Analysis of Organizational Performance through Environmental Uncertainty and Business Strategy: Case Study of Garuda Indonesia

Organizational performance plays an important role as a measure of the success of an organization or company. To achieve this success, organizational performance is influenced by many factors, including environmental uncertainty and business strategy that has been implemented by the organization. The airline industry in Indonesia is in a high competitive condition and faces environmental uncertainty challenge with the gain of tight margin. The researches on the most suitable business strategy choice for airline in the midst of environmental uncertainty condition in order to obtain organizational performance have not been many examined in Indonesia. This study aims to determine the effect of environmental uncertainty and business strategy on organizational performance of Garuda Indonesia. Based on the research finding, it was known that the environmental uncertainty could affect positively on business strategy that has been implemented by the organization, for strategy choices of cost leadership, focus orientation, or differentiation. But, it turned that only the differentiation strategy which was able to affect positively the organizational performance. The conclusion of test result referred that the Indonesian airline in the midst of a very dynamic environment was demanded to be able to offer a unique and different product and service from other competitors and deliver the higher value to the customers, so it could achieve a good organizational performance.

Co-integration of Major Vegetable Markets in Punjab, India

The present study was formulated to analyze the level of market integration in the major vegetable markets in Punjab. The study was undertaken on a macro framework based on data collected from secondary sources through employing different tests, namely Johansen co-integration test, Grangner causality test. The investigations of integration between sample markets indicated that in case of all of the vegetables the state markets are found to be well integrated among each other and also with the national market (New Delhi) with an exception in case of tomato where it was seen that there was not any integration found between Ludhiana and Jalandhar market which was due to communication problems and lack of market intelligence between those markets. Hence in order to continue the competitive condition of these markets there is need to strengthen the market intelligence and communication within markets so that a better platform could be placed for guiding the farmers in marketing their produce.

Effects of cooperative and competitive game playing on empathy

The present study examined the effects of cooperative and competitive game playing on empathy. Participants were randomly assigned to one of two conditions, with a confederate: playing a video game cooperatively (N = 51), or playing a video game competitively (N = 55). The game played was the non-violent, puzzle-platformer Portal 2. When playing cooperatively, participants completed levels through the multiplayer option where they had to act together with the confederate to be successful. In the competitive condition participants played the single-player campaign and competed with the confederate for the best time-to-completion of the first series of levels. After playing Portal 2 for approximately 15 minutes, participants watched the confederate submerge her hand in what they thought was ice-cold water for 30 seconds. Participants sat facing the confederate and rated their perception of the confederate’s pain, their own pain, the amount of empathy they felt for the confederate, as well as how close they felt to the confederate. A subsequent measure also assessed the extent of participants’ empathic concern by providing them the option to reduce the time that the confederate had to put her hand in the water a second time. Results showed no significant differences between the two conditions with respect to levels of empathy. However, participants felt more trusting and friendly towards the confederate in the cooperative condition.

Effects of cooperative and competitive game playing on empathy

The present study examined the effects of cooperative and competitive game playing on empathy. Participants were randomly assigned to one of two conditions, with a confederate: playing a video game cooperatively (N = 51), or playing a video game competitively (N = 55). The game played was the non-violent, puzzle-platformer Portal 2. When playing cooperatively, participants completed levels through the multiplayer option where they had to act together with the confederate to be successful. In the competitive condition participants played the single-player campaign and competed with the confederate for the best time-to-completion of the first series of levels. After playing Portal 2 for approximately 15 minutes, participants watched the confederate submerge her hand in what they thought was ice-cold water for 30 seconds. Participants sat facing the confederate and rated their perception of the confederate’s pain, their own pain, the amount of empathy they felt for the confederate, as well as how close they felt to the confederate. A subsequent measure also assessed the extent of participants’ empathic concern by providing them the option to reduce the time that the confederate had to put her hand in the water a second time. Results showed no significant differences between the two conditions with respect to levels of empathy. However, participants felt more trusting and friendly towards the confederate in the cooperative condition.

A Case Study on Key Success Factors of Garuda Indonesia Airlines

The airline industry plays a vital role in stimulating social, and economic development. Thus, Garuda Indonesia implements various strategies and promotions to face the fast-changing pricing condition and the fierce competitive condition in the local and international markets. This study aims to systematically describe the characteristics of the factors improving Garuda Indonesia Airline’s profitability for its further opportunity exploration and to establish some limitations it is currently facing. To understand how they fully work and to provide more suggestions for the improvements of its overall operational activities, some data will be collected and analyzed.

