Digital Commons Network^™

Biases In Capital Market Instrument Investing Decisions: A Study From India, Sakshi Agarwal, Saurabh Singh

Australasian Accounting, Business and Finance Journal

This study examines the influence of different behavioral biases on the investment choices made by individual investors in the Indian capital market. The study utilizes a cross-sectional design, which entails gathering a substantial amount of data at a specific point in time. The study employed a survey methodology to collect data from a sample of 497 individual investors using purposive and snowball sampling. The data was collected using structural equation modeling (SEM), utilizing SPSS version 25 and AMOS version 26 as statistical software. This study characterizes individual investors as displaying irrational conduct. The study reveals a significant and positive association …

The Influence Of Emotions And Social Value Orientation On Risk Tolerance And Sustainable Investment Choices, Surbhi Verma, Ashu Khanna

Australasian Accounting, Business and Finance Journal

Purpose - The intricacy of the decision-making process has increased due to the inherent uncertainty surrounding investments. Therefore, the study aims to investigate the impact of individuals' Social Value Orientation (SVO), Emotional Instability (EI), and demographic factors on their Financial Risk Tolerance (FRT) levels. Additionally, it aims to investigate whether SVO and EI influence the adoption of socially responsible investment (SRI) funds and the diverse investment choices made by individuals.

Methodology - A convenient sampling technique was employed to gather data from 355 Indian retail investors through a structured questionnaire. Subsequently, the collected data was then examined and interpreted using …

Post Pandemic Business Sustainability Performance On Indonesian Stock Exchange Listed Companies, M. Mulyono

Australasian Accounting, Business and Finance Journal

This study aims to examine the effect of the pandemic on the performance of business sustainability implementation related to ESG (Environmental, Social, and Government) in companies listed on ESG-based stock indices on the Indonesia Stock Exchange. ESG-based stock indices are the SRI-KEHATI index, ESG Leaders index, ESG Sector Leader index, ESG Quality 45 index, and IDX LQ45 Low Carbon Leaders Index. ESG score data is obtained from the S&P Global website. There are 31 companies that are listed on the ESG-based index with available ESG score data. The data analysis used in this study is the Wilcoxon Signed-Rank Test and …

Antecedents And Consequences Of Earnings Management: A Systematic Review Of The Banking Sector In Developed And Developing Countries, Sarit Biswas, Mousumi Bhattacharya, Deepak Kumar

Australasian Accounting, Business and Finance Journal

The accuracy and utility of financial information are critical, but the prevalent issue of earnings management (EM) casts a shade on this goal. With a growing corpus of EM literature, a comprehensive review is essential for distilling insights and guiding future research. The paper systematically reviews 182 EM studies through the distinctive lens of developing and developed country banking institutions. With an emphasis on accrual-EM, the current study thoroughly examines and synthesizes the antecedents and consequences of bank EM. Notably, certain themes (such as corporate governance, international financial reporting standards, ownership structure and liquidity) emerge as universally relevant, bridging the …

Contractors' Perception Of Success Factors For Implementing Public Road Construction Projects, Noah Mwelu, Susan Watundu, Musa Bukoma Moya

Australasian Accounting, Business and Finance Journal

The Construction industry faces challenges and is increasingly failing to meet organizational objectives. This is evidenced by unsuccessful project implementation. Project failure oscillates between cost and schedule overruns and low-quality work, with construction organizations continuously failing to meet targets and losing significant funds annually. The public road construction subsector, which is currently in the spotlight for procurement irregularities, is equally challenged by the failures. Reports show that public road construction projects are not completed on time and within estimated budgets because of shoddy work and contract variations that negatively affect the government's goal attainment. This has resulted in several administrative …

The Effects Of Management Control Systems And Leadership Style On Company Performance, Fauziah Aida Fitri, Muhammad Syukur, Dian Faradiba

Australasian Accounting, Business and Finance Journal

A management control system (MCS) is one of the tools used to evaluate performance at different organisational levels. This study employs the Levers of Control (LoC) dimension introduced by Simons in 1995, consisting of the belief system, boundary system, diagnostic control system, and interactive control system. Besides, leadership styles (transformational style and transactional style) are also believed to influence company performance. This study aims to investigate the role of MCS and leadership styles on company performance. The result finds that MCS and leadership styles have a significant positive impact on company performance. The findings also suggest that the transactional leadership …

