The impact of supply chain financing on SMEs performance in Global supply chain

The purpose of the article is to evaluate the factors affecting supply chain finance and the influence of supply chain finance on supply chain financing performance and SMEs performance in Vietnam. The study was conducted on 856 small and medium enterprises in Vietnam for 3 consecutive months. The data is processed by Smart PLS 3.3.6 software, the results show that credit quality, supply chain integration, information sharing, and information technology all have a statistically significant impact on supply chain finance. Besides, supply chain finance has a statistically significant impact on supply chain financing performance and SMEs performance. Finally, the innovation capability and the market response capability act as full mediators in the relationship between supply chain finance and supply chain financing performance. Based on the research results, we propose solutions and recommendations to help small and medium enterprises better access capital and improve business performance.

Research on the Financing Performance of Listed Companies on my country's Growth Enterprise Market —Based on DEA-Malmquist index analysis

The Growth Enterprise Market, also known as the second board market, is a convenient and simple financing market for small and medium-sized enterprises that cannot meet the listing conditions of China's main board market in the short term and have a small growth and development space. In my country's Growth Enterprise Market, it has become a gathering place for high-tech companies such as biology and information technology, laying a foundation for my country's future development of high-tech technology, and strengthening my country's comprehensive national strength. This paper uses the DEA-Malmquist index method to analyze the financing performance of 10 listed companies on my country's GEM from 2016 to 2020, and draws the results of the study: different years of financing environment are different, which has a greater impact on the financing performance of GEM companies; Problems in the management of the funds raised by the target company’s financing will have a greater negative impact on its financing efficiency.

China’s Energy Financing in Southeast Asia: Examining Its Public Goods Approach

This article aims to assess the motivations, modifications and impacts of China’s public goods approach by studying its energy financing in Southeast Asia. It argues that China’s public goods approach of energy financing will help improve financing performance through sustainable development and multilateral cooperation. However, the approach is constrained by the lack of trust from the region, incompatible standards between China and other Western practices, and growing securitisation by the United States on Chinese economic activities.

Determinants of profit and loss sharing financing in Indonesia

Purpose This paper aims to investigate the dynamic relationship between profit and loss sharing (PLS) financing and banking-specific variables, macroeconomic variables and religiosity in Indonesia. Design/methodology/approach This study used seven variables, such as PLS financing, Islamic financing rate, risk-sharing deposits, bank size, interest rate, economic growth and level of religiosity. The data used were monthly time series during the 2009–2019 period, and they used the structural vector autoregression method plus ARDL and ECM as a robustness check mechanism. Findings The results show that in the short term, PLS financing is more influenced by changes in the risk-sharing deposits and bank size variables. Meanwhile, analysis of variance decomposition illustrates that variations in PLS financing are more influenced by the dynamics of PLS financing itself than other variables. This finding also strengthens the characteristics of PLS financing that is immune to the influence of interest rates, and this result can strengthen the implementation of the PLS scheme as an alternative to the monetary channel in the dual banking system in Indonesia. Practical implications The immunity of PLS financing to changes in interest rates has implications for the management of Islamic banking risk management. Evaluation must be carried out by increasing the skills of the bankers in response to losses arising from moral hazard and asymmetric information. Originality/value This paper used empirical evidence to show the influence of internal and external factors toward PLS financing performance. To the best of the authors’ knowledge, the study on determinants of PLS financing is limited, particularly in the context of Indonesia.

The Effect of Islamic Financing Schemes on Risk and Financing Performance in Islamic Banks in Indonesia

The purpose of this study is to prove the effect of the financing scheme on financing risk and financing performance in Islamic banks in Indonesia. This research applies a form of quantitative research with the type of explanatory research that aims to accept or reject hypotheses. The population in this study are Islamic banks in Indonesia. The data used in the study are secondary data in the form of financial ratios sourced from Islamic bank financial reports for 2015 to 2019. Data analysis techniques use partial least squares which are used to test the inner model and outer model. The results of the study found that the sharia financing scheme that uses the buying and selling system and the profit sharing system has a significant effect on the risk of financing. However, the sharia financing scheme that uses the lease system has no significant effect on financing risk. The results also found that financing risk has a significant effect on the performance of Islamic bank financing in Indonesia. The results showed that the management of Islamic banks must be able to manage buying and selling financing and profit-sharing and profit-sharing financing schemes carefully and minimizing the risk of financing.