Collaborative reasoning in the context of group competition

A key skill in collaborative problem-solving is to communicate and evaluate reasons for proposals to arrive at the decision benefiting all group members. Although it is well-documented that collaborative contexts facilitate young children’s reasoning, less is known about whether competition with other groups contributes to children’s collaborative reasoning. We investigated whether between-group competition facilitates children’s within-group collaborative reasoning, regarding their production of reasons and their use of transacts, communicative acts that operate on one another’s proposals and reasoning. We presented 5- and 7-year-old peer dyads with two collaborative problem-solving tasks (decorating a zoo and a dollhouse). In one task, children competed against another group (the competitive condition); whereas in the other task, they did not (non-competitive condition). Our results suggest that children’s sensitivity to group competition as reflected in their reasoning changed depending on the task. When they decorated a house, they produced more transacts in the competitive condition than in the non-competitive condition; whereas when they decorated a zoo, this pattern was reversed. Thus, our results highlight that group competition did not influence children’s collaborative reasoning consistently across different contexts.

Islamic Banks’ Stability: Full-Fledged vs Islamic Windows

Research aims: This paper investigates whether Islamic windows have better stability than full-fledged Islamic banks.Design/Methodology/Approach: A sample of 14 Islamic banks and 19 Islamic windows banks in Indonesia from 2013 to 2018 was used in this study. Both ordinary least squares and panel fixed effects were employed to examine the stability of both Islamic banks’ types.Research findings: Our empirical result suggested that full-fledged Islamic banks were less stable than their Islamic windows counterparts. This result remained consistent after running the model with different estimators and conducting various robustness tests.Theoretical contribution/Originality: Our result implies that Islamic windows could enjoy their market position to maintain stability without converting themselves into full-fledged Islamic banks because the Islamic banking market's current condition is highly competitive.Practitioner/Policy implication: Our empirical evidence supports the Indonesian governments' policy in converting Islamic windows banks into full-fledged Islamic banks if the market's competitive condition is well monitored by the regulators.Research limitation/Implication: This research result is limited only to the Indonesian setting and can be different if the analysis is taken using a sample from other countries.

Measuring Competition in Banking Sector in Oman

Purpose of the study: The purpose of the study was to investigate and measure the competitive environment in the banking sector in Oman. Design/Methodology/Approach: This study considered an effort towards measuring the nature of competition of 12 out of 16 Omani banks from 2009 to 2019 over applying Panzar and Rosse (PR-model). It measured the competition index, called H-statistic, as it gives a quantitative assessment of the competitive nature of the studied market. The non-structural model was adopted to measure the competitive behavior of the banking sector. The data was taken from Muscat Securities Market (MSM) over obtaining financial statements of banks and data was tested using the Statistical Package for Social Sciences (SPSS). Findings: The result showed that it was not able to reject the monopolistic competition that H value considered between values of zero and one for the banking market in Oman. Thus, Omani banks operate under monopolistic competition. Practical Implications: The study has interesting policy implications. It is recommended to encourage foreign banks' presence to enhance the competitive condition of the banking sector thus making sure the exit and the entrance of banks in the industry to raise the competition. Social Implications: The flexibility in the competitive condition of the banking sector will lead to an increased competition so this will produce a variety of services and products to improve the banks’ performance and customer satisfaction. Originality/value: This is the first study of its kind in studying and testing the competitive environment for the banking sector in Oman using the PR-model. Keywords: Banking Competition in Oman, Monopolistic Competition, Market Equilibrium, Market contestability, Pazan and Rosse (PR model)

Bank Competition in India: Some New Evidence Using Risk-Adjusted Lerner Index Approach

Banks in India have been gone through structural changes in the last three decades. The prices that bank charge depend on the competitive levels in the banking sector and the risk the assets and liabilities carry in banks’ balance sheet. The traditional Lerner Index indicates competitive levels. However, this measure does not account for the risk, and this study introduces a risk-adjusted Lerner Index for evaluating competition in Indian banking for the period 1996 to 2016. The market power estimated through the adjusted Lerner Index has been declining since 1996, which indicates an improvement in competitive condition for the overall period. Further, as indicated by risk-adjusted Lerner Index, the Indian banking system exerts much less market power and hence are more competitive contrary to what is suggested by traditional Lerner index.