SUSTAINABILITY AND. Welcome Speech of Rector of UNAIR (Vice Rector) of UNAIR and OPENING Entertainment: Banjari 10:15 am – 10:25 am Keynote Speech Head of Regional East Java "Bank

SUSTAINABILITY AND

SOCIO ECONOMIC GROWTH

BOOK OF ABSTRACT

2ND INTERNATIONAL CONFERENCE ON

ISLAMIC ECONOMICS, BUSINESS, AND

PHILANTHROPY (2ND ICIEBP)

22TH November 2018, Grand Ball Room Bank Indonesia, Surabaya

Book of Abstract 2nd ICIEBP | ii

ICIEBP 2018 Book of Abstract of the

2nd International Conference on Islamic Economics,

Business, and Philanthropy

Surabaya - Indonesia

November 22, 2018

Organized by

Faculty of Economics and Business, Universitas Airlangga, Indonesia

In Collaboration with

UPI - Department of Islamic Economics and Finance, Universitas Pendidikan Indonesia

UMM - Faculty of Economics and Business University of Muhammadiyah Malang, Indonesia

UiTM – Universiti Teknologi Mara, Malaysia

IIUM – International Islamic University Malaysia

Book of Abstract 2nd ICIEBP | iii

BRIEF CONTENTS

INVITED SPEAKERS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . IV

ORGANIZING COMMITTEES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . V

ACKNOWLEDGMENT OF THE RECTOR OF UNIVERSITAS AIRLANGGA . . . . . . . . . . . . . . . . . . . . . . . .VII

FOREWORD . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .VIII

PROGRAMME . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . X

CONTENTS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .XI

Book of Abstract 2nd ICIEBP | iv

INVITED SPEAKERS

Dr. Mohamed Asmy Bin Mohd Thas Thaker International Islamic University Malaysia (IIUM)

Malaysia

Raditya Sukmana, SE., MA., Ph.D

Universitas Airlangga Indonesia

Dr. Rose Abdullah

University Islam Sultan Sharif Ali Brunei Darussalam

Ronald Rulindo, Ph.D Lembaga Penjamin Simpanan

Indonesia

Book of Abstract 2nd ICIEBP | v

ORGANIZING COMMITTEES

ORGANIZATION CHAIR

Siti Zulaikha, Universitas Airlangga, Indonesia

ADVISORY BOARD

Dian Agustina, Universitas Airlangga, Indonesia

Rudi Puwono, Universitas Airlangga, Indonesia

Ahmad Rizki Sridadi, Universitas Airlangga, Indonesia

Nisful Laila, Universitas Airlangga, Indonesia

Azmi Omar, International Centre for Education in Islamic Finance (INCEIF), Malaysia

Agus Rahayu, Universitas Pendidikan Indonesia, Indonesia

Siti Nurazira Mohd Daud, University Sains Islam Malaysia, Malaysia

Muhammad Abduh, Universiti Brunei Darussalam, Brunei Darussalam

Rifqi Ismal, Bank Indonesia, Indonesia

Ginanjar Dewandaru, International Centre for Education in Islamic Finance (INCEIF), Malaysia

Mahbubi Ali, International Shari'ah Research Academy For Islamic Finance (ISRA), Malaysia

STEERING COMMITTEE

Raditya Sukmana, Universitas Airlangga, Indonesia

Achsania Hendratmi, Universitas Airlangga, Indonesia

Siti Zulaikha, Universitas Airlangga, Indonesia

Sylva Alif Rusmita, Universitas Airlangga, Indonesia

Lina Nugraha Rani, Universitas Airlangga, Indonesia

Puji Sucia Sukmaningrum, Universitas Airlangga, Indonesia

Bayu Arie Fianto, Universitas Airlangga, Indonesia

Ilmiawan Auwalin, Universitas Airlangga, Indonesia

Shochrul Rohmatul Ajija, Universitas Airlangga, Indonesia

Sulistya Rusgianto, Universitas Airlangga, Indonesia

Dina Septiarini, Universitas Airlangga, Indonesia

Tika Widiastuti, Universitas Airlangga, Indonesia

Noven Suprayogi, Universitas Airlangga, Indonesia

Book of Abstract 2nd ICIEBP | vi

Imron Mawardi, Universitas Airlangga, Indonesia

Irham Zaki, Universitas Airlangga, Indonesia

Ari Prasetyo, Universitas Airlangga, Indonesia

Fatin Fadhila, Universitas Airlangga, Indonesia

Eko Fajar Cahyono, Universitas Airlangga, Indonesia

Siti Inayatul, Universitas Airlangga, Indonesia

Syifaul Qulup, Universitas Airlangga, Indonesia

R. Moh. Qudsi Fauzi, Universitas Airlangga, Indonesia

Book of Abstract 2nd ICIEBP | vii

Acknowledgment of The Rector

of Universitas Airlangga

at The 2nd International Conference on Islamic

Economics, Business, and Philanthropy

(ICIEBP) 2018

Assalamu’alaykum Warahmatullahi Wabarakatuh

Bismillahirrahmanirrahim, Innal hamda lillah. Nahmaduhu wa nasta’inuhu wa nastaghfiruh. Wa

na’udzubillahi min syuruuri a’malina wa min sayyiaati a’maalina. Allahumma shalli ‘alaa Muhammad

wa ‘ala alihi wa shahbihi ajma’ien.

Let me begin by welcoming all of you, distinguish guests and speakers, honorable members and all

participants to the “The 2nd International Conference on Islamic Economics, Business, and Philanthropy

(ICIEBP) 2018”. As a rector of Universitas Airlangga, I say thanks to committee from Faculty of

Economics and Business Universitas Airlangga who held this conference and all delegates who

contribute to this conference. May our cooperation continues and ICIEBP can be held every year, in

Surabaya, Bandung, or other cities in Indonesia or even abroad. Hopefully, this conference provide a

forum for leading scholars, academics, researchers, and practitioners to reflect current issue, challange

and opportunites, and share the latest innovative research and practice, especially in Islamic economics,

Islamic business, and philantrophy, as the theme of this conference.

We hope this seminar will bring together participants to exchange ideas on future development on

Islamic economics, business, and philantrophy and make this conference to strenghten networking,

collaboration, and joint effort among participants. Moreover, this ICIEBP 2018 provides an opportunity

for researchers to publish their papers on reputed proceedings indexed by Scopus.

Thema of this seminar and conference is “Sustainability and Socio Economic Growth”, so under this

conference, we can explore various theories, methods, and experiences related to socio economic

sustainaibily and many related themes about Islamic economics, business, and philantrophy: Islamic

finance, Islamic banking, zakah and waqf, Islamic capital market, and any themes related to Islamic

economics. We hope this conference will contribute to a meaningful paradigm shifts in Islamic

economics, business, philantrophy, socio economics research, in general, and the delegates’ career

development, in particular. Finally, we would like to thank everybody who contributed in many ways

to the success of this conference.

We wish to see you to the next ICIEBP.

Wassalamu’alaykum Warahmatullahi Wabarakatuh

Surabaya, 22 November 2018

Rector of Universitas Airlangga,

Prof. Dr. Mohammad Nasih, SE., Mt., Ak., CMA

Book of Abstract 2nd ICIEBP | viii

Forewords of The Dean of Faculty of Economics

and Business at The 2nd International

Conference on Islamic Economics, Business,

and Philanthropy (ICIEBP) 2018

Bismillahirrahmanirrahim,


Praise be to Allah God Almighty who for His grace the preparation for organizing the 2nd International

Conference on Islamic Economics, Business, and Philantrophy (2nd ICIEBP) runs smoothly. On behalf

of the organizers of the 2nd ICIEBP I would like to express my sincerest gratitude for your participation

in this conference.

The theme this year is Sustainability and Socio Economic Growth. As we might already know, a vast

amount of Quranic verses and several sayings of the prophet Muhammad indicate the great importance

of sustainable development in Islam. Islamic sustainable development can be defined as well-balanced

development between economic growth, social progress, and ecological preservation. Human economic

activities, according to Islam, should not hinder the progress toward social welfare and the attainment

of social justice. Furthermore, today’s economic activities to fulfil our needs should never compromise

the abilities of future generation to also attain their needs.

The success of the 2nd ICIEBP depends completely on the talent and effort of many researchers to cope

with such significant emergence in the Islamic perspectives. My appreciation also goes to the organizing

committee who have worked hard to prepare this event. The committee have invested significant time

in analyzing and assessing multiple papers, who hold and maintain a high standard of quality for this

conference

I hope all of you have abundant opportunities to discuss this emerging matter. I am confident that we

individually and collectively will gain valuable lessons. I hope your discussions will be both productive

and enjoyable. Thank you.

Wassalamu’alaykum Warahmatullahi Wabarakatuh


Dean of Faculty of Economics and Business, Universitas Airlangga,

Prof. Dr. Hj. Dian Agustia, SE., MSi., Ak.

Book of Abstract 2nd ICIEBP | ix

Forewords of The Chairman of The 2nd

International Conference on Islamic Economics,

Business, and Philanthropy (ICIEBP) 2018

Bismillahirrahmanirrahim,


Praise be to Allah, God Almighty, who for His grace, the implementation of the 2nd International

Conference on Islamic Economics, Business, and Philantrophy (2nd ICIEBP) runs very well. Let me

first express my appreciation and gratitude to the Rector of Universitas Airlangga, Prof. Dr. Mohammad

Nasih SE., M.T., Ak., CMA and Dean of Faculty of Economics and Business, Universitas Airlangga,

Prof. Dr. Dian Agustia, SE., M.Si. They had the vision and mission to create this opportunity for all of

us to listen to each other and to learn from each other. I'd also like to thank the invited speakers and

participants who've travelled to join with the 2nd ICIEBP.

The first conference of ICIEBP is held in Universitas Pendidikan Indonesia (UPI) Bandung, Indonesia,

and it was entitled “Rethinking Sustainability from an Islamic Perspective Transforming Economy and

Societies. In order to maintain the continuity of Islamic Economics conference in presenting insights,

sharing, and executing ideas presented by innovative researchers, experts and practitioners, Faculty of

Economics and Business Universitas Airlangga, in collaboration with UPI, UMM, IIUM, and UTM

proudly presents “The 2nd ICIEBP held in November 22th, 2018. The theme, as well as the main

objective of the conference is “Sustainability and SocioEconomic Growth”. The conference has

collected 110 papers from various countries such as Pakistan, Taiwan, Malaysia and Indonesia. The

proceeding and result of the conference inshaaAllah will be submitted for further indexed to scopus and

CPCI (upon indexer approval).

During the conference, I wish you all benefit from each other's academic knowledge and skill and I'm

convinced that the conference will make an outstanding contribution to the Islamic economics. Wishing

you a fruitful conference. I would also take this opportunity to thank you for the amazing organizing

committee members who have worked very hard to make this conference run smoothly.

Jazakumullah khairan katsiran.

Wassalamu’alaykum Warahmatullahi Wabarakatuh.


Conference Chairman,

Dr. Siti Zulaikha, S.E., M. Si

Book of Abstract 2nd ICIEBP | x

PROGRAMME

Timing Details of Agenda

07:00 am - 08:00 am Registration Presenter & Participant

08:00 am – 09:15 am Parallel Session I

09:15 am – 09:30 am Coffee Break

09:30 am – 10:15 am Opening Ceremony

1. Recitation of Quranic Verses

2. Recitation of dua

3. The Singing of National Anthem "Indonesia Raya"

4. Welcome Speech of Chairman of ICIEBP

5. Welcome Speech of Dean of Faculty of Economic and Business (FEB)

6. Welcome Speech of Rector of UNAIR (Vice Rector) of UNAIR and

OPENING

Entertainment: Banjari

10:15 am – 10:25 am Keynote Speech

Head of Regional East Java "Bank Indonesia”

Tittle: Islamic Economic and Industrial Revolution 4.0 10:25 am – 12:15 pm Plennary Session

1. Raditya Sukmana, SE., MA., Ph.D (Universitas Airlangga)

2. Dr. Mohamed Asmy Mohd Thas Thaker (IIUM) Malaysia

3. Dr. Rose Abdullah (University Islam Sultan Sharif Ali) Brunei Darussalam

4. Ronald Rulindo, Ph.D (Lembaga Penjamin Simpanan)

Questions and Answers Session (Q&A)

12:15 pm – 13:00 pm Lunch and Sholat Dzuhur

13:00 pm – 15:00 pm Parallel Session II

15:00 pm – 15:15 pm Coffee Break and Sholat Ashar

15:15 pm – 17:00 pm Parallel Session III

17:00 pm – 17:15 pm Closing + Best Paper Announcement

Book of Abstract 2nd ICIEBP | xi

CONTENTS

CONTENTS xi

CHAPTER 1: ISLAMIC ECONOMICS 1

MAQASID INDEX AS AN INSTRUMENT FOR EVALUATING CORPORATE SOCIAL

PERFORMANCE: EVIDENCE FROM INDONESIA MARKET

Ulfah Nurul Fauziah 1

GAME THEORY APPLICATION ON FUNDING STRATEGY PT. BANK SYARIAH

MANDIRI AND PT. BANK BNI SYARIAH FACING THE COMPETITION OF ISLAMIC

BANKING INDUSTRY IN INDONESIA

Tegar Wijanarko, Eko Fajar Cahyono 1

MONETARY POLICY AND INFLATION IN INDONESIA: THE ROLE OF DUAL

BANKING SYSTEM

Raditya Sukmana, Adnan Fauzi Wicaksana 2

THE ROLE OF GOVERNMENT IN THE ZAKAT MANAGEMENT: THE

IMPLEMENTATION OF A CENTRALIZED AND DECENTRALIZED APPROACH

(COMPARATIVE STUDY IN INDONESIA AND MALAYSIA)

Faridatun Najiyah, Nur Rizqi Febriandika 2

EFFECTIVENESS OF CONVENTIONAL AND SHARIA MONETARY POLICIES TO

CONTROLLING INFLATION IN INDONESIA PERIOD 2012-2018

Salma Nur Hasna, Kusnendi, Neni Sri Wulandari 3

EFFECT OF RELIGIOSITY ON THE SAKINAH FINANCE IMPLEMENTATION AND

ITS IMPACT ON FAMILY WELFARE

Mugy Ansyori Fauzyan, Suryana, Aas Nurasyiah 3

THE IMPACT OF ECONOMIC GROWTH AND DISTRIBUTION OF ZAKAT FUNDS ON

POVERTY (SURVEY IN THE THIRD DISTRICTS OF WEST JAVA PROVINCE PERIOD

(2011-2016)

Fitri Nurjanah, Kusnendi, Juliana 4

ISLAMIC MONETARY MANAGEMENT: A CRITICAL OVERVIEW

R. Moh Qudsi Fauzi Meri Indri Hapsari 4

EXTERNALITIES IN WATER SANTRI SIDOGIRI NATURAL RESOURCES

PERSPECTIVE ISLAMIC ECONOMY 1Nikmatul Fuadah, 2R. Mohammad Qudsi Fauzi 5

HOW ZAKAT CAN AFFECT INFLATION IN INDONESIA THROUGH MODIFIED

KEYNESIAN CONSUMPTION

Anim Kafabih and Angga Erlando 5

THE INFLUENCE OF POVERTY REDUCTION FUNDS BY THE GOVERNMENT,

ZAKAT FUNDS, INFAQ FUNDS AND MACROECONOMIC VARIABLES ON THE

LEVEL OF POOR POPULATION IN INDONESIA

Eko Fajar Cahyono, Siti Maghfirotul Ulya 6

Book of Abstract 2nd ICIEBP | xii

INFLUENCE OF MICRO ECONOMIC AND MACRO ECONOMIC ON YIELD TO

MATURITY OF IJARAH SUKUK CORPORATION YEAR 2014-2017

Hana Khaiririah Ulfah, Kusnendi, Suci Aprilliani 7

CHAPTER 2: ISLAMIC FINANCE AND BANKING 8

BANK RISKS, SHOCK EVENT AND PROFITABILITY IN ISLAMIC BANKS:

ADOPTION OF PANEL DATA APPROACH

Zuriyati Ahmad, Noorazlina Ahmad, Nurul Syuhada Baharuddin 8

COMPARATIVE STUDY OF RETURN, RISK, AND RATING BETWEEN IJARAH AND

SUKUK MUDHARABAH OF PUBLIC COMPANIES IN STOCK EXCHANGE WITHIN

2017

Sagung Anegsa Sakti, Dedi Wibowo 8

THE IMPLEMENTATION OF ISLAMIC FINANCIAL LITERACY THROUGH

KENCLENG PROGRAM IN SCHOOL

Iis Aisyah, Dadang Saepuloh 9

FACTORS INFLUENCING CORPORATE ZAKAT EXPENDITURE (CASE STUDY OF

ISLAMIC BANKS IN INDONESIA PERIOD 2015-2017)

Rizky Utari, Hilda Monoarfa, Sri Yayu Ninglasari 9

RISK MANAGEMENT OF NON BANK HOME OWNERSHIP FINANCING

Alfinia Firrizqi, Fatin Fadhilah Hasib, Luluk Afiqh 10

EFFICIENCY DETERMINANTS OF ISLAMIC INSURANCE IN INDONESIA 1Rachma Indrarini, 2Clarashinta Canggih, 3Sylva Alif Rusmita 10

PREVENTION OF FRAUD IN SHARIA BANKING IN INDONESIA THROUGH

IMPLEMENTATION OF SHARIA CORPORATE GOVERNANCE

Mella Apriliani Astuti 11

THE EFFECT OF LIQUIDITY, PROFITABILITY AND COMPANY SIZE OF THE

VALUE OF THE COMPANY WITH LEVERAGE MEDIATION

Idah Zuhro 11

CUSTOMER PREFERENCES IN SELECTING THE PAWN TRANSACTION IN

PEGADAIAN SYARIAH PADASUKA

Rindani Dwihapsari, Suryana, Juliana 12

ANALYSIS OF CORPORATE SOSIAL RESPONSIBILITY, CORPORATE

PERFORMACE, AND FIRM VALUE: JAKARTA ISLAMIC INDEX LISTED COMPANY 1M Bastomi Fahri Zusak, 2Sunan Fanani, 3Dwi Swasana Ramadhan 12

FACTORS THAT INFLUENCE SURPLUS UNDERWRITING OF TABARRU FUNDS IN

GENERAL ISLAMIC INSURANCE COMPANIES

Mohammad Firdaus Ramdhani P, Puji Sucia Sukmaningrum 13

FACTORS AFFECTING STOCK BETA COMPANIES LISTED IN JAKARTA ISLAMIC

INDEX 2012-2016 PERIOD

Jamilatul Munawarah, Puji Sucia Sukmaningrum, Muhammad Madya 13

GREEK CRISIS, CO-INTEGRATION, AND CONTAGION EFFECT OF SHARIA STOCK

MARKETS IN INDONESIA MALAYSIA AND SINGAPORE: IS THERE A PROBLEM

Book of Abstract 2nd ICIEBP | xiii

FOR INVESTORS?

Jaja Suteja, Elvira Zeyn 14

ANALYSIS OF BANKRUPTCY POTENTIAL IN ISLAMIC COMMERCIAL BANKS

USING THE GROVER G-SCORE METHOD FOR THE 2012-2017 PERIOD

Dian Filianti, Dina Fitrisia Septiarini 14

HIDING BEHIND SHARIAH VEIL: LESSONS IN DANA GAS SUKUK SAGA

Najeeb Zada 15

THE ROLE OF DIGITAL FINANCE TO STRENGTHEN FINANCIAL INCLUSION AND

THE GROWTH OF SME IN INDONESIA

Atina Shofawati 15

COMPARING PREDICTION OF FINANCIAL PERFORMANCE OF SHARIA AND

CONVENTIONAL BANKING AND ITS INFLUENCE USING ARTIFICIAL NEURAL

NETWORK (ANN) 1Ulumuddin Nurul Fakhri, 2Saiful Anwar, 3Rifki Ismal, 4Ascarya 16

THE INFLUENCE OF BANK OWNERSHIP ON BANK PERFORMANCE AND RISKS

(THE CASE OF SHARIA COMMERCIAL BANKS IN INDONESIA)

Sellen Ravindy, Nisful Laila, Lina Nugraha Rani, Puji Sucia Sukmaningrum 16

ANALYSIS OF THE HEALTH OF ISLAMIC BANKS WITH APPROACH TO

RENTABILITY FACTORS (EARNING)

Eris Tri Kurniawati, Syamsul Hadi, Gina Harventy, Yunan Syaifullah 17

INTERTEMPORAL EFFICIENCY ANALYSIS OF INDONESIAN SHARIA

COMMERCIAL BANK AFTER SPIN OFF PERIOD 2013-2017 DATA ENVELOPMENT

ANALYSIS (WINDOW ANALYSIS)

Ulfi Alayya, Lina Nugraha Rani 17

OPTIMIZATION OF ISSI STOCK PORTFOLIO USING SINGLE INDEX MODELS IN

2013-2017

Firsty Dzanurrahmana Zein, 1Khurul Aimmatul Umah, 2Sri Herianingrum, 3A. Syifaul Qulub, 4Sylva Alif Rusmita 18

COMPARISON MODEL BUSINESS, STABILIZATION, AND FINANCE PERFORMANCE

OF SHARIA COMMERCIAL BANK AND CONVENTIONAL COMMERCIAL BANK IN

INDONESIA IN 2012-2016

Yanani Mutiara Dewi, Dina Fitrisia Septiarini 18

SHARIA COMPLIANCE ON MORTGAGE PRODUCT WITH IJARA MUNTAHIYA

BITTAMLIK CONTRACT IN SHARIA PERMATA BANK

Amalia Damayanti, Arim Nasim, Firmansyah 19

APPROPRIATE YIELD CURVE MODELING FOR SUKUK 1Sulistya Rusgianto, 2Nursilah Ahmad, 3Siti Nurazira Mohd Daud, 4Siti Zulaikha 19

EFFICIENCY OF TABARRU FUND MANAGEMENT AT SHARIA INSURANCE

COMPANIES IN INDONESIA

Marina Sarah, A. Jajang W. Mahri, Aneu Cakhyaneu 20

DETERMINAN OF NON PERFORMING FINANCING IN INDONESIA ISLAMIC BANK

Melianda Visca Wulandari, Suryana, Suci Aprilliani Utami 20

Book of Abstract 2nd ICIEBP | xiv

RISK MANAGEMENT OF PENSION FUNDS OF SHARIA FINANCIAL INSTITUTIONS

(EVIDENCE FROM A PENSION FUNDS OF MUAMALAT SHARIA FINANCIAL

INSTITUTIONS)

Septianingrum Dewi Purnamasari, Lina Nugraha Rani 21

CUSTOMERS LITERACY ON ISLAMIC HOUSE FINANCING PRODUCTS

Indah Bidari, A. Jajang W. Mahri, Rida Rosida 21

THE IMPACT OF MACROECONOMIC ON ISLAMIC STOCK PRICES: EVIDENCE

FROM INDONESIA

Imron Mawardi, Tika Widiastuti, Puji Sucia Sukmaningrum 22

RISK ANALYSIS OF DEFAULTED SUKUK 1Sulistya Rusgianto, 2Nursilah Ahmad, 3Zurina Kefeli, 4Silva Alif Rusmita 22