The Effect Of Workload, Level Of Audit Fees And Audit Risk On Audit Quality: An Empirical Study Of A Public Accounting Office In East Java-Indonesia, Lely Kumalawati, Made Sudarma, Aulia Fuad Rahman, Syaiful Iqbal

Australasian Accounting, Business and Finance Journal

This study explores the variables of workload, level of audit fees and audit risk on audit quality by testing the three research hypotheses using SPSS with multiple linear regression methods. The study was conducted at a Public Accounting Firm in East Java, Indonesia, with a population of 48 officially registered auditors. A questionnaire instrument was used to collect research data, containing questions/statements related to research variables tested for validity and reliability. The collected data were analyzed using multiple linear regression methods. The research results show that workload variables, audit fees, and risk levels significantly positively affect audit quality. The main …

‘Self-Sustainability’ And ‘Performance’ In Microfinance – The Contextual Relevance Of The Terms, Ashfaq Khan

Australasian Accounting, Business and Finance Journal

The microfinance sector’s Paradigm Shift (PS) of the 1990s caused a drastic shift in how Microfinance Organizations (MFOs) ensured their long-term survival and sustainability. The PS required MFOs to adopt a commercial approach in all their operations and pursue profitability and self-sustainability rather than depending on the provision of subsidized funds. Resorting to Schatzki’s (2002) ‘site of the social’ theoretical construct and DiMaggio and Powell’s (1983) institutional theory, this empirical paper aims to evaluate the real performance of Pakistan’s microfinance sector, following the PS, in terms of its strict adherence to its founding objectives of eradicating poverty and serving the …

Top Management Characteristics, Performance Measurement Systems Design And Strategic Change Of Reformed Public Hospitals In Indonesia, Made Aristia Prayudi, Nurkholis Nurkholis, Erwin Saraswati, Mohamad Khoiru Rusydi

Australasian Accounting, Business and Finance Journal

This study examined the impact of top management characteristics on strategic change in public hospitals in Indonesia, focusing on the mediating role of performance measurement system (PMS) design. Questionnaires were distributed to 157 top managers from Indonesian regional public hospitals undergoing reform. The findings indicate that younger, short-tenured top managers with business administration backgrounds are likelier to lead the strategic change, specifically the shift from a defender to a prospector strategy. Additionally, PMS design partially mediates the relationship between top managers' age, educational background, and strategic change. However, no significant mediation effect of PMS design was observed in the relationship …

Tenant Satisfaction, Trust, Green Image As Mediation, And Greenwashing Perception As Mediator Of The Perceived Intention To Extend Or Renew Rent, Felicia Solihin, Raden Alibasya Wisnu Wardhana, Suharno Tan, Asnan Furinto, Dewi Tamara

Australasian Accounting, Business and Finance Journal

This research aimed to observe the influence of tenant satisfaction, green awareness, and trust through green image mediation, and moderation by greenwashing perception perceived intention to extend or renew rent and studied in one of the biggest shopping malls in Jakarta. The research collected data through surveys of 229 respondents who are tenants with a minimum of one year of rent at this shopping mall. Although many research projects have shown that tenant satisfaction and tenant trust have a positive influence on tenant intention to extend or renew rent, it had yet to examine the factors of green awareness, green …

Editorial Volume 17 Issue 5. Industrial Analysis From Multidimensional Perspectives, Bryna Meivitawanli, Ciorstan Smark

Australasian Accounting, Business and Finance Journal

This Special Issue of the Australasian Accounting Business and Finance Journal (AABFJ) comes out of the Industrial Analysis from Multidimensional Perspectives stream of the 3rd International Conference on Organizational Performance Excellence (iCOPE 2023). This conference is held by Binus Business School, Bina Nusantara University. The conference takes on the theme of Ecosystem, Innovation, and Excellence in Enhancing Organizational Resilience and Agility for Sustainability and welcomes the submission of research papers focused on any industry. Therefore, this special issue provides industrial analyses from multidimensional perspectives. Each industry has its own unique identity. Therefore, it is important to conduct industry-level analysis to …

