS-CoV-2). The disease was first identified in December 2019 in Wuhan, the capital of China’s Hubei Province, and has since spread globally, resulting in the ongoing 2019–2020 coronavirus pandemic that has an impact which would be disturbed the personal productivity in the community. The dependent variable which is threat of COVID-19 (Thr_Cov-19), vulnerability of COVID-19 (Vul_Cov-19), and the unexpected change in society factors and one independent variable that is personal disturbance factors is used in this paper. Moreover, using as an indicator which will determine disturbance of personal productivity (D_PP) in the society. Since multiple regression by partial least square-structural equation modeling is used to examined of data by following unstructured method. Moreover, the resulting point out three dependent variables significantly influences on the independent variable of personal productivity in the society. As a matter of fact, this study concludes the foremost influence factor on D_PP in society due to COVID-19 risk factors such as Thr_Cov-19, Vul_Cov-19, and unexpected changed in the society factors. This study contributes to introductory study but vibrant understanding in stimulating the prediction of personal productivity in the society due to the COVID-19 attacks.

scholarly journals Does environmental performance leverage the impact of environmental strategy on financial performance? A focus on third-party logistic providers

2022 ◽  
Vol 10 (1) ◽  
pp. 29-36 ◽  
Author(s):  
Quang-Huy Ngo
Keyword(s):  
Financial Performance ◽  
Environmental Performance ◽  
Structural Equation ◽  
Partial Least Square ◽  
Least Square ◽  
Mediating Effect ◽  
Third Party ◽  
Equation Modeling ◽  
Environmental Strategy ◽  
The Impact

Although prior studies draw upon natural resource-based views, environmental strategy permits competitive advantages, and as such, gains financial performance. However, empirical results are mixed. To shed light on this issue, this study proposes that environmental performance mediates the link between environmental strategy and financial performance. Data were collected from 175 third-party logistic providers currently operating in Vietnam to test the hypotheses. Partial least square structural equation modeling was borrowed to test the data. The results reveal environmental performance partially mediates the link between environmental strategy and financial performance. By considering the mediating effect, this study contributes to the literature by addressing the intervening mechanism of environmental performance on the inconclusive relationship between environmental strategy and financial performance. Besides, this study also extends prior studies by borrowing a concept of environmental strategy, which captures the extent of organizations pursuing this strategy, to explain how and why pursuing this strategy permits environmental and financial performance.

Do Green Attributes of Destination Matter? The Affect on Green Trust and Destination Brand Equity

2021 ◽  
Author(s):  
Garima Malik ◽  
Kishore Kumar Gangwani ◽  
Amandepp Kaur
Keyword(s):  
Brand Equity ◽  
Structural Equation ◽  
Tourism Industry ◽  
Partial Least Square ◽  
Least Square ◽  
Equation Modeling ◽  
Green Tourism ◽  
Green Trust ◽  
Destination Brand ◽  
The Impact

Tourism industry is a part of an important sector that contributes to the economic development of any country in an effective way such that the tourism stakeholders are taking efforts to develop sustainable tourism practices in order to preserve the future generation needs and hold their perception towards environment. Extant research on environmental sustainable practices has treated ‘Green’ tourism as local environmental awareness and conservative activities, failing to identify the differences in the way tourist choose destination based on green attributes and how these attributes affects the destination marketing. This study addresses this gap by exploring the relationship among attributes of green tourism and green trust and their impact on destination brand equity. Moreover, an important variable, green washing, is used to measure the moderation effects in the relationships proposed. Analysis was based on a sample of 739 Indian tourists having visited three eco-friendly destinations. Partial least square structural equation modeling (PLS-SEM) technique exhibited the impact of green service attributes (green service delivery and green service support except green service policy) on green trust with significant moderation interaction effects from green washing and finally the consequent affect on destination brand equity.

Sign in / Sign up

Export Citation Format

Share Document