SYARIA BANKING CUSTOMER ADAPTATION

Tita Terista 23

CHAPTER 3: ISLAMIC BUSINESS AND ENTREPRENEURSHIP 24

SERVICE QUALITY IN ISLAMIC PERSPECTIVE WITH THE RELIGIOUS

KNOWLEDGE LEVEL AS MODERATOR VARIABLE

Ririn Tri Ratnasari, Putri Erika Rahmawati 24

THE IMPLEMENTATION OF ISLAMIC VALUES IN IMPROVING THE QUALITY OF

EMPLOYEE PERFORMANCE IN WORKPLACE

Marsudi, Rizki Febriani, Chalimatuz Sadiyah, Yeyen Pratika 24

THE ROLE OF GOLD DINAR AND SILVER DIRHAM USER ENTREPRENEURSHIP

COMMUNITY IN DINAR-DIRHAM REPLACEMENT EQUIPMENT AS A MEDIUM OF

EXCHANGE

Srie Nuning Mulatsih, Aisyah Ratnasari, Dadang Saepuloh 25

ENTREPRENEURSHIP EDUCATION GROWS SANTRIS ENTREPRENEURIAL SPIRIT

(EVIDENCE INDONESIAS ISLAMIC BOARDING SCHOOL) 1M. Haris Hidayatulloh, 2Tika Widiastuti, 3Sri Herianingrum, 4Taqiyah Dinda Insani 25

ISLAMIC BRANDING AND SOCIAL MEDIA: IMPLICATIONS ON STAY DECISIONS IN

SHARIA HOTEL

Debi D. Andini, Moch. Adib Sultan, Neni Sri Wulandari, Mira Nurfitriya 26

THE IMPLEMENTATION OF GOOD GOVERNANCE BUSINESS SHARIAH IN

INDONESIA SHARIAH BANKING

Ahmad Juanda, Fredy Dwi Herlyanto, Tri Wahyu Oktavendi 26

THE INFLUENCE OF PRODUCT KNOWLEDGE AND ATTITUDE TOWARDS

INTENTION IN MUDHARABAH FUNDING PRODUCTS IN SHARIA BANKS IN

MATARAM

Achsania Hendratmi, Baiq Vidia Khairunnisa, Luthfi Nur Rosyidi 27

THE INFLUENCE OF ISLAMIC BRAND PERSONALITY TOWARDS BANK

MUAMALAT SURABAYA BRAND LOYALTY

Achsania Hendratmi, Bayu Laksana D.M 27

Book of Abstract 2nd ICIEBP | xv

MICRO ENTREPRISE EMPOWERMENT MODEL THROUGH ISLAMIC FINANCIAL

SERVICE COOPERATION (STUDY IN INDONESIA-MALAYSIA) 1Sri Herianingrum, 2Muhammad Syukri Salleh, 3Ririn Tri Ratnasari 28

THE PRODUCTION BEHAVIOUR OF MUSLIM RESTAURANT TOWARDS THE RISE

OF THE BASIC COMMODITIES PRICES 1Rahmania Nur, 2Irham Zaki 28

THE INFLUENCE OF QUALITY OF ISLAMIC SERVICE AND INSTITUTION IMAGE

TO DONOR TRUST AT NATIONAL AMIL ZAKAT INSTITUTE (LAZNAS) 1Sri Herianingrum, 2Reza Reftrian, 3Achsania Hendratmi 29

ISLAMIC FAIRNESS CONCEPT IMPLEMENTATION IN BUSINESS PERSPECTIVE OF

AZ-ZAITUN I SURABAYA SHARIA MARKET TRADE

Dandi Setiabakti, R. Mohammad Qudsi Fauzi 29

CRS IMPLEMENTATION FROM WESTERN TO THE ISLAMIC PERSPECTIVE:

MAQASID AL-SHARIAH AND MASLAHAH

Siti Zubaidah, Mudrifah 30

RELATIONSHIP BETWEEN ENTREPRENEURIAL CHARACTERISTICS FROM

ISLAMIC PERSPECTIVE AND THE PERFORMANCE OF SMALL AND MEDIUM-

SIZED BUSINESSES (A STUDY OF SMES IN INDONESIA)

Dini Lisnawati, Eeng Ahman 30

INTEREST IN ISLAMICPRENEUR: FAMILY ENVIRONMENT FACTORS AND

RELIGIOSITY ANALYSIS THE RESEARCH OF ISLAMIC ECONOMICS STUDENTS AT

UNIVERSITY IN BANDUNG

Elmi Akmalianis, A. Jajang W. Mahri, Juliana, Dudi Septiadi 31

MARKETING MIX 7PS IN ISLAMIC PERSPECTIVE

Rizky Febriansyah 32

BUSINESS MODEL AND ISLAMIC BOARDING SCHOOL BUSINESS DEVELOPMENT

STRATEGY (CASE STUDY ISLAMIC BOARDING SCHOOL SIDO GIRI PASURUAN,

EAST JAVA)

Irham Zaki, Imron Mawardi, Tika Widiastuti, Achsania Hendratmi, Risanda A. Budiantoro 33

CHAPTER 4: ISLAMIC PHILANTROPHY 34

HOW NONPROFIT ORGANISATION DELIVERS ONLINE ACCOUNTABILITY

THROUGH SOCIAL MEDIA?

Seyla Rizky Amelia, Miranti Kartika Dewi 34

A PROFILE ANALYSIS OF POTENTIAL INVESTORS IN iREIT WAQF INVESTMENT

PRODUCTS Nor Azizan Che Embi, RoslilyRamlee, Salina Kassim 34

CREDIBLE METHODS FOR EVALUATING THE IMPACTS OF LAZ PROGRAMS

Muhamad Said Fathurrohman 35

REGULATIONS AND MANAGEMENT OF WAQF INSTITUTIONS IN INDONESIA AND

SINGAPORE: A COMPARATIVE STUDY 1Risa Sari Pertiwi, 2Muhammad Nafik Hadi Ryandono, 3Khofidlotur Rofiah, 4Anita 35

THE EFFICIENCY OF ZAKAT INSTITUTIONS IN INDONESIA IN 2012-2016

Suhail, Faqih Adam, A. Jajang W. Mahri 36

Book of Abstract 2nd ICIEBP | xvi

ZAKAT COMPLIANCE BEHAVIOUR: GOOD CORPORATE GOVERNANCE WITH

MUZAKKIS TRUST APPROACH (SURVEY ON MUZAKKI OF THE NATIONAL

BOARD OF ZAKAT (BAZNAS) IN GARUT)

Nafillan Arofata Tsalas, A. Jajang W.Mahri, Rida Rosida 36

IMPLEMENTATION OF ZAKAT VILLAGE INDEX (SURVEY IN BINANGUN VILLAGE,

PATARUMAN SUB DISTRICT, BANJAR CITY) 37

Fitriyani Nurul Hakim, A. Jajang W. Mahri, Aas Nurasyiah 37

THE EFFICIENCY MEASUREMENT OF NATIONAL BOARD OF ZAKAT IN WEST

JAVA

Aas Nurasyiah, Rida Rosida, Firmansyah 37

CHAPTER 5: ISLAMIC MICROFINANCE 38

DETERMINANTS FACTORS OF NON-PERFORMING FINANCING IN ISLAMIC

MICROFINANCE INSTITUTION

Hayu Maulida, Bayu Arie Fianto 38

SHARIA COMPLIANCE: CASE STUDY ON MURABAHAH PRODUCTS BMT ITQAN

Juliana Juliana, Feby Syahril Qudsi, Disman Disman 38

ECONOMIC EMPOWERMENT FOR POOR WOMEN USING GRAMEEN BANK

MODEL IN INDONESIA

Siti Inayatul Faizah, Uus Ahmad Husaeni 39

DOES SOCIO DEMOGRAPHIC VARIABLES MATTER IN EXPLAINING ISSUES AND

CHALLENGES IN ISLAMIC MICROFINANCE? EVIDENCE FROM MALAYSIA

Marhanum Che Mohd Salleh, Salina Kassim, Siti Nadhirah Kassim 39

CHAPTER 6: MANAGEMENT AND LEADERSHIP 40

CORPORATE SCIENCE AND FIRM VALUE: MODERATING ROLE OF BOARD

QUALITY

Gilang Puspita, Isnalita 40

DETERMINANT OF ETHICAL ORIENTATION IN COLLEGE STUDENTS (CASE

STUDY ON STAR STUDENTS OF FINANCIAL AND DEVELOPMENT SUPERVISORY

BOARD OF AIRLANGGA UNIVERSITY)

Feriska Oktaviana Putri, Erina Sudaryati 40

IMPULSE BUYING: THE EFFECT OF PRICE FAIRNESS, IN STORE PROMOTION,

MERCHANDISE AND TIME AVAILABILITY

H Haryanto, W Wiyono, Dwi Hastjarja KB 41

THE EFFECT OF TAX PLANNING, ASSET OF DEFERRED TAX, DFERRED TAX

EXPENSE ON PROFIT MANAGEMENT (CASE STUDY OF MANUFACTURING

COMPANIES LISTED ON THE STOCK EXCHANGE 2013-2017 PERIOD)

Srie Nuning Mulatsih, Nela Dharmayanti, Aisyah Ratnasari 41

AN ANALYSIS ON MANAGEMENT INFORMATION SYSTEMS OF LIBRARY AT SMK

MUHAMMADIYAH 2 MALANG

Sri Nastiti Andharini,Novi Puji Lestari,Novita Ratna Satiti,Kenny Roz 42

Book of Abstract 2nd ICIEBP | xvii

THE IMPACT OF ISLAMIC VALUES IMPLEMENTATION ON ORGANIZATIONAL

COMMITMENTS TO HUMAN RESOURCES MANAGEMENT PRACTICES AT

UNIVERSITY OF MUHAMMADIYAH MALANG

Nazaruddin Malik, Sri Budi Cantika Yuli, Sudarti 42

HOW ORGANIZATION ETHICAL VALUE AND ETHICAL LEADERSHIP INFLUENCE

ON RELIGIOUS COMMITMENT? A STUDY ON SHARIA BANKS IN INDONESIA

Titiek Ambarwati, Fika Fitriasari, R. Iqbal Robbie, Ardik Praharjo 43

CUSTOMER-BASED BRAND EQUITY IN DIGITAL AGE: A CONSEPTUAL APPROACH

Fahmi Dharmawan, Heni Hendrayati 43

DETERMINANTS OF CUSTOMER LOYALTY FOR MOSLEM FASHION: A STUDY

THE LARGEST MOSLEM POPULATION (INDONESIA)

Afifah Nur Millatina, Naily Rohmah, Irham Zaki 44

THE INFLUENCE OF HUMAN CAPITAL ON COMPANY PERFORMANCE WITH

CONSUMER CAPITAL AS AN INTERVENING VARIABLE

Amanda Rizca Aprillianti, Erina Sudaryati 44

THE INFLUENCE OF HUMAN RESOURCE QUALITY, ORGANIZATIONAL

COMMITMENT, AND SUPPORTING DEVICE TO THE IMPLEMENTATION OF

ACCRUAL BASIS WITH REGULATION OF HOME AFFAIRS MINISTER

(PERMENDAGRI) UNDERSTANDING NO. 64 YEAR 2013 AS AN INTERVENING

VARIABLE

Selly Ika Setyawuri, Erina Sudaryati 45

THE INFLUENCE OF VIRAL MARKETING AND PRICE DISCOUNTS THROUGH

SOCIAL MEDIA INSTAGRAM TO PURCHASE DECISION ON MARKETPLACE

SHOPEE

Teguh Maulana, Gugyh Susandy 46

THE MEDIATING EFFECTS OF JOB SATISFACTION ON EMPLOYEE LOYALTY: A

CASE STUDY OF A DEVELOPER COMPANY IN MALAYSIA

Zainuddin Zakaria, Mutiiah Mohamad, Md Noh Abd Majid, Nurul Ulfa Abdul Aziz, Kartini Mat

Rashid 47

RECOMMENDATION AND REPURCHASE INTENTION FOR HEALTH SERVICE

BASED ON MEDICAL TOURISM

Ririn Tri Ratnasari, Sedianingsih, Ari Prasetyo, Hendarjatno 48

HALAL FOOD CERTIFICATION TO IMPROVE THE COMPETITIVENESS OF SMALL

AND MEDIUM BUSINESSES IN EAST INDONESIA

Ririn Tri Ratnasari, Sri Gunawan, Sylva Alif Rusmita, Ari Prasetyo 49

CHAPTER 7: ACCOUNTING 50

CRITICAL STUDY OF THE PRINCIPLES OF SHARIA THAT APPLIED IN ISLAMIC

ACCOUNTING IN MUDARABA AND MUSYARAKAH

Arim Nasim, Elis Mediawati 50

AGGRESSIVE FINANCIAL REPORTING, INDEPENDENT BOARD OF

COMMISSIONER AND TAX AGGRESSIVENESS

Anis Chariri, Indira Januarti, Etna Nur Afri Yuyetta, Agustinus Santosa Adi Wibowo 50

Book of Abstract 2nd ICIEBP | xviii

THE EFFECT OF KNOWLEDGE, EXPERIENCE, AND PROFESSIONAL

ACCURATENESS IN DOING PROBITY AUDIT ON GOVERNMENT GOODS/SERVICE

PROCUREMENT FRAUD

Donny Hermawan, Hendarjatno 51

THE INFLUENCE OF USING ACCOUNTING INFORMATION AND INFORMATION

TECHNOLOGY TO THE SUCCES OF THE WORKING PERFORMANCE (A SURVEY

FOR SUPERIOR PRODUCT OF THE SMALL MEDIUM ENTREPRISES IN BANYUMAS

REGION)

Fathul Aminudin Aziz, Hastin Tri Utami 52

ACCOUNTING INFORMATION SYSTEM FOR CATTLE FEED CONTROL TO

ACHIEVE FEED CONSUMPTION EFFICIENCY

A.A. Gde Satia Utama, Rendra Prasetya 53

CHAPTER 8: ECONOMICS SCIENCE 54

THE IMPACT OF ROAD CONSTRUCTION PROGRAM: EVIDENCE FROM EAST

JAVA, INDONESIA 1Irim Tiara Puri, 2Rumayya 54

THE RELATIONSHIP BETWEEN CRIMES AND ECONOMIC GROWTH

Hendra Kusuma, Happy Febrina Hariyani, Wahyu Hidayat 54

GREEN BUSSINES STRATEGY ON SEAWEED ENTERPRISES IN TARAKAN CITY

COASTAL 1S R Pratiwi, 2R Wahyuni, 3Mulyadi, 4M A P Siregar 55

APPLICATION OF AUTOREGRESSIVE INTEGRATED MOVING AVERAGE FOR

IMPROVED URBAN WATER SERVICES IN SPECIAL REGION OF YOGYAKARTA 1Agustyarum Pradiska Budi, 2Mugi Raharjo, 3Evi Gravitiani 55

PREDICTION THE NUMBER OF FOREIGN TOURIST ARRIVAL IN INDONESIA

SHARIA TOURISM ENTRANCE USING SIMULTANEOUSLY FOURIER SERIES

ESTIMATOR 56

1M. Fariz Fadillah Mardianto, 2Lailatus Syarifah, 3Putri Andriani, and 4Eko Fajar Cahyono 56

REMITTANCES AND ECONOMIC GROWTH: CASE FOR ASIAN COUNTRIES

Rossanto Dwi handoyo, Ryan Bangkit Simanjuntak 56

REFLECTION OF INDONESIAS ECONOMIC DEVELOPMENT THROUGH THE IBNU

KHALDUN SOCIAL ECONOMIC DYNAMICS APPROACH

Muhammad Sri Wahyudi Suliswanto, Setyo Wahyu Sulistyono,Zainal Arifin, Mohammad Faisal

Abdullah 57

ECONOMETRY MODEL OF THE IMPACT OF MACROPRUDENTIAL POLICY ON

POVERTY IN INDONESIA

Aris Soelistyo, Agung Prasetyo NW 57

ANALYSIS OF EFFECT OF FOREIGN DIRECT INVESTMENT, DEBT TO THE IMF

AND STOCK VALUES AGAINST ECONOMIC GROWTH IN DEVELOPING

COUNTRIES MEMBERS OF THE ORGANIZATION OF ISLAMIC COOPERATION

(OIC)

Dwi Susilowati, Muhammad Khoirul Fuddin, Risky Angga Pramuja, Firdha Aksari Anindyntha,

Novi Primitasari 58

Book of Abstract 2nd ICIEBP | xix

PRIVATIZATION IN DEVELOPING COUNTRIES: A PROMISING DEVELOPMENT

STRATEGY?

Ilmiawan Auwalin 58

FINANCIAL DEEPENING AND ECONOMIC GROWTH IN INDONESIA

Wasiaturrahma, Ramses Muhammad Rizal, Shochrul Rohmatul Ajija 59

LABOUR SUPPLY AND SKILLS SHORTAGES IN AUSTRALIA

Ilmiawan Auwalina, Alick Nyasulub, Siwaporn Kittayaapinantc 59

THE DETERMINANTS THAT INFLUENCE HOUSEHOLD DEBT CASE IN MALAYSIA

Nur Azwani Mohamad Azmin, Wan Nabihah Wan Zaidi and Zuraida Mohamad 60

ANALYSIS STRATEGY AND TARGETING TO SALES KURNIA WATCH

Muhammad Ridwan, Heny Hendrayati 60

DOES MICROCREDIT BRING THE WOMEN INTO ECONOMIC WORLD: EVIDENCE

FROM BANGLADESH

Mohammad Abdul Matin Chowdhury, Marhanum Che Mohd Salleh, Sylva Alif Rusmita, Puji Sucia

Sukmaningrum 61

THE ANALYSIS OF MANUFACTURING SECTOR IN INDONESIA

Muryani, Leny Chiputyani 61

ANTESEDENTS AND CONSEQUENCES OF HEALTH PERFORMANCE BASED ON

PATIENT INTIMACY

Ririn Tri Ratnasari, Sri Gunawan, Muslich Anshori, Sri Herianingrum 62

IMPROVING ACCESS TO DRINKING WATER IN DEVELOPING COUNTRIES: CASE

STUDY OF 10 COUNTRIES IN SOUTH-EAST ASIA

Agustyarum Pradiska Budi, Mugi Raharjo, Evi Gravitiani 62

MEASURING EFFICIENCY IN SECONDARY SCHOOL: COMPARATIVE STUDY

BETWEEN NEW AUTONOMOUS REGION AND MOTHER REGION IN BANTEN

PROVINCE

Fitri Amalia 63

ANALYSIS OF ECONOMIC GROWTH, BI INTEREST RATES, AND INFLATION AND

THE IMPACT ON FOREIGN DIRECT INVESTMENT (FDI) IN INDONESIA IN 2010 –

2017

Dadang Saepuloh, Srie Nuning Mulatsih, Sutarjo, Masruri 64

DOES DIVERSIFICATION AND EXECUTIVE COMPENSATION AFFECT CORPORATE

VALUES IN FAMILY FIRM: CASE OF INDONESIA

Habiburrochman, Wahyu Inayatul Fadilah, Siti Zulaikha, Noven Suprayogi 64

ACADEMIC PERFORMANCE OF UNIVERSITY STUDENTS: A CASE IN A HIGHER

LEARNING INSTITUTION

Wan Maziah Wan Ab Razak, Sharifah Alia Syed Baharom, Zalinawati Abdullah, Haslenna

Hamdan, Nurul Ulfa Abd Aziz, Ahmad Ismail Mohd Anuar 65

CHAPTER 9: OTHER RELEVANT TOPICS 66

LEGAL PROTECTION OF LENDERS IN THE IMPLEMENTATION OF FINANCIAL

TECHNOLOGY BASED ON PEER TO PEER LENDING 1Anita, 2Siti Zulaikha, 3Khofidlotur Rofiah, 4Risa Sari Pertiwi 66

Book of Abstract 2nd ICIEBP | xx

FACTORS TOWARDS VOLUNTARY TURNOVER AMONG EMPLOYEES IN

MALAYSIA BANKING INSTITUTION

Nurul Ulfa Abdul Aziz, Zalinawati Abdullah, Wan Maziah Wan Ab Razak, Zainuddin Zakaria,

Haszri Faridzuan Bin Zafril, Marha Abdol Ghapar 67

WEB MARKETING METHOD FOR MICRO SMALL MEDIUM ENTERPRISES IN

TARAKAN CITY 1D Harto, 2S R Pratiwi, 3M N Utomo, 4M Rahmawati 67

Book of Abstract 2nd ICIEBP | 1

CHAPTER 1: ISLAMIC ECONOMICS

MAQASID INDEX AS AN INSTRUMENT FOR EVALUATING CORPORATE SOCIAL

PERFORMANCE: EVIDENCE FROM INDONESIA MARKET

Ulfah Nurul Fauziah

National Yunlin University of Science and Technology

Abstract

This study aims to develop a new approach to evaluate social performance by adding several variables,

that an aspect of the achievement of sharia objectives (Maqasid Shariah) and to know how well company

social performance using the developed approach. Social performance in a concept of Islam has a

difference when compared with social performance in general because it adding important Islamic

principal, where the company not only think about maximizing their profitability but also assumes their

role as servants and khalifah of Allah. Based on this difference of meaning, it is important to have a new

assessment or evaluation of the performance of Islamic institutions because the Islamic Institutions must

have an evaluation in general to realize the aspirations of Islamic moral economy. The finding of this

study is the new index to evaluate the company social performance based on Maqasid Shariah value and

based on the measurement using Maqasid Shariah index, company social performance in this study

below average value. In this research PT. Timah occupies the best social performance of all companies

studied followed by PT. Jasa Marga in the lowest.

Keywords: Maqashid al-Syari’ah, Islamic Moral Economy, Social Performance

GAME THEORY APPLICATION ON FUNDING STRATEGY PT. BANK SYARIAH

MANDIRI AND PT. BANK BNI SYARIAH FACING THE COMPETITION OF ISLAMIC

BANKING INDUSTRY IN INDONESIA

Tegar Wijanarko, Eko Fajar Cahyono

Islamic Economic Department, Faculty Economics and Bussiness, Airlangga University

Abstract

This study aims to show the application of game theory on the funding strategy of PT. Bank Syariah

Mandiri and PT. Bank BNI Syariah. The approach used is descriptive quantitative by using payoff

matrix analysis technique in game theory between PT. Bank Syariah Mandiri and PT. Bank BNI Syariah

as research subject and funding strategy as object of research Results show Nash Ekuilibrium and

Prisoners Dilemma were not found in this game. Dominant strategy that get the highest payoff from

each bank is a strategy to increase the promotion and marketing of hajj cheap fund for PT. Bank Syariah

Mandiri and mass-funding strategy in partnership with BNI for PT. Bank BNI Syariah.

Keywords: Game Theory, Strategy, Funding, Islamic Banks


MONETARY POLICY AND INFLATION IN INDONESIA: THE ROLE OF DUAL BANKING

SYSTEM

Raditya Sukmana, Adnan Fauzi Wicaksana

Airlangga University

Abstract

This study aims to examine the effect of monetary policy to the inflation rate in Indonesia from January

2011 to December 2015 via conventional and sharia systems. Vector Error Correction Model (VECM)

is adopted for that purpose. The result shows that in the long run, conventional monetary policy

transmission has an effect on inflation rate in Indonesia. Interbank money market variable has negative

and significant influence on the inflation rate. While the loan to deposit ratio variable does not. On the

Islamic side, the results show that in the long run, Islamic monetary policy transmission has a negative

effect on inflation in Indonesia and Islamic money market has significant positive effect.