The Role Of Parasocial Relationships, Congruence And Source Credibility In Indonesia: A Study On Tiktok Live Streaming Commerce In The Cosmetics Industry, Caroline Lawrence, Bryna Meivitawanli

Australasian Accounting, Business and Finance Journal

This study aimed to investigate how parasocial relationships, congruence, and source credibility influence purchase intention in TikTok Live Streaming commerce for cosmetics among Indonesian Generation Z users. Data was collected from 270 respondents through an online questionnaire, and validity and reliability tests were conducted. The data were analyzed using Structural Equation Modeling (SEM-PLS). Results showed that celebrity endorsers' attractiveness, trustworthiness, and expertise positively impact purchase intention. Parasocial relationship mediated the connection between celebrity characteristics and purchase intention. Moreover, celebrity-product congruence positively influenced endorsers' perceived credibility and mediated the relationship with purchase intention. The findings emphasize the importance of celebrity attractiveness, …

Human Touch Experience: A Strategy For Reducing Consumer Switching Behavior In The Financial Service Industry, Anton Dwi Fitriyanto, Mulyono Mulyono

Australasian Accounting, Business and Finance Journal

This research provides an in-depth exploration of the Human Touch Experience (HTE) as a strategy for reducing consumer switching behavior in the financial service industry (Non-Bank). Amidst increasing competition and digitalization, maintaining customer loyalty has become a significant challenge for the industry. The study employed a mixed-methods approach, combining quantitative survey data from 1,207 respondents with qualitative data from 30 in-depth interviews. The findings underscore that high levels of HTE are associated with increased customer satisfaction and loyalty and a decreased intention to switch service providers. Furthermore, financial institutions that incorporate HTE practices into their operations report lower rates of …

Audit Quality Improvement And The Role Of Risk: Audit As A Moderator, Edy Sujana, Nyoman Ari Surya Dharmawan

Australasian Accounting, Business and Finance Journal

The audit process used by the auditor directly impacts audit quality. The auditor's attitude and cognitive abilities are crucial for finishing the Audit and play a significant part in the decision-making process. Different auditing techniques and procedures can also be adjusted to situations that are not typical. Hence, additional research needs to be done on audit quality to maintain it at a high level in the future under all circumstances. This study investigates how audit quality affects the moderating factors of audit skepticism, planning, and Risk. In this study, 265 Indonesian auditor respondents served as the sample. A quantitative strategy …

Transparency In International Anti-Corruption Helpdesk Answers: A Case Study In Timor-Leste, Pascoal Da Costa Oliveira, B. Basuki, H. Hamidah

Australasian Accounting, Business and Finance Journal

This study provides an overview of corruption in Timor-Leste. The extent of corruption in the government and public service. This paper asks: who are the stakeholders? How can they work together? How do these actors manage or fail to manage corruption? More broadly, which successful collaboration mechanisms can be identified from the literature about how to reduce corruption? To provide an answer, in this paper, the literature on an overview of Timor-Leste (TL) corruption is extensively reviewed, with a focus on five particular sectors: an overview of corruption in Timor Leste, primary drivers of corruption, corruption in crucial sectors, legal …

Integrated Reporting Implementation In The Health Sector Industry, Dini Wahjoe Hapsari, Khalisha Azzahra Khairunnisa

Australasian Accounting, Business and Finance Journal

Integrated reporting is an organization's process of communicating information to stakeholders about value creation from time to time. This report provides material details on an organization's strategy, governance and compensation, achievement, risk, and prospects, as well as the business, social, and environmental context in which it operates. The output of integrated reporting is an integrated report which is the main report of the organization. This study aims to determine the extent to of health sector companies listed on IDX respond to integrated reporting as a future corporate reporting trend. The information was gleaned from annual reports of health firms determined …

Determinants Of Pension Fund’S Required Return: A Scenario-Based Simulation Of Civil Service Pension Fund, Muhammad Irfan, Wee-Yeap Lau