Holistic principle for risk aggregation and capital allocation

Risk aggregation and capital allocation are of paramount importance in business, as they play critical roles in pricing, risk management, project financing, performance management, regulatory supervision, etc. The state-of-the-art practice often includes two steps: (i) determine standalone capital requirements for individual business lines and aggregate them at a corporate level; and (ii) allocate the total capital back to individual lines of business or at more granular levels. There are three pitfalls with such a practice, namely, lack of consistency, negligence of cost of capital, and disentanglement of allocated capitals from standalone capitals. In this paper, we introduce a holistic approach that aims to strike a balance of optimality by taking into account competing interests of various stakeholders and conflicting priorities in a corporate hierarchy. While unconventional in its objective, the new approach results in an allocation of diversification benefit, which conforms to the diversification strategy of many risk management frameworks including regulatory capital and economic capital. The holistic capital setting and allocation principle provides a remedy to aforementioned problems with the existing two-step industry practice.

Variabel Determinant of Financing Risk, Financing Performance and Zakat in Islamic Banks Indonesia

This study aims to find out, test, and prove the influence of sharia financing on financing risk, financing performance, and zakat of Islamic Banks in Indonesia. This research uses a form of quantitative research with a type of exoplanet research. The sample of this study was 12 Islamic Banks in the period 2015-2019. The results of this study found scheme financing influence the risk of financing. Buying and selling financing affects the performance of financing, but not profit-share financing and ijarah financing obtained insignificant to the performance of financing. Buying and selling financing is not significant to zakat, while revenue-share financing and ijarah financing are significant to zakat. Financing risk significant to financing performance. Financing performance significant towards zakat. The findings of this study show that management should be able to manage to buy and selling financing, yield share financing, and ijarah financing to minimize financing risk. Management's ability to manage and minimize financing risks can improve financing performance so that increased financing performance will also increase the company's zakat. Management's ability to manage and minimize financing risks can improve financing performance so that increased financing performance will also increase the company's zakat.

The Role of Innovation in Startup Business Financing, Performance, and Survival

Startups are the new firms that drive innovation. However, they struggle due to their newness and smallness to finance their innovation, which often tends to fail. In this context, the chapter unfolds the role of innovation in startup firms' financing, performance, and survival. Contrary to conventional investments, innovation projects require heavy funds in R&D activity. The risks in innovation projects combine with the firm's information asymmetries elevate the cost of financing for the innovative startups. Equity investors such as business angels and venture capitalists mainly fund innovative startups. Founder's human capital signals also affect startup financing. Innovation positively impacts startup firm performance. Process and incremental innovations improve startup survival chances, whereas product and radical innovations reduce the same. The authors propose that innovation enhances survival if it increases market power and lessens production costs while hampering longevity if the innovative firm is burdened with the immoderate liabilities of newness and tininess.

The influence of strategic consensus among enterprises on supply chain financing performance

Based on the cognitive behavior theory, this study builds a “cognitive-behavior-performance” model to analyze the path that strategic consensus among enterprises influences supply chain financing performance through supply chain integration, and the moderating role of strategic flexibility in it. The analysis was performed using SPSS. Based on the data of 469 small and medium-sized enterprises, the results show that :(1) the stronger the strategic consensus among enterprises, the higher the performance of supply chain financing;(2) strategic consensus among enterprises can promote supply chain financing performance through supply chain integration;(3) strategic flexibility is beneficial to enhance the positive effect of supply chain integration on supply chain financing performance. This means that SMEs should enhance strategic mutual trust and cooperation and communication with core enterprises, strengthen their competitiveness to improve the integration level of supply chain, and pay attention to the changes of external environment to maintain strategic flexibility, so as to lay a solid foundation for the improvement of supply chain financing performance.