Keywords: Transmission of sharia and conventional monetary policy, inflation, VECM, vector error

correction model

THE ROLE OF GOVERNMENT IN THE ZAKAT MANAGEMENT: THE

IMPLEMENTATION OF A CENTRALIZED AND DECENTRALIZED APPROACH

(COMPARATIVE STUDY IN INDONESIA AND MALAYSIA)

Faridatun Najiyah, Nur Rizqi Febriandika

Department of Islamic Economic Science, Postgraduate School Airlangga University

Abstract

Zakat is the principle basis for upholding the social structure of Islam. Zakat is not ordinary charity, it

is obligatory almsgiving. With the implementation of zakat institutions properly and correctly, it is

expected that the difficulties and suffering of the poor can be reduced. The role of the government as a

regulator in managing zakat in a country is very important for macroeconomic policy. Both centralized

and decentralized approaches have actually been applied by Islam in the past. Nevertheless, each country

has different policies in its implementation, including Indonesia and Malaysia.This study aims to

compare how the systems used in the management of zakat in Indonesia and Malaysia. This research

uses descriptivecomparative method with a qualitative approach. This study uses library research

methods; its resources are taken from secondary sources in the form of books, journals and paper related

to Zakat Management.The results of study indicatethe difference between Indonesia and Malaysia is

related to the obligation to pay zakat for people who have entered the category of zakat. Malaysia has

regulations about criminal sanctions or fines. Unlike in Indonesia, there are not criminal sanctions or

fines. Existing laws only regulate sanctions for people who misuse money from the collection of zakat.in

Indonesia, Each region follows a centralized rule, is not allowed to make its own rules. Following the

political structure in Malaysia, zakat is managed by each country. Each country has full rights and

obligations in managing zakat.

Keywords: Zakat, Management, Centralized, Decentralized, Indonesia, Malaysia


EFFECTIVENESS OF CONVENTIONAL AND SHARIA MONETARY POLICIES TO

CONTROLLING INFLATION IN INDONESIA PERIOD 2012-2018

Salma Nur Hasna, Kusnendi, Neni Sri Wulandari

Universitas Pendidikan Indonesia

Abstract

This study aims to know the extent influence and effectiveness of conventional monetary policy that

reflected by the interest rates of Bank Indonesia Certificates (SBI), total conventional bank loans

(LOAN) and the average yield on Government Securities (SUN) and sharia monetary policy that

reflected by the level of return on Bank Indonesia Sharia Certificates (SBIS), total bank financing sharia

(FINC) and the average yield of State Sharia Securities (SBSN) to controlling inflation Indonesia in

2012-2018. The analysis method used in this study is Vector Error Correction Model (VECM). The

VECM results show that in the short term only SBSN has a significant effect on inflation, but its

influence is positive (increasing inflation). In addition in the long term, SBI has a significant negative

effect while FINC, SUN and SBSN have a significant positive effect. The effectiveness which is

measured by Impulse Response Function (IRF) and Forecast Error Variance Decomposition (FEVD)

shows that conventional monetary policy is faster in stabilizing inflation but the size is small, while

sharia monetary policy is slower in stabilizing inflation but the size is bigger.

Keywords: Inflation, Dual Monetary Policy, Interest Rate Channel, Loans Channel, Asset Price

Channel

EFFECT OF RELIGIOSITY ON THE SAKINAH FINANCE IMPLEMENTATION AND ITS

IMPACT ON FAMILY WELFARE

Mugy Ansyori Fauzyan, Suryana, Aas Nurasyiah


Abstract

Financial problems are common to families. Mismanagement of the economy is often a source of

contention between husband and wife and becomes a problem of household rifts. Good Sakinah finance

is expected to neutralize the economic pressures faced by the family so as not to interfere with the

interaction process that results in family welfare. This study aims to analyze the effect of religiosity on

the implementation of sakinah finance and its impact on family welfare. This study uses a correlational

design with 60 Muslim women studying the Daarut Tauhid Mosque in Bandung. Sampling is done by

using a non-probability random sampling method for young and senior Muslim age groups, at Muslim

women studying the Daarut Tauhid Mosque in Bandung. Based on simple linear regression, it is known

that religiosity affects the implementation of sakinah finance. And other results indicate the

implementation of sakinah finance affects family welfare.

Keywords: Sakinah Finance, Religiosity, Family Welfare, Muslima Recitation


THE IMPACT OF ECONOMIC GROWTH AND DISTRIBUTION OF ZAKAT FUNDS ON

POVERTY (SURVEY IN THE THIRD DISTRICTS OF WEST JAVA PROVINCE PERIOD

(2011-2016)

Fitri Nurjanah, Kusnendi, Juliana


Abstract

Indonesia is a developing country that measures its development success in terms of its economic

growth. West Java Province is one of the provinces that is the center of development because it has a

large population and has good economic growth and increases every year seen from the GDP at constant

prices. In addition, there are many strategic economic sectors located in West Java Province, so that the

potential and collection of zakat funds is the highest compared to other provinces. This is expected to

alleviate poverty problems in West Java Province, especially in Region III of West Java Province. This

study uses secondary data from 2011-2016. The analysis technique used is panel data regression. Based

on the results of the analysis found that economic growth and the distribution of zakat funds

simultaneously have a significant effect on the number of poor people. Partial economic growth has a

negative and significant effect on the number of poor people, while the partial distribution of zakat does

not have a negative and insignificant effect on the number of poor people. Variables that have the most

dominant influence on the number of poor people are economic growth variables.

Keywords: Economic Development, Poverty, Economic Growth, Distribution, Zakat Distribution

Funds

ISLAMIC MONETARY MANAGEMENT: A CRITICAL OVERVIEW

R. Moh Qudsi Fauzi Meri Indri Hapsari

Faculty of Economic and Business, UNAIR

Abstract

The paper aims to provide critical overview of Islamic monetary management. This is literature study

based on secondary data taken from some books, articles, and journal discussed related to modern

monetary economic and Islamic monetary economic. The references were produced by some authors

who are concern in the area of monetary system and monetary policy. The rest of this paper is structured

as follow: Section 1 gives an overview of background and monetary policy frameworks where Islamic

banks operate; Section 2 explores the monetary management in modern economy; Section 3 gives

information about the objective of monetary management; section 4 discusses the monetary policy

operational framework for Islamic banks; and Section 5 explains Islamic monetary instrument;

meanwhile Section 6 gives a critical overview; and Section 7 is conclusion.

Keywords: Monetary management, Islamic Monetary Management


EXTERNALITIES IN WATER SANTRI SIDOGIRI NATURAL RESOURCES

PERSPECTIVE ISLAMIC ECONOMY 1Nikmatul Fuadah, 2R. Mohammad Qudsi Fauzi

1Magister of Sekolah Pascasarjana, Airlangga University 2Department of Islamic Economics, Faculty of Economics and Business, University of Airlangga

Abstract

The purpose of this research is to know Pupils externalities on drinking water company, Sidogiri

roomates-reviewed by Islamic economic resources. Externalities are Analyzed include positive

externalities and negative externalities. Then, researcher will conduct a discussion with Islamic

perspective to find out the way of externalities could happen on research object. This study uses

qualitative methods with descriptive case studies strategy. The object of this research is the factory of

bottled drinking water Rasta, Sidogiri. This research uses interviews to six informants consisting of

leadership of the PT. Sidogiri Mandiri Utama, play production manager of PT. Sidogiri Mandiri Utama,

and the surrounding people as a tool for getting information. After done interviews, research results will

be Analyzed by triangulation to get a conclusion. The roomates results of this research conducted by

observation and interviews to six informants is finding of positive externalitiess domination on the

economic and social fields while maintaining the balance of nature in comparison with negative

externalities.

Keywords: Externalities, Externalities Positive, Negative Externalities, and Islamic Economic

Resources

HOW ZAKAT CAN AFFECT INFLATION IN INDONESIA THROUGH MODIFIED

KEYNESIAN CONSUMPTION

Anim Kafabih and Angga Erlando

Brawijaya University, Airlangga University

Abstract

As bank of Indonesia with its inflation targeting failed, mainy, to maintain inflation in the

range that has been decided and also Indonesia never gain near zero inflation yet as a form of price

stability based on some economists, the main objective of this paper is to investigate on how to control

level of inflation through modified keynesian consumption model that mainly incorporates zakat and

israf. The data that are gathered from 2002-2016 (15 observation years) because of the very lack of data,

however, these data shows BLUE and no spurious regression. Venn diagram is utilised to compute

important variables in the model, simple regresion and some diagnostic test are conducted to study the

coefficient econometrically, and unit root test is conducted to see whether any spurious regression or

not. the result shows that zakat will make MPC of muzakki lower than mustahik, as muzakki pays higher

zakat to mustahik, this condition will not be followed by increasing level of inflation. However, the

study also shows that existing israf (extravagant in consumption) will gradually reduce the ability of

zakat to stabilise inflation.

Keywords: Consumption, Keynesian, Zakat, Muzakki, Mustahik, Israf, Inflation


THE INFLUENCE OF POVERTY REDUCTION FUNDS BY THE GOVERNMENT, ZAKAT

FUNDS, INFAQ FUNDS AND MACROECONOMIC VARIABLES ON THE LEVEL OF

POOR POPULATION IN INDONESIA

Eko Fajar Cahyono, Siti Maghfirotul Ulya

Islamic Economics Department, Faculty of Economics and Business, Airlangga University

Mathematics Department, Faculty of Science and Technology, Airlangga University

Abstract

This study aims to investigate the influence of several important factors as determinants of the number

of poor people, among others, the first factor of poverty reduction funds provided by the Government

of Indonesia, this mitigation fund is an aggregate of food subsidy funds, non-food subsidies, social

security, education, and health budgets. Then the second factor is the zakat and infaq funds distributed

by government-owned zakat management institutions and some private zakat institutions with national

qualifications. The third factor is macroeconomic variables such as inflation, unemployment, and

economic growth, and these three variables are also considered to affect poverty. The research approach

uses quantitative methods and analytical methods using time series data regression. Data obtained from

government documents such as the Indonesian Central Statistics Agency, Bank Indonesia as the central

bank and the Ministry of Finance of the Republic of Indonesia. The Research Time Period was 2008 to

2018. The results showed that there was influence both silmultanly and partially between funds for

poverty reduction, funds for zakat and infaq funds and macroeconomic variables on the number of poor

people in Indonesia.

Keywords: Poverty Reduction Funds, Zakat Funds, Infaq Funds, Macroeconomics, Poor People


INFLUENCE OF MICRO ECONOMIC AND MACRO ECONOMIC ON YIELD TO

MATURITY OF IJARAH SUKUK CORPORATION YEAR 2014-2017

Hana Khaiririah Ulfah, Kusnendi, Suci Aprilliani

Department of Islamic Economics and Finance, Universitas Pendidikan Indonesia

Abstract

The purpose of this research is to examine the influence of micro economic factor which is described

with profitability and firm size, and macro economic factor which is described with BI -Rate and

Inflation on the yield to maturity of sukuk ijarah. The yield to maturity of sukuk that will be received by

investors illustrates the level of investor profit but the yield level also describes the level of risk borne

by investors. This research is useful for investors in considering for profit and risk to be received. This

research was conducted on all companies listed on the Indonesia Stock Exchange in the 2014-2017

period which issued sukuk ijarah and published its financial statements during the study period. The

research samples is 68 ijarah sukuk. The data analysis technique used in this study is panel data

regression with fixed effect model. The results showed that profitability projected with Return on Asset

and firm size did not affect to yield to maturity of sukuk ijarah, BI-Rate variable had a positive and

significant effect on yield to maturity of sukuk

Keywords: Profitability (ROA), Firm size, BI-Rate, Inflation and Yield to Maturity and inflation had a

negative effect on yield of ijarah sukuk.


CHAPTER 2: ISLAMIC FINANCE AND BANKING

BANK RISKS, SHOCK EVENT AND PROFITABILITY IN ISLAMIC BANKS: ADOPTION

OF PANEL DATA APPROACH

Zuriyati Ahmad, Noorazlina Ahmad, Nurul Syuhada Baharuddin

Faculty of Business and Management Universiti Teknologi MARA,

Cawangan Terengganu Malaysia

Abstract

In the current business environment banks are exposed to many risks while having its operation. These

risks are stated to be directly linked to what banks do and why bank fails. This includes the Islamic

banks which the bank risks can affect from many angles. Thus, this study tries to examine the impact of

bank risks together with the financial crisis to the variation of profitability in Islamic banks. Using 16

Islamic banks spanning from 2009 to 2016 in Malaysia this study has employed panel data analysis to

test for the hypotheses. Results illustrated that there are substantial influence of both credit risks and

liquidity risks credit risks on profitability in Islamic banks. Both shows the higher risks will lead to the

lower profit of the Islamic bank. While, financial crisis as claimed by many researchers is found to be

following the expected magnitude but has insignificant influences on the changes of Islamic bank

profitability. This result gives a clear indication to Islamic banks that undertaking risks will let to the

losses in the profitability of the banks but not affected by the financial crisis.

Keywords: Liquidity Risks, Credit Risk, Profitability, Islamic Banks, Financial Crisis

COMPARATIVE STUDY OF RETURN, RISK, AND RATING BETWEEN IJARAH AND

SUKUK MUDHARABAH OF PUBLIC COMPANIES

IN STOCK EXCHANGE WITHIN 2017

Sagung Anegsa Sakti, Dedi Wibowo

Universitas Indonesia

Abstract

The main purpose of this paper is to measure and compare the valuation variables of ijarah sukuk and

mudharabah sukuk. Using samples from 42 outstanding sukuk in Indonesia Stock Exchange secondary

market of fixed income instrument within 2017. Samples are divided into 2 groups, 32 sukuk ijarah and

10 sukuk mudharabah. Researcher use Liliefors / Kolmogorov-Smirnov to measure whether datas are

distributed normally or not. Then Paired Sample T-test and Wicoxon Signed Ranks Test is used to

measure the difference between two means. Conclusion is made from hipothesis, which is whether any

differences in rate of return, risk rate, and transaction volume between ijarah sukuk and mudharabah

sukuk. Conclusion from this research is that rate of return and credit rating of ijarah sukuk is higher than

mudharabah sukuk, thus risk rate of ijarah sukuk is lower than mudharabah sukuk.

Keywords: Sukuk, Ijarah, Mudharabah, Return, Risk, Rating


THE IMPLEMENTATION OF ISLAMIC FINANCIAL LITERACY THROUGH KENCLENG

PROGRAM IN SCHOOL

Iis Aisyah, Dadang Saepuloh

Universitas Islam Syekh-Yusuf

Abstract

Islamic finance literacy consists of 3 aspects, namely basic money management, financial planning,

charity donation and zakat. One aspect of financial literacy is charity donation consisting of waqaf and

sadaqah (alms). Islamic finance literacy is important to be understood and applied early so that students

understand about the management of Islamic finance and has the characteristics of Muslims. Application

of Islamic financial literacy in schools can be applied one of them through the activity called kencleng.

The purpose of this study is to describe the implementation of Islamic financial literacy, especially about

alms through the program kencleng in schools, as well as one application of character education for

students. This kencleng program is done in SMK Lab School Tangerang. The method used is descriptive

method. The results of this study indicate that most students have the level of understanding of Islamic

financial literacy in the medium category that is equal to 81 percent. Behavior of charity kencleng as

my students is 63 percent or in fairly good category. It means the student who has good Islamic financial

literacy has good enough behavior of alms kencleng also in. Thus, this kencleng program becomes an

alternative to the application of Islamic financial literacy.

Keywords: Islamic Financial Literacy, Alms (kencleng)

FACTORS INFLUENCING CORPORATE ZAKAT EXPENDITURE (CASE STUDY OF

ISLAMIC BANKS IN INDONESIA PERIOD 2015-2017)

Rizky Utari, Hilda Monoarfa, Sri Yayu Ninglasari


Abstract

This study aims to see an overview of the rate of Return on Assets (ROA), Return on Equity (ROE) and

Firm Size and its influence on corporate zakat in Islamic Banks in Indonesia period 2015-2017. The

method used in this research is causality method with quantitative approach. The population of this study

is Islamic Banks registered in Bank Indonesia (BI) with a total sample of five Islamic Banks during

three year period. The data was analyzed using panel data regression. The dependent variable used in

this study is the corporate zakat expenditure. Furthermore, the independent variables are Return on

Assets (ROA), Return on Equity (ROE) and Firm Size. The results indicated that corporate zakat

expenditure on Islamic Banks has increased every year, while ROA and ROE has fluctuating growth.

ROA tends to icrease, but ROE tends to decrease. Based on the t-test results show that ROA does not

have effect on the corporate zakat expenditure while ROE and Firm Size have a positive and significant

effect on corporate zakat expenditure. Thus it can be concluded that when ROA increases, it does not

affect the corporate zakat and when ROE and firm size increases, it will increase the corporate zakat on

Islamic Banks.

Keywords: Corporate Zakat, ROA, ROE, Firm Size.


RISK MANAGEMENT OF NON BANK HOME OWNERSHIP FINANCING

Alfinia Firrizqi, Fatin Fadhilah Hasib, Luluk Afiqh


Abstract

The Ministry of Public Works and Housing through General Directorate of Housing Financing (2016)

estimated that housing demand by 2025 will reach more than 30 million units, so that this demand of

new housing estimated will reach 1,2 million unit per year. This condition shows that the demand of

houses is an important need for society. On the other hand, the amount of moslem in Indonesia per 2010,

according to BPS, has reached 85%. Both of these conditions show that there is a demand of houses by

applying Islamic values which one of them is by using istishna financing scheme. But, the

implementation of Islamic housing in Indonesia does not have standardized system yet in general, so

that it causes some risks that need to find out. Therefore, this research is meant to find out the risk

management of non-bank-house ownership financing by Sabrina Azzura.

Keywords: Risk Management, Syariah Housing, Sabrina Azzura, Istishna Financing

EFFICIENCY DETERMINANTS OF ISLAMIC INSURANCE IN INDONESIA 1Rachma Indrarini, 2Clarashinta Canggih, 3Sylva Alif Rusmita

1,2Program Studi Ekonomi Islam Economic Faculty Universitas Negeri Surabaya 3Department of Islamic Economic Airlangga University Surabaya

Abstract

This paper aims to divulge Islamic insurance companies efficiency and factors affect it. This paper uses

quantitative approach using DEA (Data Envelopment Analysis) to assess efficiency and Linear

Regression to analyze factors affected it. Input variables of this paper are total asset, expenses, and claim

payment, whereas output variables are income and tabarru fund within period of 2012-2016. Object of

this paper are Asuransi Syariah Al Amin, Takaful, and Asuransi Syariah Amanah Gita. The result

showed that in 2012 Asuransi Syariah Al Amin, Takaful, and Asuransi Syariah Amanah Gita reached

100% efficiency. In 2013, 2014, 2015 both Asuransi Syariah Al Amin, and Takaful reached above 50%

efficiency, while Asuransi Syariah Amanah Gita reached under 50%. Meanwhile in 2016 both Asuransi

Syariah Al Amin, and Takaful reached 100% efficiency, while Asuransi Syariah Amanah Gita reached

above 50%. Furthermore, it showed that only ROE and LNTA significantly affect efficiency.

Keywords: Islamic Insurance, Efficiency, ROE, LNTA, TER


PREVENTION OF FRAUD IN SHARIA BANKING IN INDONESIA THROUGH

IMPLEMENTATION OF SHARIA CORPORATE GOVERNANCE

Mella Apriliani Astuti


Abstract

This research is motivated by the existence of fraud phenomenon that still occurs in sharia banking

environment which in fact is based on Islamic principles in every activity. Based on data from ACFE

(Association of Certified Fraud Examiners) in 2016 shows that banks and financial institutions are the

highest entities in the case of fraud. Sharia principles that are run by Islamic banks do not necessarily

make Islamic banks to avoid fraud cases. Cases of fraud that many overwrite Islamic banks may be due

to weak implementation of sharia corporate governance. The data in this research is obtained from Good

Corporate Governance of syariah banking (BUS-UUS) period 2012-2016 using a quantitative approach.

The result of research shows that the implementation of sharia corporate governance in syariah banking

is categorized into three parts that are very good, good and good enough but from the implementation

of sharia corporate governance is still not able to prevent fraud in sharia banking. This study has

important implications, namely sharia banking must be balanced with the ability of good human

resources because Islamic banks is a banking business that combines the principles of banking and

Islamic principles. In addition, organizational culture and tone at the top can also be a lock to prevent

fraud.

Keywords: Sharia Corporate Governance, Fraud

THE EFFECT OF LIQUIDITY, PROFITABILITY AND COMPANY SIZE OF THE VALUE

OF THE COMPANY WITH LEVERAGE MEDIATION

Idah Zuhro

Faculty of Economics and Business, University of Muhammadiyah Malang

Abstract

This study aims to obtain empirical evidence of the influence of leverage in mediation company size,

profitability and liquidity of the companys value. The research object is the property and real estate

companies that go public in Indonesia Stock Exchange 2012-2016 period. By purposive sampling

method and selected 31 companies. Path analyzes data analysis using software that utilizes the Linear

Structural Relationship (LISREL) version 8.8. The results showed only variables that directly affect

profitability positively significantly to the value of the company. Instead liquidity and size direct

negative effect on the value of the company, but not significant. The test results proved that leverage is

a variable that mediates the effect of liquidity.

Keywords: Liquidity, Leverage, Company Size, Profitability, Corporate Value


CUSTOMER PREFERENCES IN SELECTING THE PAWN TRANSACTION IN

PEGADAIAN SYARIAH PADASUKA

Rindani Dwihapsari, Suryana, Juliana


Abstract

Pawn is believed to provide many benefits for people in need of quick funds, however the growing

phenomenon is that the image of sharia pawnshops is not quite good because the society considers that

sharia pawnshops is identical with the poor society, thus affecting the public preferences in choosing

the pawn transaction in sharia pawnshops. This study aims to examine the influence of the price factor,

location factor, and sharia factor towards customer preferences in selecting a pawn transactions in sharia

pawnshops. The population in this study are customers of the Branch Office of Sharia pawnshops at

Padasuka with its sample is eight five respondents. The technique used in this study is purposive

sampling. This study also used survey method with explanatory approach. The method is quantitative

with causality design. The data analysis used is multiple linear regression analysis using SPSS. The

results of this study with a confidence level of ninety percens, is that simultaneously price factor,

location factor, and sharia factor are positive and have significantly impact on customer preferences by

contributing fourty one percens presentation. Partially, factor price and location are factors that

positively and significantly influence to customer preferences, while the dominant influence is the price.

Meanwile, the sharia factor does not affect the customers preferences due to the reasons that customers

do pawn transaction is to fulfill their urgent needs, so that the principles of sharia not be a matter that

should be considered.