Australasian Accounting, Business and Finance Journal

This study examines the required return to fund a defined pension benefit of the Civil Service Pension Fund, managed by KWAP. Based on the four variables, contribution rate, retirement age, life expectancy, and length of service, this study simulates 648 scenarios of required return corresponding to the years of service and post-retirement benefits. Our findings show: First, the minimum years of service for the pension eligibility shall be increased to 20 years. Second, the Government shall increase the contribution rate to at least 13% per worker to KWAP. Third, there are no significant changes in the required rate of return …

The Development Of Small And Medium-Sized Businesses And Its Impact On The Trend Of Unemployment In Kazakhstan, Toty Bekzhanova, Murat Aliyev, Gulmira Tussibayeva, Miyatbek Altynbekov, Aigul Akhmetova

Australasian Accounting, Business and Finance Journal

This study is focused on conducting research on the development of entrepreneurship in small and medium-sized businesses, which is one of the key priorities in the Republic of Kazakhstan since the development of small and medium-sized businesses allows solving the issue of reducing unemployment in the country, as well as the outflow of youth. The development of small and medium-sized businesses allows the creation of new jobs where the population of Kazakhstan can offer their candidacy for vacant places. The information base of the study includes the works of Russian, European, and American specialists involved in the study of the …

Do Shadow Banking Depositors Discipline The Market?, Vera Intanie Dewi, Nury Effendi, Mokhamad Anwar, Sulaeman Rahman Nidar, Tettet Fitrijanti, Benny Tjandrasa

Australasian Accounting, Business and Finance Journal

The shadow banking sector comprises non-bank financial institutions that do not have a deposit guarantee and are barely supervised by the regulator. Efforts to monitor shadow banking must be done well, in both developed and developing countries. Regulators in several countries however have not been fully effective in supervising shadow banking financial institutions, particularly in developing countries such as Indonesia. Therefore, the public's role—in this case, depositors—is essential to supervise shadow banking through the practice of market discipline. However, some factors may cause the market discipline practice to fail, such as low financial literacy. This research aims to examine the …

Could The Theory Of Planned Behaviour Explain Market Discipline In Sharia Mutual Funds?, Umi Widyastuti, Erie Febrian, Sutisna Sutisna, Tettet Fitrijanti

Australasian Accounting, Business and Finance Journal

A significant number of studies have explored market discipline as indicated by investors or customers being sensitive toward the excessive risks taken by banks. Yet no scholars have sought to review this topic from the behavioural finance perspective. This study defines market discipline as withdrawal behaviour, captured here using the theory of planned behaviour (TPB) as one of the behavioural finance theories. This study aims to determine the psychological and social factors influencing market discipline from a behavioural perspective, by employing the TPB. This study’s sample comprised of 93 academicians who invested in Sharia mutual funds in Greater Jakarta, Indonesia. …

Editorial Volume 17, Issue 4, Ciorstan Smark, Monir Mir

Australasian Accounting, Business and Finance Journal

Editorial 17 4

Editorial, Ciorstan Smark, Monir Mir

Australasian Accounting, Business and Finance Journal

Editorial Volume 17 Issue 3

Sustainable Development Goals: How Do Companies React?, Stefania Vignini

Australasian Accounting, Business and Finance Journal

Design/methodology/approach – The methodology followed is eminently qualitative-exploratory based on the administration of questionnaires, aimed at knowing which strategies have been implemented or what strategies are in the process of implementing by the companies to adapt to the challenge.

Findings - Our findings show how large companies adapt their business to changing environmental conditions within a short period of time and what they expect in the future.

Originality/value - The work presents elements of novelty, as an empirical study in managing the impact of SDGs framework on businesses belonging to the Italian territory.

Accountants' Behaviour, Performance Evaluation And Educational System, Rabih Nehme, Alcheikh Edmond Kozah, Sami Sadaka, Amir Michael

Australasian Accounting, Business and Finance Journal

Purpose: Retaining competent and qualified public accountants has become a challenge for most audit firms. Accordingly, some universities and audit firms are combining their efforts to attract accounting students by establishing the 'School Leavers' Program'. The objective of this research is to highlight some of the challenges auditors experience in the fieldwork. These challenges are defined by the unethical behaviour that auditors exhibit in order to achieve better performance evaluation.