Keywords: Price, Location, Sharia, Customer Preference

ANALYSIS OF CORPORATE SOSIAL RESPONSIBILITY, CORPORATE PERFORMACE,

AND FIRM VALUE: JAKARTA ISLAMIC INDEX LISTED COMPANY 1M Bastomi Fahri Zusak, 2Sunan Fanani, 3Dwi Swasana Ramadhan

1Post Graduated Student, Universitas Airlangga, Surabaya, Indonesia 2Syariah Economic and Business Departement Universitas Airlangga, Surabaya, Indonesia

3Universitas Diponegoro

Abstract

This study aims to explain the relationship of influence between Corporate Social Responsibility (CSR),

corporate performance, and firm value in the listed companies in the Jakarta Islamic Index (JII). CSR is

a business ethic that must be carried out by companies related to social responsibility. The sample of

this research is the companies listed on the JII from 2015 to 2017. In this study has found the influence

arising from CSR disclosure and corporate performance on the value of firms obtained by stakeholders

of companies listed in the Jakarta Islamic Index, as well as both simultaneously have an influence on

company value.

Keywords: CSR, Corporate Performance, Firm Value, JII


FACTORS THAT INFLUENCE SURPLUS UNDERWRITING OF TABARRU FUNDS IN

GENERAL ISLAMIC INSURANCE COMPANIES

Mohammad Firdaus Ramdhani P, Puji Sucia Sukmaningrum


Abstract

This study aims to determine the effect of participants contributions, claims, net investment income, and

retakaful to surplus underwriting in general insurance of sharia in Indonesia. Selection of sample using

purposive sampling method which amounted to eight sharia companies. The data used are monthly in

the five years observation period, 2012 until 2016. The approach used is a quantitative approach with

panel data regression analysis and using Eviews 9 software. The results showed that the contribution

variable of participants and net investment income had positive and significant effect on the surplus

underwriting variable, while the claim variable had a significant negative effect on the surplus

underwriting. Meanwhile, the retakaful variable has no significant effect on surplus underwriting.

Keywords: Participants Contributions, Claims, Net Investment Income, Retakaful, and Surplus

Underwriting

FACTORS AFFECTING STOCK BETA COMPANIES LISTED IN JAKARTA ISLAMIC

INDEX 2012-2016 PERIOD

Jamilatul Munawarah, Puji Sucia Sukmaningrum, Muhammad Madya

Faculty of Economics and Business, Universitas Airlangga

Abstract

This study aims to analyze the effect of earning per share, debt to equity ratio, growth, return on asset

and firm size to stock beta in Jakarta Islamic Index in partially and simultaneously. This research uses

quantitative approach with linier multiple regression analysis technique. The statistical analysis tools

being used is SPSS 23 software. The population in this study are manufacturing companies listed on the

Jakarta Islamic Index (JII). The number of samples that meet specified criteria are seven companies

listed in Jakarta Islamic Index. The observation period of this study from 2012-2016. The result showed

that independent variables are earning per share, debt to equity ratio, growth, return on asset and firm

size simultaneously and significantly affect the stock beta in Jakarta Islamic Index. While partially, the

earning per share, debt to equity ratio and firm size have positive and significant impact, return on asset

has negative and significant impact and growth variables has no significant impact on stock beta in

Jakarta Islamic Index 2012-2016 period.

Keywords: Stock Beta, Earning per Share, Debt to Equity Ratio, Growth, Return on Asset, Firm Size


GREEK CRISIS, CO-INTEGRATION, AND CONTAGION EFFECT OF SHARIA STOCK

MARKETS IN INDONESIA MALAYSIA AND SINGAPORE: IS THERE A PROBLEM FOR

INVESTORS?

Jaja Suteja, Elvira Zeyn

Universitas Pasundan, Department of Management, Indonesia

Abstract

The purpose of this study is to obtain empirical evidence of whether or not there is a co-integration of

the Islamic stock market in Indonesia, Malaysia and Singapore, both before and during the crisis of

Greek. This study also wants to find out which country is the most influential on the volatility of Islamic

stock prices in the Jakarta Islamic Index (JII). In this study secondary data applied during the observation

period is using weekly closing stock price data from 2007 to 2013. Furthermore, the data is divided into

two categories of observation: pre-crisis data and crisis period data. The pre-crisis period began in May

2007 to April 2010, and the crisis period began in May 2010 to January 2013. The analytical method

used was Vector Error Correction Model (VECM) with innovation accounting in the form of Impulse

Response Function (IRF) and Forecasting Error Variance Decomposition (FEVD). The result shows

that there is no co-integration in the capital market in the research sample. However, the results of the

study prove that there is a contagion effect on sharia stock price movements in these three countries.

This study also shows that Singapores sharia stock market dominates its influence on JII compared to

Malaysia.

Keywords: co-integration, contagion effect, Greek crisis, Jakarta Islamic Index, Dow Jones Islamic

Market Malaysia

ANALYSIS OF BANKRUPTCY POTENTIAL IN ISLAMIC COMMERCIAL BANKS USING

THE GROVER G-SCORE METHOD FOR THE 2012-2017 PERIOD

Dian Filianti, Dina Fitrisia Septiarini

Department of Islamic Economics, Airlangga University

Abstract

High competition among Islamic banks is likely to cause financial difficulties due to the proportion of

the number of banks that appear with few existing customers. This research aims to examine about the

analysis of bankruptcy potential in Islamic bank. This research uses quantitative approach, calculated

by Grover G-Score method and Discriminant analysis technique to find new coefficient. The sampling

method is purposive sampling. This research used secondary data from 12 Islamic Banks that has been

listed in the Financial Services Authority (OJK) 2012-2017. This study result showed that there are 57

Islamic commercial banks have G-Score value of > 0,01 which is safe and in healthy condition, while

there are 3 Islamic banks that fall into the category of bankruptcy because the value obtained is G < -

0.02.

Keywords: Bankruptcy, Islamic Commercial Bank, Grover G-Score


HIDING BEHIND SHARIAH VEIL: LESSONS IN DANA GAS SUKUK SAGA

Najeeb Zada

Islamia College University, Peshawar, Pakistan

Abstract

In June 2017, Dana Gas made a shocking announcement that its sukuk has ceased to be Shariah

compliant due to changes in Shariah interpretations. The Islamic finance industry in general and the

holders of sukuk in particular criticized this move by Dana Gas. The post-announcement litigation which

took place in the English and UAE courts evidenced that the real issue which is faced by the company

is financial in nature and it not related to Shariah and its interpretation. In other words, Dana gas is only

using the name of Shariah to avoid its payment obligations. This situation is more akin to the issue of

hiding behind the corporate veil in conventional sense. In the case of Dana Gas sukuk, it is obvious that

the company attempted to hide behind Shariah veil. Using library research method in this study, we

analyze the case from Shariah perspective and conclude that the very notion of Shariah which is said to

be the essence of Islamic finance has been misused for financial gains. This research also questions the

widely held belief that Islamic finance is based on ethical values. Lastly, the research exposes the

somewhat disappointing role played by Shariah scholars in such incidents. The findings of the study are

expected to enlighten the stakeholders of Islamic finance about some critical issues which hinder the

growth and credibility of the industry.

Keywords: Shariah Compliance, Sukuk, Corporate Veil

THE ROLE OF DIGITAL FINANCE TO STRENGTHEN FINANCIAL INCLUSION AND

THE GROWTH OF SME IN INDONESIA

Atina Shofawati

Islamic Economics Department, Faculty of Economics and Business, Universitas Airlangga

Abstract

At this era, innovation in technology is one of the key success factor for business to strengthen the

maturity life of product life cycle, included financial industry. Nowadays the need for speed in delivery

of product or services included in financial services especially Islamic Financial Services is very

important. Indonesia which have the unique topography which consist of many islands need the speed

of product or service delivery especially for the Small and Medium Enterprise (SME) financing which

is the fundamental of economy in Indonesia. This paper have purpose to describes the role of Digital

Finance to Strengthen Financial Inclusion and the Growth of SME in Indonesia.This paper uses

qualitative method. The result of this research is describe the model of the role of Digital Finance to

Strengthen Financial Inclusion and the Growth of SME in Indonesia.

Keywords: Digital Finance, Financial Inclusion, Growth of SME, Indonesia


COMPARING PREDICTION OF FINANCIAL PERFORMANCE OF SHARIA AND

CONVENTIONAL BANKING AND ITS INFLUENCE USING ARTIFICIAL NEURAL

NETWORK (ANN) 1Ulumuddin Nurul Fakhri, 2Saiful Anwar, 3Rifki Ismal, 4Ascarya

1University College of Islamic Economics Tazkia (STEI TAZKIA) 2Ahmad Dahlan School of Economic

3,4Department of Islamic Economics and Finance, Central Bank of Indonesia

Abstract

The purpose of this study is to identify the variables that predispose financial performance, as well as

predict the decrease and increase of financial performance. This research will provide benefits for sharia

banking, all stakeholders and banking regulators to manage risk and strongly maintain the industrial

progress. The analysis uses Artificial Neural Network (ANN) model to find out the variables that

influence financial performance and predict the decrease and increase of financial performance of sharia

and conventional banking for the next five months. This research generates the variables which affect

the financial performance of sharia banking and the prediction of financial performance over the next

five months. The variables which affect the level of financial performance of sharia banking influenced

dominantly by inflation. This shows that syariah banking CBGB (Commercial Bank – Group of

Business) 2 is very vulnerable with macroeconomic factors. ANN predictions produce an average of

80% success in predicting performance over the next five months.

Keywords: Islamic Banking, financial performance, Artificial Neural Network (ANN), CBGB

(Commercial Bank – Group of Business)

THE INFLUENCE OF BANK OWNERSHIP ON BANK PERFORMANCE AND RISKS (THE

CASE OF SHARIA COMMERCIAL BANKS IN INDONESIA)

Sellen Ravindy, Nisful Laila, Lina Nugraha Rani, Puji Sucia Sukmaningrum

1Student of Islamic Economics Undergraduate Program, Faculty of Economics and Business

Airlangga University 2,3,4Department of Islamic Economics, Faculty of Economics and Business Airlangga University

Abstract

This research aims to find out the influence of bank ownership (domestic, foreign, state-owned, or

private) on bank performance and risks in Sharia Commercial Banks in Indonesia. This research uses

quantitative approach with multiple linear regression analysis technique. The results of the research

show that variable of Domestic-Foreign Bank has positive significant effects, variable of State Owned-

Private Bank has negative not significant effects on the Return on Assets, and variable of Domestic-

Foreign Bank has positive significant effects, variable of State Owned-Private Bank has negative

significant effects to the Non-Performing Financing on Sharia Commercial Banks in Indonesia.

Keywords: Ownership of Domestic-Foreign Bank, Ownership of State Owned-Private Bank, Return on

Assets, Non-Performing Financing


ANALYSIS OF THE HEALTH OF ISLAMIC BANKS WITH APPROACH TO

RENTABILITY FACTORS (EARNING)

Eris Tri Kurniawati, Syamsul Hadi, Gina Harventy, Yunan Syaifullah

Faculty of Economics and Bussiness, University of Muhammadiyah Malang

Abstract

The level of health of Islamic banks is a measure that States that an Islamic banking institution have

good qualifications in terms of liquidity, solvency and profitabiltias, in addition to being able to run the

function and role of intermediary institutions as well. This research aims to analyze the extent of the

influence of the ratio of the supporting factors in the assessment of earning or earning ratios that in proxy

by the Return On Asset (ROA) as the variable X 1, the ratio of the efficiency of the operational activities

(REO) as the variable X 2 and the ratio of Assets that can generate revenue (IGA) as the variable X 3 in

contributing the main factor ratio rentabiltias at the level of health of bank syariah i.e. Net Operating

Margin (NOM) as the variable Y. The sample in this research is the entire population of the study i.e.

the National Islamic Bank which has provided a bank statement on the financial services authority (OJK)

for the period January 2011 until December 2015. Model analysis of the multiple linear regression model

using and being estimated using OLS (Ordinary Least Square). Based on the research results obtained

value R Square of 0,202. The figure indicated that the ability of the independent variable (the ratio of

ROA, ROE ratio and the ratio of IGA) in explaining his independent variables (ratio of NOM) amounted

to 20.2% while the rest is affected by other variables.

Keywords: Bank, Earning Health Levels, Return on Assets, Operational Activities Efficiency Ratio,

The Ratio of Assets That Can Generate Income, Net Operating Margin

INTERTEMPORAL EFFICIENCY ANALYSIS OF INDONESIAN SHARIA COMMERCIAL

BANK AFTER SPIN OFF PERIOD 2013-2017 DATA ENVELOPMENT ANALYSIS

(WINDOW ANALYSIS)

Ulfi Alayya, Lina Nugraha Rani

Department of Islamic Economics Faculty of Economics and Business Airlangga University

Abstract

This study compares the operational stability of the Islamic Bank in Indonesia in post with a spin off

research period 2013 to 2017 with the method of analysis with Window DEA or Intertemporal

Efficiency Analysis. Window analysis is one of the development of DEA models that can measure the

level of efficiency from time to time (intertemporal) observations on inputs and outputs from the DMU

over several time periods, it is important to conduct panel data analysis where it focuses on changes in

efficiency from time to time. income. The results are BRI sharia bank is the most efficient and stable

out of the other several banks that is the research sample. This proves the concept of efficiency, which

emphasizes the utilization of certain company inputs to achieve maximum output levels. In this case,

BRI Sharia able to utilize inputs, namely TPF & labor costs to produce maximum output, namely

financing and operating income.

Keywords: Islamic Bank Intertemporal Efficiency Analysis


OPTIMIZATION OF ISSI STOCK PORTFOLIO USING SINGLE INDEX MODELS IN 2013-

2017

Firsty Dzanurrahmana Zein, 1Khurul Aimmatul Umah, 2Sri Herianingrum, 3A. Syifaul Qulub, 4Sylva

Alif Rusmita

1Student Postgraduate Science of Islamic Economics, Airlangga University, Indonesia 2,3,4Lecturer Faculty of Economic and Business, Airlangga Universtity, Indonesia

Abstract

The purpose of this study to was be able to establish the optimal portfolio generated from stocks listed

on Indonesia Sharia Stock Index consistently in 2013-2017 and measure its proportion of funds in order

to determine its potential as an instrument for the major community to invest in the stock market.

Calculations using single index model approach, monthly stock price data and SBIS as a proxy of the

risk free rate, produce the optimal portfolio composed of fifty eight stocks gives an expected return of

2,62% every month or 31,44% every year. The value of systematic risk relative to market risk portfolio

is 0,79 with a standard deviation value or portfolio risk of 0,0275. As for the portfolio with a Single

Index Model generate return a higher than the return ISSI, Jakarta Islamic Index (JII), and IHSG Index.

So, this paper is important to investors or investment managers because they are can make this portfolio

as investment considerations.

Keywords: Optimal Portfolio, Single Index Model, Indonesia Sharia Stock Index

COMPARISON MODEL BUSINESS, STABILIZATION, AND FINANCE PERFORMANCE

OF SHARIA COMMERCIAL BANK AND CONVENTIONAL COMMERCIAL BANK IN

INDONESIA IN 2012-2016

Yanani Mutiara Dewi, Dina Fitrisia Septiarini


Abstract

The aim of study was determine the difference in business model, banking stability, and financial

performance of Islamic banks and conventional banks around period 2012-2016. The variables used of

business model are fee based income ratio, financing to deposit ratio, growth of third-party funds ratio,

net profit margin ratio variable used in banking stability are z-score, and financial performance use net

profit margin ratio. Thus study used quantitative research method. The populations of this research are

Islamic banks and conventional banks in Indonesia. This research used three Islamic banks and six

conventional banks which have commercial banking business model type as a sample, the analyzed by

comparative analysis test using Independent Sample t-test and Mann Whitney test. The comparative

analysis result in business model showed that there are differences in secondary banking, that is fee

based income, while there showed no differences in primary banking, that are third-party fund ratio and

financing to deposit ratio. There was showed no difference in banking stability measured using z-score.

There was no difference in financial performance measured using net profit margin.

Keywords: Business Model, Banking Stability, Financial Performance, Commercial Banking


SHARIA COMPLIANCE ON MORTGAGE PRODUCT WITH IJARA MUNTAHIYA

BITTAMLIK CONTRACT IN SHARIA PERMATA BANK

Amalia Damayanti, Arim Nasim, Firmansyah


Abstract

One of the differences between conventional and sharia financial institution is sharia compliance. It also

become an important indicator of bank compliance towards Islamic values. This study used primary

data through interviews by questionnaire. The population in this research include all of IMBT mortgage

customer in Sharia Permata Bank by 100 respondents as the sample by using purposive sampling

technique. The method of this study used descriptive quantitative approach to describe the characteristics

of respondents and how the contract implementation in IMBT mortgage product. Based on the results

of the research, it shows that levels of sharia compliance in IMBT mortgage product at Sharia Permata

Bank got in good category, even though some of indicators got sufficient category.

Keywords: Sharia Compliance, Ijara Muntahiya Bittamlik, Mortgage, Sharia Permata Bank

APPROPRIATE YIELD CURVE MODELING FOR SUKUK 1Sulistya Rusgianto, 2Nursilah Ahmad, 3Siti Nurazira Mohd Daud, 4Siti Zulaikha

1,4Faculty of Economics and Business, Universitas Airlangga, Indonesia

2Faculty of Economics and Muamalat, Universiti Sains Islam Malaysia 3College of Business, Universiti Utara Malaysia

Abstract

This paper aims to examine the effect of macroeconomic variables namely inflation rate, industrial

production index, and the interest rate on Indonesia Islamic stock that be measured by Indonesia Islamic

Stock Index (ISSI). This index consists 350 Islamic stocks at Indonesia Stock Exchange. Investors

generally believe that macroeconomic activities give a large impact on the volatility of the stock prices

(Gan et al., 2006). This study uses quantitative approach with multiple linear regression by utilizing

monthly data over the period of May 2011 to November 2017. The results of this empirical research

show that Indonesia Sharia Stock Index is affected significantly by the inflation rate, industrial

production index, and interest rate. Therefore, this is necessary to evaluate the relationship between

macroeconomic variables and Islamic stock prices since the results would be able to bring an impact to

stimulate the existence of Islamic capital market in Indonesia.

Keywords: Macroeconomic Variables, Islamic Stock Prices, Indonesia Sharia Stock Index


EFFICIENCY OF TABARRU FUND MANAGEMENT AT SHARIA INSURANCE

COMPANIES IN INDONESIA

Marina Sarah, A. Jajang W. Mahri, Aneu Cakhyaneu


Abstract

The growth of Sharia Insurance has been quite rapid in recent years, but in 2013 the performance was

less than optimal. There are only six life insurance that have received surplus and seven general

insurance that still deficit. One of many causes of the lack of optimal performance is inefficiency, while

that is related to how to obtain the maximum level of output with a certain amount of input. This study

aims to determine level of efficiency in Sharia Insurance for the period 2012-2016 and find out the

causes. This study uses secondary data from 13 companies. Research method used is descriptive with

Data Envelopment Analysis (DEA). The input variables used assets, operating expenses and claim

payments. Furthermore, output variables used contributions, investment income and tabarru funds.

Based the results of research conducted is known that, the condition of Sharia Insurance in Indonesia

has not been efficient. There were 12 companies that experienced inefficiencies due to the high

operational costs and the low contribution.

Keywords: Efficiency, Sharia Insurance Companies, Data Envelopment Analysis (DEA)

DETERMINAN OF NON PERFORMING FINANCING IN INDONESIA ISLAMIC BANK

Melianda Visca Wulandari, Suryana, Suci Aprilliani Utami


Abstract

In 2017, there was an increase in Non Performing Financing (NPF) in Islamic Bank until the NPF Ratio

reached five point twenty seven percent. It show that NPF Ratio in that period exceeds the standard

provision of Bank Indonesia of five percent. This phenomenon is one of them caused by the high

channeling of financing to customers without accompanied by an increase in financing quality. This

study aims to examine the determinants of non performing financing period 2013-2018. This study uses

secondary data from six Indonesia Islamic Bank. This study used descriptive eksplanatory method with

data analysis technique is pooled data regression analysis. The results showed that the Capital Adequacy

Ratio (CAR) and Financing to Deposit Ratio (FDR) have a significant negative effect on NPF. While,

the Bank Indonesia Sharia Certificates (SBIS) rate has not effect on NPF. The result of simultaneous

regression show that the CAR, FDR and SBIS rate have effect on NPF.

Keywords: Non Performing Financing (NPF), Capital Adequacy Ratio (CAR), Financing to Deposit

Ratio (FDR), SBIS rate


RISK MANAGEMENT OF PENSION FUNDS OF SHARIA FINANCIAL INSTITUTIONS

(EVIDENCE FROM A PENSION FUNDS OF MUAMALAT SHARIA FINANCIAL

INSTITUTIONS)

Septianingrum Dewi Purnamasari, Lina Nugraha Rani

Department of Islamic Economics Faculty of Economics and Business Airlangga University

Abstract

The purpose of this research is to find out and analyze how the risk management of Islamic financial

institution pension funds at the Muamalat Sharia Financial Institution Pension Fund (MSFIPF). This

study uses qualitative methods with case study strategies. The object of this study was the Muamalat

Sharia Financial Institution Pension Fund, an assessment was carried out using the Australian Standard

/ New Zealand Standard 4360 : 1999 qualitative analysis method. The results of this study have found 5

types of risks identified namely strategic risk, operational risk, risk of assets and liabilities, reputation

risk, and risk to participants. The results obtained from the risk assessment resulted in 17 types of risk

descriptions, consisting of 4 types of risk descriptions with significant levels, 9 types of risk descriptions

with moderate levels, and 4 types of risk descriptions with low levels. Based on the research it was found

that a significant level is the level of risk description that must be considered highly because the

opportunity is quite high and has a detrimental impact on the Muamalat Sharia Pension Fund. The level

of risk description at the significant level of the Muamalat Syariah Pension Fund consists of 4 risk

descriptions, among others, 3a. Investment returns are not in accordance with the benchmark, 3b. a

mistake participants choose investment package (MSFIPF), 5a. fluctuating risk (participants), and 5b. a

mistake in selecting investment packages (participants).

Keywords: Risk Management, Sharia Pension Fund, Muamalat Sharia Pension Fund

CUSTOMERS LITERACY ON ISLAMIC HOUSE FINANCING PRODUCTS

Indah Bidari, A. Jajang W. Mahri, Rida Rosida


Abstract

Sharia financial literacy is a persons understanding on the products of Islamic financial institutions in

order to improve the ability and willingness of someone to take advantage of products in the Islamic

financial institutions as one solution for the needs of economy. This study aims to obtain a picture of

how the level of literacy of Islamic house financing products in Islamic house financing customers with

various kinds of contracts used in sharia house financing. This research uses quantitative descriptive

method. The population in this study are sharia financing customers which amounted to 150 people and

a sample of 80 people with purposive sampling technique. Instrument in this study using questionnaires.

The results of this study indicate the level of customer literacy on shariah house financing products and

kinds of contracts used in sharia house financing in different Islamic banks are in good category,

although there are some indicators are in good enough category.

Keywords: Islamic Financial Literacy, Murabaha, Musharakah Mutanaqisah, Istisna, Sharia house

financing


THE IMPACT OF MACROECONOMIC ON ISLAMIC STOCK PRICES: EVIDENCE FROM

INDONESIA

Imron Mawardi, Tika Widiastuti, Puji Sucia Sukmaningrum

Faculty of Economics and Business, Airlangga University

Abstract

This paper aims to examine the effect of macroeconomic variables namely inflation rate, industrial

production index, and the interest rate on Indonesia Islamic stock that be measured by Indonesia Islamic

Stock Index (ISSI). This index consists 350 Islamic stocks at Indonesia Stock Exchange. Investors

generally believe that macroeconomic activities give a large impact on the volatility of the stock prices

(Gan et al., 2006). This study uses quantitative approach with multiple linear regression by utilizing

monthly data over the period of May 2011 to November 2017. The results of this empirical research

show that Indonesia Sharia Stock Index is affected significantly by the inflation rate, industrial

production index, and interest rate. Therefore, this is necessary to evaluate the relationship between

macroeconomic variables and Islamic stock prices since the results would be able to bring an impact to

stimulate the existence of Islamic capital market in Indonesia.

Keywords: Macroeconomic Variables, Islamic Stock Prices, Indonesia Sharia Stock Index

RISK ANALYSIS OF DEFAULTED SUKUK 1Sulistya Rusgianto, 2Nursilah Ahmad, 3Zurina Kefeli, 4Silva Alif Rusmita

1,4Faculty of Economics and Business, Universitas Airlangga, Indonesia 2,3Faculty of Economics and Muamalat, Universiti Sains Islam Malaysia

Abstract

The objective of the study is to analyze the default risk of sukuk. The beta of the CAPM model is used

as the proxy to measure specific sukuk risk. The study uses the yields of the selected defaulted sukuk in

the Malaysian market as data set sample. The finding suggests that the defaulted sukuk is historically

considered more risky than the market benchmark as indicated by 12 out of 13 selected defaulted sukuk

have beta more than one. The finding implies that the estimated beta may be used as an indicator for

default risk in which the higher beta indicates the higher probability to default, and vice versa.

Keywords: Sukuk, Default Risk, Defaulted Sukuk, Islamic Capital Market, Islamic Finance


SYARIA BANKING CUSTOMER ADAPTATION

Tita Terista


Abstract

This article discusses about the adaptation to syaria banking consumer compare between conventional

banking consumer. Syaria banking in Indonesia has already growth before reformation era. In the

moneter crisis in 1998, syaria banking succeed to be survival and succeed to develop their suistanability

In this paper, simple research or survey has done to finding fact about the customer motivation to join

with the BPRS HIK Parahyangan to get Islamic funding. Survey has done to teacher as customer to find

out their adaptation for syaria banking compare than conventional banking. Author is windering to know

what is the motivation off teachers customer to got funding from Islamic banking is it influenced by the

religion or spiritual orientation or is about the pragamatical orientation. To answer that question, author

make a simply research to 50 teachers as a sample whom the BPRS HIK Parahyangan customers, and

most of them are elementary school teachers. To know the main idea to join with the syaria banking

compare than conventional banking will be very important to analyze the growth of syaria banking.

They are five stages to the consumer adoption process, they are Product awareness, Product interest,

Product evaluation, Product trial, and product adoption. The main questions has given to the respondent

are Are you aware that BPRS HIK Parahyangan is syaria bank or Islamic bank, are you join with funding

in BPRS HIK because that product is syaria funding, do you choosed the product is not because of syaria

but advantage of the product for do you tried syariah banking is for the first time and you comfort with

it and do you adopt the this funding because you glad to choose syaria product ? the result of this simple

research is the customers join with the BPRS HIK Parahyangan as an Islamic Bank is not because they

are moslem who must be choose the syaria bank but they oriented to the product. it is not necessary for

them either tha bank is syaria or conventional.

Keywords: Syaria Bank, Customer Adoption, Product


CHAPTER 3: ISLAMIC BUSINESS AND ENTREPRENEURSHIP

SERVICE QUALITY IN ISLAMIC PERSPECTIVE WITH THE RELIGIOUS KNOWLEDGE

LEVEL AS MODERATOR VARIABLE

Ririn Tri Ratnasari, Putri Erika Rahmawati

Department of Islamic Economics, Airlangga University, Indonesia

Abstract

This research aims to determine the effect of service quality in Islamic perspective on customer

satisfaction and switching intentions moderated by the religious knowledge level of Muamalat Bank

customer. This research uses quantitative approach and Partial Least Square (PLS) analysis technique.

The sampling method is purposive and accidental sampling. This research used questionnaire data from

100 Muslim customer of Muamalat Bank that has been listed as a client of funding. This study result

showed that service quality in Islamic perspective has a significant and positive effect on customer

satisfaction, and religious knowledge level strengthens the effect of customer satisfaction on switching

intention. Meanwhile, service quality from Islamic perspective has no significant effect on switching

intention.

Keywords: Service Quality, Customer Satisfaction, Switching Intention, Religious Knowledge

THE IMPLEMENTATION OF ISLAMIC VALUES IN IMPROVING THE QUALITY OF

EMPLOYEE PERFORMANCE IN WORKPLACE

Marsudi, Rizki Febriani, Chalimatuz Sadiyah, Yeyen Pratika

Management Department, Economics and Business Faculty,

Muhammadiyah University of Malang

Abstract

The purpose of this study is to analyze the role of Islamic values in improving the quality of employee

performance. The total of 138 questionnaires was distributed to the employee of Muslim restaurants in

East Java, Indonesia. The data is analyzed by using Smart-PLS and Sobel. The results show that Islamic

values are proven to increase the employee satisfaction and performance. The business implication of

this study is management need to ensure that the employees are actively involved in the application of

moral and Islamic values in their workplace with the support of the leader.

Keywords: Islamic Values, Islamic Leadership, Islamic Work Ethic, Islamic Work Satisfaction, Islamic

Performance


THE ROLE OF GOLD DINAR AND SILVER DIRHAM USER ENTREPRENEURSHIP

COMMUNITY IN DINAR-DIRHAM REPLACEMENT EQUIPMENT AS A MEDIUM OF

EXCHANGE

Srie Nuning Mulatsih, Aisyah Ratnasari, Dadang Saepuloh


Abstract

The issue of going back to use gold dinar and silver dirham as currency has become warmly discussion

since the ASEAN currency depreciation crisis in 1997/998 and the global economic crisis going on

nowadays. Until now, there is still no one ideal mechanism implemented globally the use of gold dinar

and silver dirham. Even has still not implemented globally yet but there are efforts for some of

communities to implemented them in daily life, transaction, like the community of the entrepreneurs

community of dinar dirham users. The question arose: will gold dinar and silver dirham can be used

back as mediumof exchange in current economy? So, this study aims to examine the role of the

entrepreneurs community of dinar-dirham users in effort implementation of dinar dirham as medium of

exchange. This is quantitative study going by the strategy of the field research and by using the variables,

economic aspects and religious aspects. This study also used library research approach. The result of

this research with purposive sampling method at user community gold dinars and silver dirhams as

medium of exchange effort religion aspects is dominant factor than economical factor and the research

shows that the role of the entrepreneurs community of dinar dirham users in effort implementation of

them as currency are quite suitable, because of inadequate awareness reforms and lack political will

(consensus from other nations to use gold dinar and silver dirham as money) and the ignorance of people

about the function of gold dinar and silver dirham as medium of Exchange.

Keywords: Gold dinar, Silver dirham, Entrepreneurs Community of Dinar Dirham Users, Economic

Crisis

ENTREPRENEURSHIP EDUCATION GROWS SANTRIS ENTREPRENEURIAL SPIRIT

(EVIDENCE INDONESIAS ISLAMIC BOARDING SCHOOL) 1M. Haris Hidayatulloh, 2Tika Widiastuti, 3Sri Herianingrum, 4Taqiyah Dinda Insani

1,4Post Graduate School, Airlangga University, Indonesia 2,3Faculty of Economy and Business, Airlangga University, Indonesia

Abstract

Pesantren as the oldest educational institutions in Indonesia have an authentic method to foster the

entrepreneurial spirit inside of his students. To know the implementation of entrepreneurial education,

this study successfully capture to an effective system of entrepreneurship education. By using a

qualitative method that uses interviews as a data collection techniques, unearthed accurate information

from relevant actors in order to provide similar benefits to practitioners elsewhere. Triangulation

technique has also been done so that the results of this study are robust.

Keywords: Pesantren, Santri, Entrepreneurship, Islamic Boarding School


ISLAMIC BRANDING AND SOCIAL MEDIA: IMPLICATIONS ON STAY DECISIONS IN

SHARIA HOTEL

Debi D. Andini, Moch. Adib Sultan, Neni Sri Wulandari, Mira Nurfitriya


Abstract

Public awareness of Moslem-friendly tourism is increasing but it has not been followed by supporting

facilities such as places of worship, halal food and beverages, also sharia hotel. On the other hand, the

growth of moslem tourist visiting in 2014 was 30% to 40% higher than the growth of conventional

tourists who come to Indonesia but had not been matched by the availability of adequate sharia hotels.

This research uses primary data through online questionnaire distribution on one of social media

platforms called instagram. The population in this research are the guests who stay in Noor Hotel

Bandung with samples of 100 respondents with purposive sampling technique. The method used in this

reasearch is descriptive verivicative with multiple linear regression test equipment. The results show

that Islamic branding is in the highest category and social media is in medium category. While on

multiple regression test, islamic branding and social media have a significant positive effect to the

decision to stay at Noor Hotel. R square value of 0.492 or 49.2% means that the decision to stay at Noor

Hotel is influenced by Islamic Branding and social media by 49%, while the rest 51% is influenced by

other factors not examined by the author.

Keywords: Sharia Hotel, Islamic Branding, Social Media, Stay Decision, Noor Hotel

THE IMPLEMENTATION OF GOOD GOVERNANCE BUSINESS SHARIAH IN

INDONESIA SHARIAH BANKING

Ahmad Juanda, Fredy Dwi Herlyanto, Tri Wahyu Oktavendi

University of Muhammadiyah Malang

Abstract

The aim of this research is to describe the implementation of Good Governance Business Shariah in

Indonesia Shariah Banking. Content analysis is used in this study to identify GGBS indicators. Indicators

in this research is formed from KKNG. The results show that the average implementation of GGBS in

Indonesia Shariah Banking is 94%, this shows that shariah banking have implemented a good GGBS to

maintain Indonesia Shariah Bankinginess survibality and safeguard the interests of stakeholders.

Keywords: Good Governance Business Shariah, Content Analysis, Implemetation


THE INFLUENCE OF PRODUCT KNOWLEDGE AND ATTITUDE TOWARDS

INTENTION IN MUDHARABAH FUNDING PRODUCTS IN SHARIA BANKS IN

MATARAM

Achsania Hendratmi, Baiq Vidia Khairunnisa, Luthfi Nur Rosyidi

Airlangga University, Surabaya, Indonesia

Abstract

This study aims to determine the effect of product knowledge on attitude and purchase intention for

mudharaba financing in Islamic bank in Mataram. This study uses a quantitative approach using the test

path analysis. Sources of data in this study using the primary data that is questionnaire. The

characteristics of the study population are customer of Islamic bank in Mataram who have business and

not use mudharaba financing. The number of samples in this study were 250 respondents. The sampling

technique that can be used is probability sampling with random sampling. Based on the results of the

study, it is indicated that product knowledge significantly influences the attitude, product knowledge

significantly influences the purchase intention, and attitudes significantly influence the purchase

intention. The suggestions for Islamic Bank in Mataram is to use personal promotionabout mudharaba

financing and increase the service and facilities to improve the contumer intention.The suggestions for

further researcher, can be done by adding the level of purchase knowledge and usage knowledge as

eksogenvariable and research can be done on other objects in the field of services such as BMT.

Keywords: Product Knowledge, Attitudes, Purchase Intention of Mudharaba Financing

THE INFLUENCE OF ISLAMIC BRAND PERSONALITY TOWARDS BANK MUAMALAT

SURABAYA BRAND LOYALTY

Achsania Hendratmi, Bayu Laksana D.M

Airlangga University, Surabaya, Indonesia

Abstract

his study aimed to discern the influence of brand personalities which are Siddiq (Honest), Amanah

(Trustworthy), Fatanah (Professional), and Tabligh (Communicative) - derived from Islamic Prophet

Muhammad personality - towards brand loyalty of the customers of Bank Muamalat Surabaya. The

primary data in this study was collected by questionnaire with 111 customers as the sampling. The

researcher used quantitative method and multiple linear regression analysis. The exogenous variable in

this study is Siddiq, Amanah, Fathanah and Tabligh, while the endogenous variable is the brand loyalty

of the customers. The result showed that Siddiq, Amanah, Fatanah and Tabligh significantly affect

students’ satisfaction, by F score equals to 97.062 with significance level (probability) at 0.000. The

score for t test of Shiddiq, Amanah, Fathanah, and Tabligh partially affected the brand loyalty of the

customers with the significance level equals to <0.05.

Keywords: Islamic Brand Personality, Brand Loyalty


MICRO ENTREPRISE EMPOWERMENT MODEL THROUGH ISLAMIC FINANCIAL

SERVICE COOPERATION (STUDY IN INDONESIA-MALAYSIA) 1Sri Herianingrum, 2Muhammad Syukri Salleh, 3Ririn Tri Ratnasari

1,3Faculty of Economic and Bussiness Universitas Airlangga 2Islamic Economic Development, Universiti Sains Malaysia

Abstract

Micro-enterprise is a business that dominating the economy of Indonesia and Malaysia. The main

problem faced by micro businesses is the issue of capital. The existence of Islamic financial service

cooperation is expected to solve the problems of capital for micro-enterprises. Based on these

descriptions then this study wanted to exercise how the empowerment model of micro enterprises

implemented through enterpreneurs empowerment by Islamic financial service cooperation (IFSC). This

study used qualitative methods to explore micro enterprises empowerment in order to get a micro

business empowerment model. Both in Indonesia as well as Malaysia empowering micro businesses by

IFSC appears from its ability to obtain capital, able to motivate the group, and was able to get access to

the Government. The difference is in the intensity of the attention of the Government, the Government

of Malaysia more intense attention on micro enterprises, so that micro enterprises more easily get access

to the pemerimtah and other financial institutions.

Keywords: Micro Entreprise, Islamic Financial, Service Cooperation, Empowerment, Model

THE PRODUCTION BEHAVIOUR OF MUSLIM RESTAURANT TOWARDS THE RISE OF

THE BASIC COMMODITIES PRICES 1Rahmania Nur, 2Irham Zaki

1,3Postgraduate Student of Islamic Economics Science, Universitas Airlangga 2Department of Islamic Economics Faculty of Economics and Business, Universitas Airlangga

Abstract

The purpose of this research is to examine the production behavior of Muslim restaurant towards the

rise of basic commodities prices. The method used for the study is qualitative descriptive case study.

The data used are primary data and secondary data. Primary data was obtained from the results of

interviews, observations and documentation on the parties concerned, while in this study, the secondary

data was obtained from printed media, electronic, and internet regarding Islamic production pattern,

supporting data from various journals, and books relevant to research. The results of the research showed

that the increase in the price of basic commodities had an impact on the behavior of the production of

Muslim restaurants in Baureno. The increase in the prices of basic commodities made the restaurant

industry doers in Baureno sub district change the prices and quantity of the menus in their restaurants.

Such price increases are apparently still within reasonable limits and in accordance with the principles

of Islamic economic production, taking profits fairly and not harming customers. Muslim restaurant

manufacturers as a whole have made production in Islamic way.

Keywords: Islamic Production Behaviour, Price Increasing in Basic Commodities


THE INFLUENCE OF QUALITY OF ISLAMIC SERVICE AND INSTITUTION IMAGE TO

DONOR TRUST AT NATIONAL AMIL ZAKAT INSTITUTE (LAZNAS) 1Sri Herianingrum, 2Reza Reftrian, 3Achsania Hendratmi

1,3Faculty of Economic and Bussiness Universitas Airlangga 2Postgraduate School Universitas Airlangga

Abstract

Zakat Institution (LAZ) is a religious social institution that plays a role in collecting zakat, infaq, alms

and waqf (ZISWAF) from muzakki/donors which then distributing in the form of empowerment

program addressed to mustahik which is classified asnaf. To increase ZISWAF fund raising, a

managerial strategy that is directly related to LAZ services to donors is required. Providing good service

quality and enhancing the institution image both in the eyes of donors and the community is an effort to

increase ZISWAF fund raising. Good service quality will have an effect on increasing the satisfaction

and trust of donors and institution’s image which is the main attraction for donors or the society which

if run well will have implications on the satisfaction of donors and their trust. The results of this study

indicate that the Islamic service quality significantly influence the satisfaction of donors, the Islamic

service quality does not significantly influence the donor trust, the institution image does not

significantly influence the satisfaction of donors, the institution image not significantly influence the

donor trust and donor satisfaction significantly donor wealth. Limitations in this study is the scope of

the research area is less extensive.

Keywords: Quality of Islamic Service, Institution Image,Satisfaction,Donor Trust, Intervening Variable

ISLAMIC FAIRNESS CONCEPT IMPLEMENTATION IN BUSINESS PERSPECTIVE OF

AZ-ZAITUN I SURABAYA SHARIA MARKET TRADE

Dandi Setiabakti, R. Mohammad Qudsi Fauzi

Department of Islamic Economics, Faculty of Economics and Business, Universitas Airlangga

Abstract

The aim of this research was to describe the implementation of the concept of Islamic fairness in business

by traders of the Az-Zaitun I Surabaya Sharia Market. This research uses qualitative approach with a

descriptive case study strategy. The primary data obtained using purposive sampling through interviews.

Participatory observation also conducted to the traders. Secondary data are obtained from textbooks,

scientific journals, and online articles that are relevant to this research. Then, triangulation conducted

and analyzed to get the conclusion. The result of this study shows that the traders of the Az-Zaitun I

Surabaya Sharia Market apply all of the fair concept according to the three meanings of fairness, namely

equal, proportional, and divine orientation. The conclusion is, even though it doesnt have a market

supervisor, The Az-Zaitun I Surabaya Sharia Market has applied the three meanings of Islamic fairness,

namely equal, proportional, and divine orientation.

Keywords: Islamic Fairness, Equal, Proportional, and Divine Orientation


CRS IMPLEMENTATION FROM WESTERN TO THE ISLAMIC PERSPECTIVE:

MAQASID AL-SHARIAH AND MASLAHAH

Siti Zubaidah, Mudrifah

Department of Accounting, University of Muhammadiyah Malang

Abstract

Corporate social responsibility (CSR) perspectives is a framework for the role of business in society

which has emerged and developed rapidly as a field of study. It sets standards of behavior to which a

company must subscribe in order to impact society in a positive and productive manner while abiding

by values that exclude seeking profit at any cost. CSR initiative remains open to wide criticism for its

inherent problems and justification, conceptual clarity, and possible inconsistency. Problems are more

acute when it comes to implementing and operationalizing CSR on the ground, especially in a situation

involves trade-off. This paper offers an instructive understanding of CSR from an Islamic perspective.

In particular, the implication of maqasid al-Shari`ah (the Shari`ah’s objectives) and the application of

maslahah (the public good) to CSR are discussed to shed light on how Islam’s perception of CSR take

into consideration of the reality and ever-changing circumstances.

Keywords: Maqasid al-Shariah, Maslahah, Islamic CSR

RELATIONSHIP BETWEEN ENTREPRENEURIAL CHARACTERISTICS FROM ISLAMIC

PERSPECTIVE AND THE PERFORMANCE OF SMALL AND MEDIUM-SIZED

BUSINESSES (A STUDY OF SMES IN INDONESIA)

Dini Lisnawati, Eeng Ahman


Abstract

This study aims to analyze the relationship between entrepreneurial characteristics from Islamic

perspective and the performance of SMEs of Muslim entrepreneurs in Indonesia. Factors suspected of

affecting entrepreneurial characteristics from Islamic perspective are fathanah (wisdom), amanah

(trustworthy), siddiq (truthfulness) and tabligh (advocacy). The study method used an explanatory

survey with data collection techniques with technical questionnaires and interviews to 50 fashion

muslim entrepreneurs in Bandung-West Java. The collected data is analyzed by using SPSS. The result

from the study shows that Entrepreneurial characteristic from Islamic perspective has relationship with

the performance of SMEs. This finding implies that in order to improve the performance of SMEs

especally for Muslim entrepreneurs must be empowered their self to have the strong motivation to excel

their potentials sources based on the Islamic teaching in Quran and Sunnah.

Keywords: Entrepreneurial characteristic, Islamic entrepreneurship, Performance of SMEs, Fashion


INTEREST IN ISLAMICPRENEUR: FAMILY ENVIRONMENT FACTORS AND

RELIGIOSITY ANALYSIS THE RESEARCH OF ISLAMIC ECONOMICS STUDENTS AT

UNIVERSITY IN BANDUNG

Elmi Akmalianis, A. Jajang W. Mahri, Juliana, Dudi Septiadi


Abstract

Entrepreneurship is one of the occupation that has a noble in the view of Islam. In addition,

Entrepreneurship is also has an important role for the welfore of a state. Howover, the entrepreneurship

ratio in Indonesia is still in low rate compared to another countries. For the reason, this research will

discuss student’s interest toward Islamicpreneur. It is because students’ interest in islamicpreneur is the

source for the birth of Islamic entrepreneurs in the future. Based on the previous research,

entrepreneurial interest is influenced by among others, family enviroment and religiousity level.

Therefore this research aims to analyze and predict the influence of family enviroment and religiousity

toward students interests in islamicpreneur. The population of this research is the student of Islamic

economics at university in Bandung. The study use non-probability-accidental sampling as sampling

technique with 280 people as the subjects of the research. Then the research was using causality method

with quantitative approach. The data was analyzed using Partial Least Squares-Structural Equation

Modeling (PLS-SEM). The results showed that the family environment has a positive and significant

effect on the interest of Islamicpreneur, while the level of religiosity does not affect the interest of

Islamic scholars. This research is expected to be able to provide benefits to various parties in increasing

the interest of Islamic scholarship in students, especially Islamic economics students at University in

Bandung.

Keywords: Family Enviroment, Religiosity, Student Interest in Islamicpreneur


MARKETING MIX 7PS IN ISLAMIC PERSPECTIVE

Rizky Febriansyah

Program Studi Manajemen Bisnis, Sekolah Pascasarjana, Universitas Pendidikan Indonesia

Abstract

There are so many strategic concepts in business that are offered. Islam views trade as an important

factor in human life as long as the process is in line with Islamic teachings relating to business behavior.

Specifically, Allah SWT destined the Prophet Muhammad to be a successful entrepreneur before his

prophetic life. Because Islam is a way of life, the marketing code of ethics must be guided by the Quran

and Hadith, the two main references that Muslims obey to succeed in life and the hereafter. Until now,

the term marketing and the existence of Islam and its acceptance is still a widely debated issue among

academics, students, practitioners and consumers, especially in non-Islamic countries. Because there are

arguments from experts that Islamic marketing is important in contemporary commercial activities, the

7P concept in marketing must be combined with Islamic principles. The 7P concept was chosen because

of its wide acceptance as the main pillar of marketing. Therefore, the purpose of this paper is to develop

an understanding of 7P based on Islamic and contemporary marketing perspectives, which explains how

the marketing mix in the perspective of Islam, which in practice must be in accordance with the rules in

force in muamalah, this regulation does not harm consumers and producers. A thorough discussion

related to the issues mentioned will provide an in-depth understanding of each of the 7Ps elements.