Design/Methodology: The sample of the study comprises two subgroups stratified based on the type of educational system: Classical Accounting Education (CAE) and Work Integrated Learning (WIL) education system.

Findings: The …

Integrating Esg Pillars For Business Model Innovation In The Biopharmaceutical Industry, Annesha Bhattacharya, Sonali Bhattacharya

Australasian Accounting, Business and Finance Journal

The study explores critical factors that impact the Business Model of Biopharmaceutical firms and assess how ESG pillars can aid in Business Model innovation. Semi-structured personal interviews were conducted in face to face meetings with experienced industry professionals from cross-functional domains to attain diverse insights. The objective was to explore the relevance of ESG factors and their interplay, during Business Model Innovation from the perspective of experts in the Biopharmaceutical industry. Analytical Hierarchy Process (AHP) – a structured approach is applied to understand the criticality of various factors in sustainable business models. The study revealed that special emphasis should be …

Understanding The Association Between Constructive Nonconformity And Innovative Work Behavior: An Employee Perspective, Naval Lawande

Australasian Accounting, Business and Finance Journal

Purpose: Organizations have evolved to be entities that focus primarily on efficient systems and procedures. This approach was followed by devising techniques or methodologies for employees to conform to these systems or processes. The employee orientation has often been to conform to the status quo rather than to challenge it. Most of the managers believe that cohesion at workplace can be achieved through alignment of behaviors at the workplace. Contrary to this belief, Henry Mintzberg explains, that innovative organizations need to be flexible, reject bureaucracy and most importantly; avoid emphasis on control mechanisms. Hence, the perennial relationship between nonconformance and …

Faculty Recruitment Practices And Sdg4: Challenges And Recommendations, Alrasbi Nassr, Yeravdekar Vidya, Neelam Netra

Australasian Accounting, Business and Finance Journal

This article aims to critically study the literature on the challenges H.E.I.s (Higher Education Institutions) encounter while recruiting faculties and provide opportunities for other researchers to use it as a foundation for future research. The reviewed literature begins broadly with recruitment to gain a comprehensive knowledge of the concept, its origin, differential usage through several decades, and various factors that influenced its effectiveness. Accordingly, the authors did an extensive study considering the breadth and depth of the core problem of the study. The study of the challenges of faculty recruitment has been undertaken in three phases spanning 60 years, and …

The Role Of Mobile Payment Apps In Inclusive Financial Growth, Neelam K., Sonali Bhattacharya

Australasian Accounting, Business and Finance Journal

In the age of technology, the usage of mobile payment apps is playing a significant role in financially strengthening urban areas. This research aiming to identify the enablers affecting the use of mobile technology by the urban poor households in Pune, Maharashtra, India and to identify the user behaviour in technology adaptation.

The published literature was thoroughly reviewed with respect to mobile payment, financial technology, and financial inclusion. The data has been collected through a field survey. Simultaneously, a structural equation model is developed using Amos software and Spss is used to perform factor analysis. The theoretical framework is based …

Sustainable Development Goal Aligned Business Practices, Sonali Bhattacharya, Dipasha Sharma

Australasian Accounting, Business and Finance Journal

In this collection of fifteen articles we revisited the various aspects of sustainable development goals and how industries are proactively strategizing to create a greener and healthier world.

Progenitors Of Firm’S Search Behaviour: A Country Comparison Of Australia Vs. India, Ranjan Dasgupta, Monika Dhochak

Australasian Accounting, Business and Finance Journal

The determinants and consequences of firm-risk are widely studied in regard to the US and other developed markets. However, little attention is paid to these issues in emerging markets or in cross-country contexts. The empirical literature is also mostly silent about the progenitors of firms’ search behaviour in an organisational risk context. To fill these research gaps, we investigate the progenitors of a firm’s search behaviour (i.e. risk-taking) in a bi-country context of Australia vs. India with 395 firms across 2003-2017. We use four distinctive risk measures - return on asset SD, capital expenditure ratio, accounting beta and R&D intensity, …