Keywords: Islamic Marketing, Marketing Mix7Ps


BUSINESS MODEL AND ISLAMIC BOARDING SCHOOL BUSINESS DEVELOPMENT

STRATEGY (CASE STUDY ISLAMIC BOARDING SCHOOL SIDO GIRI PASURUAN,

EAST JAVA)

Irham Zaki, Imron Mawardi, Tika Widiastuti, Achsania Hendratmi, Risanda A. Budiantoro


Abstract

Islamic Boarding School is Islamic school that most of students are boarders. In the last 20 years, when

the Islamic economy developed in Indonesia, many pesantren established financial institutions and

businesses that comply to Islamic law. The existence of the business and financial institutions (business

network) were expected to encourage the implementation of Islamic law on economics and business in

society, and also able to carry out economic and business practices according to sharia. This study will

examine the existence of business network model and what are the benefits of business network model

for the While in the era of colonialism adjustment occurs through the transformation of values where

the pesantren acts as an Islamic institution or institutionalization of Islamic values that have a mission

oriented ideology political or religious political. Where the motivation is to seize independence and

liberate the people from the shackles of penghisaban by the invaders (Malik, 2008). For now the

existence of pesantren is more related to learning process and education. In other words, pesantren is a

religious education institution capable of issuing certificates recognized in the national education system

in Indonesia. This can be regarded as a pesantren negotiation of new values that develop in society as a

result of the advancement of science, knowledge, and technology (Asrohah, 2002). sustainability of

business unit. The renewal of this research illustrates the business model practiced by pesantren cottages

especially PP Sidogiri as a whole and formulates the right business development strategy for business

unit PP Sidogiri in order to maximize the role and social function of the islamic boarding school business

unit. This research uses case study method on mixed pesantren especially on Sidogiri Islamic Boarding

School. The results of research to find out the ideal strategy in the implementation of business network

as the development of a business model strategy of Islamic boarding schools in order to develop Islamic

boarding schools business.

Keywords: Business Model, Strategy, Islamic Boarding School


CHAPTER 4: ISLAMIC PHILANTROPHY

HOW NONPROFIT ORGANISATION DELIVERS ONLINE ACCOUNTABILITY

THROUGH SOCIAL MEDIA?

Seyla Rizky Amelia, Miranti Kartika Dewi

Department of Accounting, Faculty of Economics and Business, Universitas Indonesia

Abstract

This study aims to observe the use of social media and its benefit as tools in delivering online

accountability in nonprofit organizations (NPO). It takes a case study approach in an Indonesian

humanitarian NPO by applying the qualitative method with document analysis and semi-structured

interviews which are analyzed using thematic analysis. The results of this study show how the case

organization uses four types of social media in delivering performance accountability and focuses on

using one Twitter in discharging its financial accountability.

Keywords: Online Accountability, Social Media, Non-Profit Organization

A PROFILE ANALYSIS OF POTENTIAL INVESTORS IN iREIT WAQF INVESTMENT

PRODUCTS

Nor Azizan Che Embi, RoslilyRamlee, Salina Kassim

Economics and Management Sciences, International Islamic University Malaysia

Abstract

The objective of this study is to provide a profile analysis of potential investors in iREIT as an instrument

for waqf asset development. By adopting a survey questionnaire approach, a total of 365 respondents

participated in the survey, which assessed information pertaining to the understanding of iREIT as an

investment instrument, level of acceptance towards the idea of its introduction in the context of waqf,

the medium of promotion and collection that they most prefer, the suitable price, and the unique features

that they agreed to have in this hybrid iREIT. The results suggest that majority of the respondents are

interested to participate as investors rather than donors, indicating that greater amount of funds can be

tapped from the issuance of the iREITs waqf if these preferences of the investors are given priority.

Findings of this study would assist in the formulation of an innovative investment structure based on

iREIT waqf that is both practical and appealing to the widest pool of investors, and further contribute

towards the development of the waqf sector.

Keywords: Waqf, iREITs, investment, profiling, Islamic finance


CREDIBLE METHODS FOR EVALUATING THE IMPACTS OF LAZ PROGRAMS

Muhamad Said Fathurrohman

Universitas Airlangga

Abstract

Existing studies on the impacts of amil programs are still rare and potentially contain bias in their impact

estimates. This paper explains the selection problem common to simple difference method employed by

these studies. Then this paper introduces two evaluation designs, difference-in-differences and

randomized experiment, that can more credibly estimate program impacts, and still simple enough to be

independently conducted by amil institutions.

Keywords: impact evaluation, zakat, amil

REGULATIONS AND MANAGEMENT OF WAQF INSTITUTIONS IN INDONESIA AND

SINGAPORE: A COMPARATIVE STUDY 1Risa Sari Pertiwi, 2Muhammad Nafik Hadi Ryandono, 3Khofidlotur Rofiah, 4Anita

1,3Master Programme of Science in Islamic Economics, School of Postgraduate, Airlangga University 2Department Shariah Economics, Airlangga University

4Master Programme of Law, Airlangga University

Abstract

Waqf is an Islamic philanthrophy instrument that can be used as a source of funds for Muslims.

Indonesia as a country that has the largest Muslim population in the world, but in practice the realization

of the optimization of the potential and utilization of waqf funds in Indonesia is still low, while

Singapore which is a minority Muslim is able to utilize waqf funds optimally and productively. The

priority of regulatory issues is less supportive, because regulation is the basis or legal basis for the

management of waqf. The purpose of this research is to compare the regulation and management of

waqf management in Indonesia and Singapore, so that the implications of this research result can be

used as input for the development of waqf management in Indonesia. The research method used is

descriptive qualitative approach and a statute approach. The results of this research is waqf regulation

in Indonesia contained in Law No. 41 of 2004 and Government Regulation Number 42 of 2006 as

implementing regulations. Waqf regulations in Singapore are found in the Administration of Muslim

Law Act (AMLA) in the Act. No. 27 of 1966. Most of the management of waqf in Indonesia is still on

the property of waqf not moving like land, but in its development Indonesia is developing waqf of

movable property (cash waqf). The management in the development of productive waqf in Singapore

uses istibdal method which is applied in various forms to make waqf assets have high value and are

productive.

Keywords: Waqf, Regulation, Management


THE EFFICIENCY OF ZAKAT INSTITUTIONS IN INDONESIA IN 2012-2016

Suhail, Faqih Adam, A. Jajang W. Mahri


Abstract

This study aims to determine the level of efficiency of the zakat institutions for the period 2012-2016

and find out the causes of its inefficiencies. This study uses financial report from five zakat institutions

that are sampled, namely BAZNAS, Rumah Zakat, Dompet Dhuafa, PKPU, and Rumah Yatim. The

research method used is descriptive method with data envelopment analysis (DEA) technique. Based on

the results of research conducted it is known that in the period 2012-2016, zakat institutions conditions

in indonesia were not yet fully efficient. There are four zakat institutions that experience efficiency, and

there are 4 efficient zakat institutionss from 23 zakat institutions in general from 2012-2016, namely

Rumah Zakat 2015, 2016 and also PKPU in 2012, 2016, the rest are 15 zakat institutions which are not

yet fully efficient. The cause of the inefficiency in the zakat institutions was mainly due to the high

operational costs incurred and the still low receipt of zakat funds obtained and the distribution of zakat

funds were only used for the short term.

Keywords: Efficiency, Zakat Institution, Data Envelopment Analysis

ZAKAT COMPLIANCE BEHAVIOUR: GOOD CORPORATE GOVERNANCE WITH

MUZAKKIS TRUST APPROACH (SURVEY ON MUZAKKI OF THE NATIONAL BOARD

OF ZAKAT (BAZNAS) IN GARUT)

Nafillan Arofata Tsalas, A. Jajang W.Mahri, Rida Rosida


Abstract

Zakat is obligation for every muslim which should be done. Beside the religious orders, zakat is also

very influential for regional economic growth, especially the wealth distribution from each capable

individual to unable. In Indonesia, the discrepancy between the potential and realization of zakat funds

still being a phenomenon that must be resolved. One of the reasons why there is an imbalance between

the potential and realization of zakat funds is because of the disobedience of muzakki in paying zakat.

This research identifies the effect of good corporate governance implementation in zakat institutions on

zakat paying compliance through muzakkis trust in as a mediating variable. The number of samples used

was as much as 100 muzakki spread in several service offices in Garut. The sample was selected using

purposive sampling method with quota sampling technique. This study uses path analysis to identify

good corporate governance in zakat institutions towards zakat paying compliance through muzakkis

trust as a mediating variable by causality method. The results showed that Good corporate governance

and muzakkis trust in that zakat institutions were in the high category and muzakkis zakat paying in a

high compliance too.

Keywords: Zakat, Compliance, Trust, Governance


IMPLEMENTATION OF ZAKAT VILLAGE INDEX (SURVEY IN BINANGUN VILLAGE,

PATARUMAN SUB DISTRICT, BANJAR CITY)

Fitriyani Nurul Hakim, A. Jajang W. Mahri, Aas Nurasyiah


Abstract

This research is based on the problem of less precisely the target and empowerment programs conducted

by zakat management institutions both LAZ and BAZ. This study aims to build a conceptual model to

describe and measure the condition of a village in order to be eligible to be empowered as a zakat village

using the Zakat Village Index (IDZ). This study uses primary data and secondary data from village side

and by interview through village apparatus and direct observation to the field by visiting RT and RW so

the research is a descriptive quantitative research. There are five variables measured in this study, they

are economic, health, education, social humanitarian and dawah variables. The research was conducted

in Binangun Village, Pataruman Sub District, Banjar City. The calculation result of Zakat Village Index

(IDZ) indicates that Binangun Village is included in good condition and can be considered to be

empowered using zakat fund. Variables that have the lowest IDZ value are economic and health

variables. For the zakat institution that will empower the Binangun Village, can be more focused on the

two variables. Then for zakat management institution should use Zakat Village Index instrument (IDZ)

to determine the target of the program and to know the requirement of society exactly so that program

of channeling of zakat fund can be done effectively and efficiently.

Keywords: Community welfare, empowerment, Zakat Village Index

THE EFFICIENCY MEASUREMENT OF NATIONAL BOARD OF ZAKAT IN WEST JAVA

Aas Nurasyiah, Rida Rosida, Firmansyah


Abstract

This study aims to determine and measure the efficiency of BAZNAS regency/city in West Java. The

method used in this study is descriptive-comparative. The population of this study is BAZNAS

regency/city in West Java province with a total sample of eleven regency/city in West Java during nine

year (2010-2018) period. The data was analyzed using Data Envelopment Analysis (DEA). The results

indicated that there are 3 Decision Making Unit (DMU) that are efficient (100%) and inefficiency as

much as 53 Decision Making Unit (DMU). Bekasi City and Kuningan Regency are two zakat institutions

that are capable of achieving full efficiency. This means that the majority of Baznas regency/city in

West Java still have not achieved efficiency. Insights from this research to improve the efficiency of

zakat institutions, it must increase the input (zakat collection) and the operational professionalism of

zakat institutions.

Keywords: Efficiency, National Board of Zakat, Data Envelopment Analysis


CHAPTER 5: ISLAMIC MICROFINANCE

DETERMINANTS FACTORS OF NON-PERFORMING FINANCING IN ISLAMIC

MICROFINANCE INSTITUTION

Hayu Maulida, Bayu Arie Fianto


Abstract

This paper investigates the influence of aspects including socio-economics, geography, and financing

characteristics for non-performing financing using logistic regression models. The data used in this

study are secondary data obtained from the Islamic cooperative XYZ in Sidoarjo. The results showed

that age, sex, type of work, and type of contract had influenced the non-performing financing of Islamic

microfinance institution in Indonesia.

Keywords: Socio-Economic, Geographical Aspects, Characteristics of Financing, NonPerforming

Financing, Logistic Regression

SHARIA COMPLIANCE: CASE STUDY ON MURABAHAH PRODUCTS BMT ITQAN

Juliana Juliana, Feby Syahril Qudsi, Disman Disman


Abstract

This research aims to gain an overview of the empirical basis and proce how murabahah contarct

implementation and perception of the members against the sharia compliance murabahah product in

BMT ItQan. This research is distributed by many Islamic financial institution whose products have not

completely obeyed his murabaha against sharia compliance i.e. hasn’t submissive towards Al-Quran,

Hadith and fatwa of DSN-MUI. The research method used that is quantitative descriptive technique of

collecting data through questionnaires and interviews. The population in this research is a member of

BMT ItQan totalling 887 members with samples as much as 89 respondents and the object of this

research is sharia compliance on murabaha product. Technique of data analysis used i.e. univariate

methods of analysis (percentage score). Research findings show that: (1) the BMT ItQan in product

implementation the murabahah is included in the good category, though there are some points that are

still less of them, BMT ItQan yet convey all matters relating to the purchase and have not explained the

object of sale and purchase; and (2) the perception of members against the sharia compliance products

murabaha on BMT ItQan is in the good category, though there are some indicators that is less i.e. goods

murabaha belongs to BMT ItQan as well as objects that are supplied does not exist when signing the

contract.

Keywords: Sharia compliance, murabaha, fatwa of DSN-MUI


ECONOMIC EMPOWERMENT FOR POOR WOMEN USING GRAMEEN BANK MODEL

IN INDONESIA

Siti Inayatul Faizah, Uus Ahmad Husaeni


Universitas Suryakancana

Abstract

This research aimed at analysing the contribution of Islamic Microfinance which used Grameen Bank

model to the economic empowerment and poverty alleviation in Cianjur Regency. This research used

quantitative approach. Primary data were collected using questionnaires. While the secondary data were

derived from the annual report of the cooperative, Central Bureau of Statistics of Cianjur, journals and

other related literature. The sampling technique used was purposive sampling. The number of samples

used was 100 female poor respondents from all female members of Cooperative Dhuafa Mitra in 2017,

at Mande branch office, Cianjur Regency. The analytical technique used was Spearman correlation, and

KruskalWallis free sample test. This research concluded that Islamic Microfinance using Grameen Bank

model had positive contribution to economic empowerment of poor women. Financial capital and social

capital were the keys to success in empowering the poor community. Islamic microfinance using

Grameen model also had a significant relationship with poverty alleviation. This article also proved that

poverty could be overcome if economic development is run based on human development. The results

of this study strengthen the conclusions of Nasim Shah Shirazi and Aman Ullah Khan (2009), Rajesh

Kumar Shastri (2009), Muhammad Yunus (2008), Jahangir Alam Chowdhury (2008), Mohammad

Anwarul Kabir, Suman Dey and Mohammad Shamsal Islam (2012) Sadegh Bakhtiari (2006), as well as

Musa bin Mansour and Tawfiq Brahm Chaouch (2013) who stated that microloans are able to create

self-employment opportunities and have an impact on rural poverty reduction and unemployment. The

results of this study are different from the conclusions of JUJ Onwumere (2012), Anis Chowdhury

(2009), Dan Matovu (2006) and Katsushi S. Imai (2010) which stated that microfinance just increases

human capital, creates black spots and negatively impacts Women empowerment.

Keywords: Grameen Bank, Poverty, Economic Empowerment, Spearman correlation, and Kruskal-

Wallis.

DOES SOCIO DEMOGRAPHIC VARIABLES MATTER IN EXPLAINING ISSUES AND

CHALLENGES IN ISLAMIC MICROFINANCE? EVIDENCE FROM MALAYSIA

Marhanum Che Mohd Salleh, Salina Kassim, Siti Nadhirah Kassim

International Islamic University Malaysia

Abstract

Purpose In line with the wide acceptance of the microfinance industry globally, Islamic microfinance

has also evolved rapidly in the past years to cater for the demand for Shariah compliant microfinancing

schemes. Despite this, the industry is facing various issues and challenges from both the clients and

microfinance institutions. This study aims to identify the issues and challenges faced by different

demographic background of microentrepreneurs receiving Islamic microfinancing from Amanah Ikhtiar

Malaysia (AIM).

Keywords: Islamic Microfinance, Socio-demography, Islamic Finance, Amanah Ikhtiar Malaysia


CHAPTER 6: MANAGEMENT AND LEADERSHIP

CORPORATE SCIENCE AND FIRM VALUE: MODERATING ROLE OF BOARD

QUALITY

Gilang Puspita, Isnalita


Abstract

Indonesia faces the challenge of competing in a free market under the name of the ASEAN Economic

Community (AEC). With the enactment of the AEC, Indonesian companies face challenges to maintain

their domestic market share and expand their overseas markets on SEA. To win the global competition,

the company is strived to be able to build synergy with all existing stakeholders, so as to be able to read

opportunities in seizing existing market opportunities. The effort to win that competition, a company

must make some innovation. Innovation by the company can run well if the company is able to improve

the corporate science. Corporate science will provide insight for companies to improve their ability to

read the opportunities and be able to create efficiency in operating activities. The ability to read market

opportunities and increase efficiency will make it easier for companies to increase company value.

Corporate science will have a better impact when the company has a good quality management.

Management quality will be able to read the opportunities and be able to implement all corporate science

that is owned by the company so that it will have a higher effect on increasing the value of the company.

Keywords: Corporate Science, Firm Value, Board Quality

DETERMINANT OF ETHICAL ORIENTATION IN COLLEGE STUDENTS (CASE STUDY

ON STAR STUDENTS OF FINANCIAL AND DEVELOPMENT SUPERVISORY BOARD OF

AIRLANGGA UNIVERSITY)

Feriska Oktaviana Putri, Erina Sudaryati


Abstract

This study was conducted with a questionnaire distribution model. Populations in this study are STAR

students of Financial and Development Supervisory Board of Airlangga University Surabaya. The

samples in this study are 47 students. Hypothesis testing performed using Partial Least Square test with

the help of smart PLS version 3.0 software. The result of this study found that religiosity has a positive

influence on ethical orientation, but it was not proven significantly with p-values of 0.598 > 0.05.

Professional commitment variable has a positive influence on the ethical orientation, but not proved

significant with p-values of 0.140> 0.05. The locus of control variable has a positive influence on ethical

orientation, but it was not proven significant with p-values of 0.840 > 0.05. While variable of cognitive

moral development has a positive influence and proved significant with p-values 0.008 < 0.05.

Keywords: Religiosity, Professional Commitment, Locus of Control, Cognitive Moral Development,

Ethical Orientation


IMPULSE BUYING: THE EFFECT OF PRICE FAIRNESS, IN STORE PROMOTION,

MERCHANDISE AND TIME AVAILABILITY

H Haryanto, W Wiyono, Dwi Hastjarja KB

Management Department of Faculty of Economic and Business of Universitas Sebelas Maret

Abstract

Impulse buying is unplanned purchases but have a significant impact on retail sales. This study examines

the effect of price fairness, in store promotion and merchandise on impulse buying behavior. Research

respondents were taken purposively with the criteria of members of the population who had made

impulse buying. The population of this study is citizen of Surakarta who became consumers of the

national mini retail chain. Data collection using questionnaires that have passed the validity and

reliability test, while data analysis uses PLS SEM. The result of the study shows that Price Fairness, In

Store Promotion, and Merchandise variables influence impulse buying behavior, with a T statistic score

of 2,047; 2,537; and 2,104 respectively. The score is above the cut-off required for the 5% significance

level, which is a statistical T value of more than or equal to 1.96. Furthermore, the time availability

variable is not a moderating variable.

Keywords: Impulse Buying, Price Fairness, In Store Promotion, Merchandise, Time Availability, Retail

THE EFFECT OF TAX PLANNING, ASSET OF DEFERRED TAX, DFERRED TAX

EXPENSE ON PROFIT MANAGEMENT (CASE STUDY OF MANUFACTURING

COMPANIES LISTED ON THE STOCK EXCHANGE 2013-2017 PERIOD)

Srie Nuning Mulatsih, Nela Dharmayanti, Aisyah Ratnasari


Abstract

The purpose of this research is to know the effect of tax planning, deferred tax asset, and deferred tax

expense on earnings management of manufacturing companies listed in Indonesia Stock Exchange

(IDX) period 2013 to 2017. The sampling technique used in this study is purposive sampling. Data

analysis method used in this research is logistic regression analysis. The results of this study indicate

that simultaneous tax planning, deferred tax assets, and deferred tax expense do not have a significant

effect on earnings management. Partially tax planning has a significant positive effect on earnings

management. Deferred tax assets and deferred tax expense partially have no significant effect on

earnings management.

Keywords: Impulse Buying, Price Fairness, In Store Promotion, Merchandise, Time Availability, Retail

Tax Planning, Deferred Tax Assets, Deferred Tax Expense, Profit Management


AN ANALYSIS ON MANAGEMENT INFORMATION SYSTEMS OF LIBRARY AT SMK

MUHAMMADIYAH 2 MALANG

Sri Nastiti Andharini,Novi Puji Lestari,Novita Ratna Satiti,Kenny Roz

Universitas Muhammadiyah Malang

Abstract

The management information system is considered as a computer-based system to provide information

needs for the users. The information explains the working patterns of the company in the past, present,

and future events. This study aims at analyzing the problems found in the library at SMK

Muhammadiyah 2 Malang with various departments inside, such as Multimedia, Accounting, Office

Administration, and Computer Application. This study was a result of a case study with secondary data

collection.

Keywords: Information System, Library, Vocational School

THE IMPACT OF ISLAMIC VALUES IMPLEMENTATION ON ORGANIZATIONAL

COMMITMENTS TO HUMAN RESOURCES MANAGEMENT PRACTICES AT

UNIVERSITY OF MUHAMMADIYAH MALANG

Nazaruddin Malik, Sri Budi Cantika Yuli, Sudarti

Faculty of Economic and Business University of Muhammadiyah Malang

Abstract

This study aimed to discover the impact of Islamic values implementation on organizational

commitment to the practice of Human Resource Management (HRM) at University of Muhammadiyah

Malang (UMM). Islamic values are established on the principles of Islamic wisdoms, namely the faith,

sharia and morality. Organizational commitment as a practice of employee behavior towards the

organization comprises loyalty and achievement of the vision, mission, values and organization goals.

Organizational commitment includes affective commitment, continuance commitment, and normative

commitment. This study employed a qualitative approach and was conducted at University of

Muhammadiyah Malang (UMM). The subjects of this study were the employees of UMM. The type of

data used were primary and secondary data which were obtained through interviews, observation and

documentation. Subsequently, the entire data were analyzed by applying qualitative descriptive

technique. The results revealed that the implementation of Islamic values had an impact on the

organizational commitment primarily to the practice of Human Resource Management for employees at

UMM. HRM practices include the employee recruitment processes which requires prospective

employees to have strong and trustworthy personality (Surah An Nahl verse 78; Al Qashash verse 26;

Al Anfaal verse 27), the employee selection process that looking for candidates who meet the essential

requirements of honest, strong, and knowledgeable (Surah Al Baqarah verses 249-250; Al Anfaal verse

60), employees training and career development (Surah Al Baqarah: 30), performance appraisal (Surah

Al Kahf: 87-88), and compensation (Surah Al A Raaf: 85).

Keywords: Islamic Values, HRM Practice, Organizational Commitment


HOW ORGANIZATION ETHICAL VALUE AND ETHICAL LEADERSHIP INFLUENCE

ON RELIGIOUS COMMITMENT? A STUDY ON SHARIA BANKS IN INDONESIA

Titiek Ambarwati, Fika Fitriasari, R. Iqbal Robbie, Ardik Praharjo

Department of Management, Faculty of Economic and Business,


Abstract

The purposes of this study are to examine the influence of the organization ethical values on ethical

leadership and organizational commitment, the influence of ethical leadership on organizational

commitment and religiosity as a moderating variable on the relationship between ethical leadership and

organizational commitment which are carried out on Islamic banks in Pasuruan and Probolinggo,

Indonesia. This study uses a quantitative approach with the employees of state-owned and private

Islamic banks in Pasuruan and Probolinggo as the population. The total of 109 respondents was used in

this study. PLS is used to analyze the data collected. The results of this study show that the organization

ethical value has a significant influence on ethical leadership, ethical leadership has a significant

influence on organizational commitment and the effect of religiosity as moderating variable is also able

to moderate the interaction between ethical leadership and organizational commitment, however, there

is no significant effect between the organization ethical value on commitment. This study contributes to

the company that religiosity as moderation can influence organization to improve the relationship

between ethical leadership and organizational commitment.

Keywords: Religiosity, Organization Ethical Value, Ethical Leadership, Commitment

CUSTOMER-BASED BRAND EQUITY IN DIGITAL AGE: A CONSEPTUAL APPROACH

Fahmi Dharmawan, Heni Hendrayati


Abstract

Although there has been a lot of research done to understand how to create a corporate brand that can

generate profits for the company, there are still few studies that examine how brand equity is created

and measured in the digital era full of internet. This study aims to broaden the conceptual framework

regarding existing consumer-based brand equity by combining several constructs from a cognitive

perspective and also conceptual perspective on brand equity and implementing them in online -based

companies in the current digital era. Method e Spoken in research this is method descriptive, with p

Collecting data used is with use conceptual review that later on reference theory gained will made as

foundation basic in get results research. Results p enelitian put forward that in equity brand based on

consumers in the digital age need to be it is modification of the model from the equity model brand

traditional with add online elements like manufacture dna website enhancement and more emphasize on

trust consumers. Implications from p enelitian This, that must it is attention more big about How

company create ekuistas the brand on companies based online, so brand permanent will become the

main capital companies that can create Great value to company.

Keywords: Brand Equity, Consumer-Based Brand Equity, E-Commerce, Digital Era


DETERMINANTS OF CUSTOMER LOYALTY FOR MOSLEM FASHION: A STUDY THE

LARGEST MOSLEM POPULATION (INDONESIA)

Afifah Nur Millatina, Naily Rohmah, Irham Zaki

Postgraduate School Airlangga University

Abstract

The development of the fashion world experienced a significant increase in the last few decades.

Indonesia has a huge opportunity in the Muslim fashion sector when compared to other countries,

because the majority of the population is Muslim. The Indonesian government realizes that even

Indonesia is proclaimed to be a benchmark for world Muslim fashion in 2020. This is very possible

considering the Muslim fashion industry in Indonesia has experienced growth since the 1990s based on

data from the Organization of theIslamic Conference (OIC). One of the biggest brand s in Indonesia is

HijUp. This aims to analyze the effectof brand images and online promotion strategy on customer

satisfaction &loyalty. The analysis technique used is quantitative approach. The sample in this study

were 100 HijUp respondents, using the Maximum Likehood (ML) estimati on method. This research

uses Structural Equation Modeling (SEM) method with LISREL 8.72 measuring instrument. The results

of this study indicate the positive influence of brand image on customer satisfaction and customer

loyalty. Furthermore, there is a positive influence of online promotion strategies on customer

satisfaction, but there is a negative influence on customer loyalty. Furthermore, there is a positive

influence between customer satisfaction and customer loyalty.

Keywords: Brand Image, Online Promotion Strategy, Customer Satisfaction, Customer Loyalty,

Fashion Muslim

THE INFLUENCE OF HUMAN CAPITAL ON COMPANY PERFORMANCE WITH

CONSUMER CAPITAL AS AN INTERVENING VARIABLE

Amanda Rizca Aprillianti, Erina Sudaryati


Abstract

The purpose of this study is to examine the influence of human capital and company performance with

consumer capital as an intervening variable. Due to inconsistency in previous research, more study is

needed using different model and object from previous research. The populations in this study were

banking companies listed on the Indonesia Stock Exchange in 2011-2014. The data used for this study

were secondary data from the annual report of banking companies. From the 33 banking companies,

only 23 meet criteria. The hypothesis of this study was tested using PLS technique with smart PLS 3.0

software. The statistical test conducted showed that human capital has positive and insignificant

influence on consumer capital, consumer capital has positive and significant influence on company

performance, human capital has positive and significant influence on company performance directly,

and human capital has positive and significant influence on company performance through consumer

capital as an intervening variable.

Keywords: Human Capital, Consumer Capital, Company Performance


THE INFLUENCE OF HUMAN RESOURCE QUALITY, ORGANIZATIONAL

COMMITMENT, AND SUPPORTING DEVICE TO THE IMPLEMENTATION OF

ACCRUAL BASIS WITH REGULATION OF HOME AFFAIRS MINISTER

(PERMENDAGRI) UNDERSTANDING NO. 64 YEAR 2013 AS AN INTERVENING

VARIABLE

Selly Ika Setyawuri, Erina Sudaryati

Faculty of Economics and Bussiness, Airlangga University, Surabaya

Abstract

This study aims to find out the influence of human resource quality, organizational commitment, and

supporting device to the implementation of accrual basis by using an intervening variable that is

regulation of home affairs minister (permendagri) understanding. This study is expected to give

information about the importance of accrual-based Government Accounting Standards implementation

and to know factors that may influence the implementation of accrual basis for future improvements.

The objects of this study were financial officers located in Regional Work Unit (SKPD) of Mojokerto

District. Data collection of this study was used questionnaire instrument. Determination of sample used

purposive sampling technique. Total respondents were 94 people. The data collected then processed

used Smart PLS 3.0 application. The results showed that human resource quality has no significant

influence on the implementation of accrual basis; organizational commitment, supporting device, and

permendagri understanding have a positive significant influence on the implementation of accrual basis;

permendagri understanding can be used as an intervening variable in the relationship of human resource

quality and organizational commitment to the implementation of accrual basis, and also showed that

permendagri understanding cannot be used as an intervening variable in the relationship of supporting

device to the implementation of accrual basis.

Keywords: Human Resource Quality, Organizational Commitment, Supporting Device, Permendagri

Understanding, Implementation of Accrual Basis


THE INFLUENCE OF VIRAL MARKETING AND PRICE DISCOUNTS THROUGH

SOCIAL MEDIA INSTAGRAM TO PURCHASE DECISION ON MARKETPLACE SHOPEE

Teguh Maulana, Gugyh Susandy

STIESA Subang

Abstract

The rapidly evolving communications, media and informatics technologies and the widespread

development of the global information infrastructure have influenced the ways and patterns of business

activities in the trade, social and political governance industries. One of the technologies used by people,

organizations and companies is the internet. With the growing use of the internet in Indonesia is a

potential for business people in Indonesia, where as increasing internet users then this will also

encourage the growth of e-commerce in Indonesia. E-commerce activities in Indonesia penetrate various

activities from small-scale industry to large industries. Small-scale e-commerce activities are now

developing all over Indonesia, because of the availability of various way of kind to transaction online

with ease. Such as marketplace which is a combination of several online stores that sell in one place.

The purpose of this research is to know the influence of Viral Marketing and Discount Price through

social media instagram of Purchase Decision on Shope marketplace. The research method used is

descriptive method and explanatory survey. The sample selection was done by using purposive sampling

technique with the number of samples of 100 respondents. The data used is interval data. Statistical

method for data test using SPSS 22 for windows program. By using multiple linear regression analysis

obtained equation Y = 16.632 + 0,274X1 + 0,219 X2 + e. From the results of the research note that Viral

Marketing partially influence on the Purchase Decision but not for Discounts price, and Viral Marketing

and Price discounts simultaneously affect the Purchase Decision.

Keywords: Viral Marketing, Discount Price, Purchase Decision


THE MEDIATING EFFECTS OF JOB SATISFACTION ON EMPLOYEE LOYALTY: A

CASE STUDY OF A DEVELOPER COMPANY IN MALAYSIA

Zainuddin Zakaria, Mutiiah Mohamad, Md Noh Abd Majid, Nurul Ulfa Abdul Aziz, Kartini Mat

Rashid

Faculty of Business and Management, Universiti Teknologi MARA Terengganu,Dungun,

Malaysia

Abstract

Employees loyalty is being described as the ability of the employee or staff members of the organization

to stay and contribute well in their jobs for such a long term. In the recent years, resignation of employees

did show an increment in many companies in Malaysia. This research specifically study on a developer

company which is one of the constructions developers company in Johor, Malaysia The purpose of this

study is to investigate the factors of training, rewards and benefits and working condition as determinants

toward employee loyalty and how job satisfaction mediate the relationship between independent

variables and dependent variables as the factors that influence the employee loyalty in organizations. A

stratified sampling method was adopted as the sampling method and questionnaires is chosen as the

research instrument adopted previous researcher and adopt it into this research. Respondents of this

research consists of 155 respondents who are employees of the developer company. In general, we

conclude that employee loyalty in the developer company has positive relation between the working

condition, rewards and benefits, training and job satisfaction and confirms the partial mediation of Job

Satisfaction between the independent variables, rewards/benefits and training with employee loyalty.

Keywords: Employee Satisfaction, Employee Loyalty, Working Condition, Training, Malaysia


RECOMMENDATION AND REPURCHASE INTENTION FOR HEALTH SERVICE BASED

ON MEDICAL TOURISM

Ririn Tri Ratnasari, Sedianingsih, Ari Prasetyo, Hendarjatno


Abstract

The recent trend of many people moving to developing countries to do medical treatment because of the

cost factors offered by various developing countries of quality care at affordable prices, although

traditional patterns still continue. This raises opportunities for patients to use the best world-class health

services offered professionally and experienced, at the most advanced medical facilities in the field of

technology, and at affordable costs (Thilakavathy, 2015). Therefore, this study aims to determine the

determination of the intention to recommend and intention to reuse medical tourism-based health

services. The research method used is quantitative surveys and deepens the results by using in depth

interviews. The sampling technique in this study was non probability sampling, with a purposive

sampling technique. The number of samples in the pre survey and main survey research totaled 440

people. The second stage, conducted a pre survey, namely the distribution of questionnaires to 40

respondents. Then, the third stage was carried out by continuing with a closed-ended structure for 400

respondents consisting of 100 outpatients in hospitals in Surabaya, 100 consumers in Surabaya, and 200

consumers outside Surabaya Indonesia. The results of this study indicate that the quality of medical

services to patients and medical equipment technology have an effect on the intention to recommend

health services and the intention to reuse health services.

Keywords: Recommendation Intention, Repurchase Intention, Health Service Medical Tourism


HALAL FOOD CERTIFICATION TO IMPROVE THE COMPETITIVENESS OF SMALL

AND MEDIUM BUSINESSES IN EAST INDONESIA

Ririn Tri Ratnasari, Sri Gunawan, Sylva Alif Rusmita, Ari Prasetyo


Abstract

Indonesia is called feasible as a halal tourism center because the majority of its population

is Muslim. As Chookaew stated, the concept of halal tourism is an actualization of the Islamic concept

where halal and haram values are the main benchmark, this means that all aspects of tourism activities

are inseparable from halal certification which must be a reference for every tourism actor (Chookaew et

al., 2015). In tourist attractions SMEs can sell products as Indonesian characteristics, but if coupled with

the concept of halal tourism, the products sold by SMEs must certainly have halal certification. With

the existence of halal certification, of course, it will guarantee that the products sold are suitable for

foreign tourists who are very concerned about halal food or products. In addition there are also Muslim

tourists from non-Muslim countries such as Singapore and France. Kemenparekraf noted that the

number of Muslim tourist visits to Indonesia reached 1,270,437 people per year (Tourism, 2015).

According to Perdani & Chasanah (2018), the construction of a halal guarantee system is very important

because it is to safeguard products whose raw materials are not from Muslim countries. With halal

certification, SME products obtain added value so that they will increase the competitiveness of

Indonesian products in the international world. The purpose of this study is to find out what factors

influence and which factors play the most powerful role in influencing efforts to increase power.

competitiveness of Small and Medium Enterprises in Eastern Indonesia. The research design used in

this study is a qualitative method (by using a qualitative approach to case studies and data mining with

the method of depth interview). The data used in the second (qualitative) approach is one shot, which is

collected through data mining in the form of depth interviews and focus group discussions to key

informants. Informants as many as 12 SMEs and the Department of Industry and Trade as well as MUI

in the local area in Eastern Indonesia (Bali and Lombok). The result is the availability and conditions of

the business environment, business capacity, business performance, policy and infrastructure, research

and technology, and external support. The dominant factor is that policy and infrastructure want to

illustrate the extent to which the implementation of policies and infrastructure in locations around

MSMEs operate can support or hinder businesses to operate. In this case, there are several

measurement indicators, namely the application of legal policies, the application of economic policies,

the application of socio-cultural policies, and the completeness and availability of business supporting

infrastructure.

Keywords: Halal Food Certification, Competitiveness of Small and Medium Enterprises in

Eastern Indonesia


CHAPTER 7: ACCOUNTING

CRITICAL STUDY OF THE PRINCIPLES OF SHARIA THAT APPLIED IN ISLAMIC

ACCOUNTING IN MUDARABA AND MUSYARAKAH

Arim Nasim, Elis Mediawati

Department Accounting, Universitas Pendidikan Indonesia

Abstract

The existence of a Islamic bank in accordance with the Shariah principle has answered some of the

problems of the banking system in accordance with the will of the Muslims. In practice, customer

suspicions and dissatisfaction arise with Islamic Bank who have not fully implemented the Shariah

principles. The application of accounting to Islamic banking is currently still facing constraints caused

by internal and external factors. This study aims to find out the facts whether islamic accounting

principles have been applied in the preparation of financial statements as a basis for profit sharing so as

to realize justice and equity. Research methods used in this study are qualitative with Critical Theory

methods. The study was carried out on the concept of sharia accounting concepts applied by financing

with the scheme of syirkah Mudharabah and Musyarakah . The results of the study show that the

principles of sharia have not been fully included in the accounting principles for recording syirkah

transactions, even the results of the study show that the accounting principles used still use the principles

of capitalist accounting.

Keywords: Syariah Bank, Sharia Accounting, Quality of Financial Statement, Musyarakah,

Mudharabah

AGGRESSIVE FINANCIAL REPORTING, INDEPENDENT BOARD OF COMMISSIONER

AND TAX AGGRESSIVENESS

Anis Chariri, Indira Januarti, Etna Nur Afri Yuyetta, Agustinus Santosa Adi Wibowo

Faculty of Economics and Business, Universitas Diponegoro

Abstract

The relationship of aggressive accounting and tax aggressiveness has been seen as a debatable issue in

accounting literature because the findings are inconclusive, which then call for further studies. This

study aims at investigating the effect of aggressive financial reporting and independent board of

commissioners on tax aggressiveness. Using data from 200 annual reports of companies listed in the

Indonesia Stock Exchanges, as sample, which is then analyzed using a regression model, this study

shows interesting findings. Aggressive financial reporting and independent board of commissioners

significantly affect tax aggressiveness. The findings imply that accounting scholars should consider

contextual factors when researching aggressive accounting and tax aggressiveness. Finally, accounting

regulators need to consider the effect of accounting choices on individual behavior when reviewing the

existing accounting standard and publishing new accounting regulations for the purpose of reducing

aggressive financial reporting and tax aggressiveness.

Keywords: Aggressive Financial Reporting, Tax Aggressiveness, Board of Commissioner


THE EFFECT OF KNOWLEDGE, EXPERIENCE, AND PROFESSIONAL ACCURATENESS

IN DOING PROBITY AUDIT ON

GOVERNMENT GOODS/SERVICE PROCUREMENT FRAUD

Donny Hermawan, Hendarjatno

Fakultas Ekonomi dan Bisnis, Universitas Airlangga

Abstract

One of the highest corruption cases in Indonesia according to KPK (Corruption Eradication

Commission) is government goods/service procurement. The audits that has been conducted so far,

which is after the completion of procurement activities (post audit), is less effective to prevent the

occurrence of corruption on procurement of government goods / services. BPKP (Government Finncial

Supervisory Agent) has made a supervisory breakthrough through probity audit. With probity audit, all

on-going procurement activities are being supervised/audited. Thus, any deviations /frauds that may

occur during the procurement process of goods / services, can be detected as early as possible by the

probity auditor. This study aims to examine the influence of professional knowledge, experience and

accuracy in conducting probity audits either individually or simultaneously to the detection of fraudulent

procurement of government goods / services. The research was conducted by spreading questionnaires

to auditors at BPKP Representative of East Java Province, with 74 respondents fully-completing the

questionnaires. The results showed that individual knowledge and experience significantly influence the

detection of fraudulent procurement of goods/services while individual professional accuracy does not

significantly influence the detection of fraudulent procurement of goods / services. Simultaneously,

knowledge, experience and professional accurateness in conducting probity audit significantly influence

the detection of procurement of goods / services.

Keywords: Goods/Service Procurement, Probity Audit, Fraud detection, knowledge, experience,

professional accurateness, BPKP


THE INFLUENCE OF USING ACCOUNTING INFORMATION AND INFORMATION

TECHNOLOGY TO THE SUCCES OF THE WORKING PERFORMANCE

(A SURVEY FOR SUPERIOR PRODUCT OF THE SMALL MEDIUM ENTREPRISES IN

BANYUMAS REGION)

Fathul Aminudin Aziz, Hastin Tri Utami

IAIN Purwokerto Islamic Bussines And Economic Faculty

Abstract

This research aims to know the influence of using accounting information and information technology

influence to the success of the working performance on the Small Medium Enterprise (SMEs) who has

superior product in Banyumas region. The population of this research are the doers of the SMEs who

are in the superior product list in Banyumas region. In determining the sample, the researcher used

purposive sampling method. The number of the respondents in this research are 38 SMEs doers. The

hypothesis testing conducted multiple linear regression method. Based on the result of the analysis using

SPSS 25 version, it shows that the using of both accounting information and information technology

influence the success of the work performance positively. Besides, the result of this research also shows

that the using of accounting information and information technology level in SMEs doers in Banyumas

region is not optimum yet. The limitation of this research are 1) the analyzed factor is limited on internal

factor in the company 2) this research focused more on the answer of the questionnaire from the

respondents. Therefore, it is suggested to the next research can focus more on the deeper interview with

the respondent.

Keywords: Using of Accounting Information, Using of Information Technology, The Succes Of

Working Performance, SMEs


ACCOUNTING INFORMATION SYSTEM FOR CATTLE FEED CONTROL TO ACHIEVE

FEED CONSUMPTION EFFICIENCY

A.A. Gde Satia Utama, Rendra Prasetya

Department of Accounting, Faculty of Economic and Business,

Universitas Airlangga, Surabaya

Abstract

Dairy cattle farm of Mr. Djamil, located in the district of Ngantang Malang Regency, is engaged in dairy

cattle breeding and produces cows milk. The same as other dairy cows breeders, the rise in the price of

cattle feed, commonly called concentrate, is not counterbalanced by the rise in milk price causing the

farmers not to get maximum profits. Therefore, the breeders try to make efficient use of the concentrate

by creating innovations in combining dairy feed. The development of dairy cattle feed combination is

done so that the amount of milk produced by the dairy farmers is not reduced even though the

concentrate feed amount is minimized. The application of dairy cows feed control using the

Management Information System is expected to help dairy farmers to efficiently use concentrate and to

combine dairy cattle feed as a substitute for the concentrate. Based on this background, the purpose of

this study is to analyze the information system of cattle feed inventory at ranch of Mr. Djamil in

Ngantang by using Accounting Information System. This research uses qualitative exploratory approach

and performs interviews with Mr. Djamil as a dairy cattle breeder to obtain data. The analysis method

of this study is by comparing the cost price of cattle feed and the dairy cows milk selling price. The

result of the research indicates that dairy cattle farm of Mr. Djamil utilizes the dairy cows feed

combination simply through estimation and this can be recognized since the ranch is not achieving the

expected returns.

Keywords: Accounting Information System, Internal Control, Cattle Feed, Management Information

System


CHAPTER 8: ECONOMICS SCIENCE

THE IMPACT OF ROAD CONSTRUCTION PROGRAM: EVIDENCE FROM

EAST JAVA, INDONESIA 1Irim Tiara Puri, 2Rumayya

1Faculty of Economics and Business, University of Indonesia 2Faculty of Economics and Business, Airlangga University

Abstract

The purpose of the Jalan Lintas Selatan (JLS) construction program is to reduce the inequality between

the southern and the northern area in East Java. In order to measure the success of the road construction

program, this study aims to evaluate the socioeconomic impact on villages passed by the JLS. Especially

in Pacitan, Trenggalek and Tulungagung districts. This study uses Propensity Score Matching (PSM)

and Difference in Difference (DID) to evaluate the causal impact, while the data are obtained from

survey Potensi Desa (PODES) in 2008, 2011 and 2014. The findings of this study show that the road

construction program has a positive impact to the regions. Due to the construction, population density,

investments and job opportunities increased. It also shortens the distance of schools to the village center,

especially senior high school. Interestingly is it also decreased length to karaoke. However, we also find

that the road construction reduced the Own-Source Revenue (Pendapatan Asli Daerah) of the village

government.

Keywords: Road construction, Jalan Lintas Selatan, Propensity Score Matching, Difference in

Difference, Socioeconomic impact

THE RELATIONSHIP BETWEEN CRIMES AND ECONOMIC GROWTH

Hendra Kusuma, Happy Febrina Hariyani, Wahyu Hidayat

Faculty of Economics and Business, University of Muhammadiyah Malang

Abstract

Indonesia has abundant natural resources and human resources. Those diversities can accelerate the pace

of the economy. However, along with that, the number of crimes becomes a serious problem. This study

examines another angle in economic growth by using the number of crimes and economic variables in

influencing economic growth. Using panel data on provinces in Indonesia is expected to be able to

comprehensively see the relationship between Human Development Index, Investment, the level of

corruption and the level of crime against economic growth in Indonesia.

Keywords: Crimes, Human Development Index, Investment, Economic Growth


GREEN BUSSINES STRATEGY ON SEAWEED ENTERPRISES IN TARAKAN CITY

COASTAL 1S R Pratiwi, 2R Wahyuni, 3Mulyadi, 4M A P Siregar

1Faculty of Economics Borneo Tarakan University, Indonesia 2,3Faculty of Technology and Engineering Borneo Tarakan University, Indonesia

4Community Development Pertamina EP Asset 5 Tarakan Field, Indonesia

Abstract

The issue of green business is a small part of a big issue that actually has hit the headlines of economic

growth in the future, namely the sustainability of the business. The SME (Small and Medium

Enterprises) sector has an important role to make it happen. The development of MSMEs is one of the

efforts in the development of potential coastal communities. Micro Small and Medium Enterprises

(MSMEs) activities have an important role in realizing the sustainability business issue. The object of

this research is to analyze strategic planning in developing sustainable MSMEs through financial

analysis and SWOT analysis. The feasibility analysis analyzed using cost-benefit analysis (CBA). CBA

consist of Net Present Value (NPV), Internal Rate Return (IRR) and Benefit Cost Ratio (BCR). The

results show that this business is feasible and profitable, NPV is Idr.133,813,050, IRR value equal to

2.417, or bigger than prevailing bank interest is 13%, Net B/C Ratio of 3.29, BEP of 38 packs per month

and PBP of 4 months. The right development strategy used by processing seaweed MSMEs is a rapid

strategy by utilizing the existing strengths and opportunities. Strategies that can be done is increasing

cooperation between business actors and product diversification.

Keywords: Competitiveness, Financial Strategy, Coastal Communities, MSMEs

APPLICATION OF AUTOREGRESSIVE INTEGRATED MOVING AVERAGE FOR

IMPROVED URBAN WATER SERVICES IN SPECIAL REGION OF YOGYAKARTA 1Agustyarum Pradiska Budi, 2Mugi Raharjo, 3Evi Gravitiani

1Master of Economics Development, Economics and Business Faculty, Sebelas Maret University 2Economics and Business Department, Sebelas Maret University

Abstract

The problem of water in urban areas is a challenge that must be faced for the supply of water that is

balanced with the demand for water. In urban environments water problems are divided into two: the

level of low water coverage (water scarcity) and poor water quality. Both of these problems require

government attention so as not to have an impact on health and related social life. In this study, water

demand and supply data in the Special Region of Yogyakarta were collected for the 2008 and 2015

periods. Then, using the ARIMA Model to forecast water supply and demand during the period between

2015 and 2018. Forecasting results indicate that 2018 water supply has not been able to meet demand

water in 2015, while water demand continues to triple by 2018.

Keywords: ARIMA, Improved Water Services, Demand Water, Supply Water


PREDICTION THE NUMBER OF FOREIGN TOURIST ARRIVAL IN INDONESIA SHARIA

TOURISM ENTRANCE USING SIMULTANEOUSLY FOURIER SERIES ESTIMATOR 1M. Fariz Fadillah Mardianto, 2Lailatus Syarifah, 3Putri Andriani, and 4Eko Fajar Cahyono

1Study Program of Statistics, Department of Mathematics, Airlangga University 2,3Bachelor Student in Study Program of Statistics, Department of Mathematics, Airlangga University,

4 Department of Sharia Economic, Airlangga University

Abstract

Indonesia is the largest Muslim country in terms of population and area. Thus, it is natural that the sharia

tourism develops in Indonesia. In 2015, the Indonesian Ministry of Tourism established three provinces

in Indonesia as sharia tourism destinations. The three provinces are Nangroe Aceh Darussalam, West

Sumatra, and West Nusa Tenggara. Previously, Central Java, East Java, West Java and Banten provinces

have developed Islamic tourism areas. Islamic tourism in Indonesia contributes to increasing national

foreign exchange reserves, and empowering communities around tourism objects. Therefore, prediction

the number of foreign tourist arrival in Indonesia sharia tourim entrance is important to make a plan for

determine next regulation and target satisfied. The entrance that be used is Kualanamu, Minangkabau,

Soekarno Hatta, Adi Sucipto, Juanda, and Lombok Praya International Airport. Prediction that be done

simultaneously because Statistically there are correlations from the data in each entrance. The research

method used is nonparametric regression based on Fourier series estimator simultaneously, because the

data does not form a certain pattern and it is periodic. The results obtained from this study indicate that

estimator has satisfied the goodness of model, so it can be used to make prediction.

Keywords: The number of foreign tourists, Indonesia sharia tourism, Fourier series estimator,

nonparametric regression, Prediction

REMITTANCES AND ECONOMIC GROWTH: CASE FOR ASIAN COUNTRIES

Rossanto Dwi handoyo, Ryan Bangkit Simanjuntak

Department of Economics, Faculty of Economics and Business, Airlangga University

Abstract

This research aims to analyze the influence of remittance of migrant on economic frowth of the origin

country. We also scrunitize the affect of capital, population ratio, the ratio of school participation, and

the ratio of exports on economic growth in eight largest receiving countries of remittance in Asia which

are India, China, Bangladesh, Philippines, Indonesia, South Korea, Pakistan and Sri Lanka using

generalized method of momments (GMM). The results show that remittance have a positive and

significant influence on economic growth. The increasing number of remittance shipments will have an

effect on the countrys economic growth.

Keywords: Economic Growth, Remittance, Generalized Method of Momments


REFLECTION OF INDONESIAS ECONOMIC DEVELOPMENT THROUGH THE IBNU

KHALDUN SOCIAL ECONOMIC DYNAMICS APPROACH

Muhammad Sri Wahyudi Suliswanto, Setyo Wahyu Sulistyono,Zainal Arifin, Mohammad Faisal

Abdullah


Abstract

The concept of development in Islam can refer to the socio-economic dynamics previously initiated by

Islamic scholar Ibnu Khaldun and later developed by Umer Chapra. Therefore the purpose of this study

is to reflect economic development in Indonesia by using Ibnu Khalduns socioeconomic dynamics

model. The research method is qualitative descriptive in the form of interrelated elaboration between

concepts empirically on the meanings contained in a historical with the power of literature. Data sources

are secondary to library research and the situation phenomenology reflected in Indonesia.The results

obtained in this study are related to the direction of Indonesias development which has lost its direction

in determining development by focusing on political interests to replace the role of the state as the subject

of development in which each leadership era has changed the focus of economic development, where

each era has an explosion affecting economic life. conditions become more complicated when all

elements of government from the executive and legislative and bureaucracy act to prioritize moral

hazard such as corruption, only prioritize certain groups and the community acts as a tool of legitimacy,

where we all know in each era of leadership having policy thinking without considering sustainability.

Keywords: Economic Development, Thought of Ibnu Khaldun, Islamic Economy

ECONOMETRY MODEL OF THE IMPACT OF MACROPRUDENTIAL POLICY ON

POVERTY IN INDONESIA

Aris Soelistyo, Agung Prasetyo NW


Abstract

This study is about Poverty Alleviation which is associated with macroprudential policy (Net

Performance Loan and Asset BPR), Growth of Gross Regional Domestic Product Per Capita, Regional

Minimum Wage and Gini Ratio. Using the Panel Data Regression model for 33 provinces from 2014-

2016 in Indonesia. The results of the study revealed macroprudential policy through the control of the

Net Performance Loans, where an increase in NPLs would increase poverty by 0.242, while

macroprudential policy through BPR asset control would reduce poverty with a negative elasticity of

1.0712. The policy of increasing regional minimum wages and regional economic growth will reduce

poverty, while the inequality of income distribution results in an increase in poverty with a Gini Ratio

elasticity of significant poverty of 1.406728.

Keywords: Poverty, Gini ratio, Provincial Minimum Wages, Asset of Rural Banks, Non Performing

Loans, Economic Regional Growth, Macroprudential Policy


ANALYSIS OF EFFECT OF FOREIGN DIRECT INVESTMENT,

DEBT TO THE IMF AND STOCK VALUES AGAINST ECONOMIC GROWTH IN

DEVELOPING COUNTRIES MEMBERS OF

THE ORGANIZATION OF ISLAMIC COOPERATION (OIC)

Dwi Susilowati, Muhammad Khoirul Fuddin, Risky Angga Pramuja, Firdha Aksari Anindyntha, Novi

Primitasari


Abstract

The economic growth of Islamic countries in the last decade has a significant economic growth trend.

One of the causes of the increasing economic growth of the Islamic State of the OIC is the increasing

flow of foreign capital into developing Islamic countries, which has an impact on the rapid growth of

infrastructure in the country concerned. Debt to the IMF is also an alternative for the country to get cash

injections, this is also done by developing Islamic countries of the OIC member to get funds to increase

economic growth. Stock trading is also one of the key factors of economic activity in various countries,

including the developing Islamic countries of the OIC member. The purpose of this study is to see how

much is the influence of direct foreign investment, debt to the IMF and share value on economic growth

in the developing Islamic countries of the OIC member. The analytical tool used in this study is panel

data regression with a fixed effect model. As a result, foreign direct investment and stock value have a

significant positive effect on economic growth, while debt to the IMF has a significant negative effect

on economic growth.

Keywords: Foreign Direct Investment, Debt to the IMF, Stock Values, Economic Growth, Organization

of Islamic Cooperation (OIC)

PRIVATIZATION IN DEVELOPING COUNTRIES: A PROMISING DEVELOPMENT

STRATEGY?

Ilmiawan Auwalin


Abstract

This paper analyses privatization as one of development strategies in developing countries. In the last

two decades, there has been an increasing trend of privatizing state owned enterprises (SOE) in

developing countries. This paper clarifies that the process to decide the implementation of privatization

in a developing country is a complex issue. The decision to privatize is not merely weighing the potential

benefits of privatization, but also requires consideration of the circumstances of the country itself. The

prerequisite circumstances of privatization in developing countries, including macroeconomic stability,

the large role of the private sector, and low corruption level, will be discussed.

Keywords: Economic


FINANCIAL DEEPENING AND ECONOMIC GROWTH IN INDONESIA

Wasiaturrahma, Ramses Muhammad Rizal, Shochrul Rohmatul Ajija


Abstract

The purpose of this study is to analyze the impact of financial deepening on economic growth in

Indonesia. The time period studied for this research is from 1975 until2016. This study uses a

quantitative research approach in the form of statistics and econometrics regression data. The data used

is based on the annual time series data from 1975 until 2016. In this research, two models of testing are

used, namely ARDL (Autoregressive Distributed Lag) and ECM (Error Correction Model). The results

of this study indicate that financial deepening has a significant negative impact on economic growth in

Indonesia. The Broad Money, Government Expenditure and Trade Openness variables influenced the

variables of economic growth simultaneously in the period 1975-2016, but only the GDP and Trade

openness variables had a significant influence on the dependent variable of GDP during the researched

period. Therefore, Bank Indonesia (BI) needs to conduct further research on Broad Money trading (M2)

so that the function of economic depth can encourage the growth of GDP Indonesia. In addition, there

is a need for policies that will stimulate and facilitate foreign and domestic companies to sell their shares

on BEI (Indonesian stock exchange) so that they can be traded by people whose impact will increase

Indonesia economic growth.

Keywords: Financial Deepening, Monetary Economics, and Economic Growth

LABOUR SUPPLY AND SKILLS SHORTAGES IN AUSTRALIA

Ilmiawan Auwalina, Alick Nyasulub, Siwaporn Kittayaapinantc


Abstract

Australia is facing a problem of skills shortage that might impact on human capital. This may lead to

unsustainable economic and productivity growth. The problem is caused by a combination of factors,

such as low fertility rate, an ageing population and restricted immigration policy in recent times among

others. In order to address this problem Australian government applies some policies including

increasing skill migrants, extending the retirement age, increasing women participation in labour market

and so on. This paper discusses the Australian policies to address the skills shortage problem and analyse

the implications on the economy. In addition, the alternatives of the policies also will be

discussed.

Keywords: Economy


THE DETERMINANTS THAT INFLUENCE HOUSEHOLD DEBT CASE IN MALAYSIA

Nur Azwani Mohamad Azmin, Wan Nabihah Wan Zaidi and Zuraida Mohamad

Faculty of Business and Management, Universiti Teknologi MARA, Dungun, Terengganu, Malaysia

Abstract

The level of household debt in Malaysia may in turn cause another financial crisis as it is at worrying

stage. Therefore, the aims of this study is to identify the relationship between household debt and its

determinants as well as to determine the most significant factor that affect the household debt. The mode

of empirical investigation is Ordinary Least Square Method with the multiple regressions which are

applied to monthly time series data spanning from 2012 to 2016 for four variables such as Interest Rate,

Inflation, Unemployment Rate and Consumption. Data collected from Eikon Thomson Reuters and

Monthly Statistical Bulletin. The study implies that interest rate, unemployment rate and consumption

are positive and significantly related with household debt whereas the result illustrates an insignificant

yet positive relationship between inflation and household debt. As a conclusion, these findings bear

important implications for Malaysian policymakers

Keywords: Interest Rate, Inflation, Unemployment Rate and Consumption

ANALYSIS STRATEGY AND TARGETING TO SALES KURNIA WATCH

Muhammad Ridwan, Heny Hendrayati


Abstract

Muhammad Ridwan, 2018, Analysis Strategy and Targeting to Sales Kurnia Watch This study aims to

find out the empirical facts about the effect of the target analysis on the sale of Kurnia watches. This

research is based on the current conditions where everyone is so important with time, every day people

work tirelessly by always seeing the time they want to achieve. Especially the Clock as one of the items,

tools or media that can be used to see time as well as accessories are very important in everyday life.

All humans on this earth in their activities are racing at a time, especially in the millennial era, people

are not just see the time, but the fashion they use. With unique clocks, watches, walls and so on. Based

on research, watches are an icon that is in great demand by everyone. Not limited to age, anyone can

use the clock. The number of competitors seems to be a challenge, the brand that must be optimized

because currently around 65% of all clock products are produced by China. That way the clock brands

that have already been in production such as Japan, Switzerland, Germany must further improve the

quality of the product in the marketing strategy, so that the target that has been planned can be achieved.

Keywords: Startegy, Targeting and Sales


DOES MICROCREDIT BRING THE WOMEN INTO ECONOMIC WORLD: EVIDENCE

FROM BANGLADESH

Mohammad Abdul Matin Chowdhury, Marhanum Che Mohd Salleh, Sylva Alif Rusmita, Puji Sucia

Sukmaningrum

Kulliyyah of Economics & Management Sciences, International Islamic University Malaysia.

Faculty of Economics and Business, Universitas Airlangga.

The empowerment, entrepreneurship and education are the most imperative issues among

women to develop the country. Micro credit is one of the effective tools to eradicate poverty

among poor people through enhancing women empowerment, enhancing the entrepreneurial activities

and improving education level for both men and women. It has initiated the schemes to encourage

entrepreneurial activities along with developing education level and enhance the women empowerment

in the country. The main goal of this research is to inspect the improvement of women empowerment,

evaluate the development of entrepreneurship and the education level among micro credit borrowers in

Bangladesh. There are two hundred and thirty respondents were participated in this research. The data

were analyzed by the descriptive and multiple linear regression analysis. The results found that the

women empowerment slightly develops even though it is not significant statistically whereas the

entrepreneurship and education are negatively associated with micro credit programs. This research

influences the micro credit institutions to develop and focus on the application of loaned amount by

borrowers to affect significantly on women empowerment, entrepreneurial activities and education

level. Finally, this research is also

Keywords: Micro credit, women entrepreneurship, women empowerment, poverty alleviation,

Bangladesh

THE ANALYSIS OF MANUFACTURING SECTOR IN INDONESIA

Muryani, Leny Chiputyani

Departement of Economics, Airlangga University

Abstract

The development of sustainable manufacturing industries is the strategy and policy of Indonesia

government. The purpose of this research to examine and analyze the impact of labor, capital, material,

and energy consume in 2012-2015 to output of manufacturing industries sector based on 2 digits code.

The other purpose is to analyze and examine the factor affecting the output of manufacturing industries

sector and Total Factor Productivity. The methods that used in this research is regression with panel

data and TFP OLS. The result show that labor, capital, material, and energy consume have significant

positive effect to output f manufacturing industries sector, while the TFP result is positive.

Keywords: Labor, Capital, Material, Energy Consume


ANTESEDENTS AND CONSEQUENCES OF HEALTH PERFORMANCE BASED ON

PATIENT INTIMACY

Ririn Tri Ratnasari, Sri Gunawan, Muslich Anshori, Sri Herianingrum

Post Graduate Universitas Airlangga, Indonesia

Abstract

This study aims to determine the antecedents and consequences in order to improve the performance of

health services based on the patient intimacy perspective on the ISOcertified community health centers.

This research design uses approach methodology of combination of two method (mixed method) that is

qualitative exploratory methodology (data mining with depth interview method) and quantitative

methodology eksplanation (causality test). The samples used are patients who have checked their health

at ISO-certified clinics at least the last three months. Sampling technique in this research is purposive

sampling. The number of samples used was 440 outpatients consisting of 40 patients as respondents in

pre eliminary research and 400 patients as respondents in the main survey. While the analysis technique

used is Partial Least Square. The results of this study indicate that antecedents consisting of medical

services, non medical services, medical equipment technology, medical team communication,

management system, and physical environment, and consequences consisting of trust, satisfaction and

behavioral intention have been shown to improve the performance of health services based on patient

intimacy perspective at community health centers.

Keywords: Antecedents, Consequences, Health Service Performance, and Patient Intimacy

IMPROVING ACCESS TO DRINKING WATER IN DEVELOPING COUNTRIES: CASE

STUDY OF 10 COUNTRIES IN SOUTH-EAST ASIA

Agustyarum Pradiska Budi, Mugi Raharjo, Evi Gravitiani

Sebelas Maret University

Abstract

This article examines the effect of improved sanitation, economic growth, and an increase in the human

development index on improving access to drinking water in developing countries (10 South-East Asia

countries). This study uses data from 2000-2015 and analyzed using panel analysis and multiple linear

regression. The findings of this study in general the variables of sanitation improvement and HDI

improvement have a positive and significant effect on improving access to drinking water. In addition,

specifically sanitation improvement variables affect Bhutan and Nepal to improve access to safe

drinking water, while the GDP and HDI variables have no influence. While the three independent

variables do not have an influence on the dependent variable in the country of Bangladesh. Finally, this

study shows that improving access to drinking water can be affected by improved sanitation and

increased HDI, but improved access to drinking water is not affected by economic growth.

Keywords: Sanitation, Economic Growth, Human Development Index, and Improved Access to

Drinking Water


MEASURING EFFICIENCY IN SECONDARY SCHOOL: COMPARATIVE STUDY

BETWEEN NEW AUTONOMOUS REGION AND MOTHER REGION IN BANTEN

PROVINCE

Fitri Amalia

Universitas Islam Negeri Syarif Hidayatullah Jakarta

Abstract

This paper investigate the technical efficiencies of secondary school in Banten Provincies after

decentralization. Serang District and Tangerang District are the mother regions. While Cilegon City,

Serang City, Tangerang City, South Tangerang City is a decentralized new autonomous region.

Technical Efficiency measurement uses Data Envelopment Analysis (DEA) method by comparing CRS

and VRS models. DEA is the most popular method for efficiency measurement of decision making units

(DMUs). DEA compares several homogenous DMUs based on a number of input and output variables.

Measurement of the DEA method in this study uses input orientation. Efficiency scores were obtained

from 6 districts/cities as DMU. The input variable are specific fund allocation, number of school, number

of teacher, number of student, people of school age, teacher quallification, and teacher sertification.

Output variables are number of graduates, years of schooling, expected years of schoooling and net

enrollment rates as the output variables. In junior high school level, the most efficient are Tangerang

District, Cilegon city, Serang city and Tangerang Selatan city. The results of this efficiency score can

be used to compare the performance of the mother region with the performance of the new autonomous

regions. The three cities that have become new autonomous regions have been able to achieve efficiency,

even more than their mother regions, as happened in the city of Serang. In other words, regional

expansion is quite successful in the area. Unlike the case with the city of Tangerang, as a new

autonomous region that first bloomed compared to other cities in Banten, it turns out that the city of

Tangerang has not been able to create efficiency, even Tangerang district as the mother region is still

able to achieve efficiency. This condition is an illustration that the Cilegon city, Serang city and

Tangerang Selatan city can become a brenchmark for technical efficiency in Banten Province.

Keywords: Technical Efficiency, Decentralization, New Autonomous Region, DEA method, top down,

bottom up


ANALYSIS OF ECONOMIC GROWTH, BI INTEREST RATES, AND INFLATION AND

THE IMPACT ON FOREIGN DIRECT INVESTMENT (FDI) IN INDONESIA IN 2010 – 2017

Dadang Saepuloh, Srie Nuning Mulatsih, Sutarjo, Masruri


Abstract

Foreign direct investment (FDI) is a long-term investment for developing countries. FDI is very helpful

for Indonesia in economic development. Increased foreign investment can directly improve the living

standards of Indonesian people. Foreign investment can make a company capable of controlling

international business operations and increase more profits. Whereas indirect foreign investment in the

form of portfolio investment in the form of investments in financial assets such as stocks and bonds.

Foreign Investment (PMA) during the study period has a minimum value of 7.13 and a maximum value

of 9.44. Then obtained the mean or average value of 8.4341 and obtained the standard deviation value

of 74765. Judging from the standard deviation that has the highest value is the SBI, which is 1.05446,

this shows that SBI is more varied than other data. And the standard deviation that has the lowest value

is GDP, which is 0.24816, this shows that GDP is homogeneous compared to others. Based on the

calculation F Test is the Fcount value is 364,546. While the Ftable value is 2.92. Means that the Fcount

value is 364,546> Ftable 2,92. Then H0 is rejected and Ha is accepted. Based on a significance value of

0,000 smaller than 0.05. This shows that Gross Domestic Product, BIinterstrate, and Inflation have a

significant effect on FDI simultaneously.

Keywords: Foreign Direct Investment, Economic Development, Value

DOES DIVERSIFICATION AND EXECUTIVE COMPENSATION AFFECT CORPORATE

VALUES IN FAMILY FIRM: CASE OF INDONESIA

Habiburrochman, Wahyu Inayatul Fadilah, Siti Zulaikha, Noven Suprayogi

Departemen Akuntansi, Fakultas Ekonomi dan Bisnis Universitas Airlangga

Abstract

Free trade in the Asia-Pacific region (AFTA) and Southeast Asia (MEA) becomes a challenge for family

firms in developing their business activities. Strategies that can be taken by family firms to cope with

existing market pressures can be pursued by implementing a diversification and compensation strategy.

This study aims to explain and analyze the influence of diversification in related models, diversification

on unrelated models, and executive compensation to firm value. In this study the population taken is a

family firm in the manufacturing sector listed on the Indonesia Stock Exchange during the year 2012-

2016 amounted to 140. The important finding of the research is that the diversification in the related

model has no significant effect on firm value, the diversification on the unrelated model has no

significant effect on firm value, the executive compensation in the related diversified company has a

significant negative effect on firm value, then the executive compensation on the unrelated diversified

company has a significant positive effect on the value of the company.

Keywords: Related Diversification, Unrelated Diversification, Executive Compensation, Firm Value,

Family Firm


ACADEMIC PERFORMANCE OF UNIVERSITY STUDENTS: A CASE IN A HIGHER

LEARNING INSTITUTION

Wan Maziah Wan Ab Razak, Sharifah Alia Syed Baharom, Zalinawati Abdullah, Haslenna Hamdan,

Nurul Ulfa Abd Aziz, Ahmad Ismail Mohd Anuar

Faculty of Business Management,

Universiti Teknologi MARA Cawangan Terengganu, Malaysia

Abstract

This research is to identify the relationships and main factors of academic performance degree students

in a Higher Learning Institution. The researcher can see the increasing number of students did not

graduate on time based on the data provided and it means the students did not perform well in their

studies. This research was done by conducting a survey using the questionnaires were distributed to the

students in the campus based on list name given by head of faculty. The degree students involved were

from semester 4 and 5. The total of sample size is according to Krejcie & Morgan, (1970). The data

from questionnaires were analyzed by Statistical Package for the Social Science (SPSS) version 23. The

result analyzed using reliability analysis, frequency analysis, descriptive analysis, correlation analysis

and multiple regressions. The results from the analysis show that this variable will lead to the academic

performance towards degree students. The highest beta value is teaching and learning process. In a

conclusion, this research gives some valuable information to the researcher, organization and the reader

which is useful for basic knowledge. Moreover, the researcher also has recommended few strategies or

ideas such as teachers need to create more on the ideas of teaching process, the institution need to take

care of the students needs related to their learning process, and more concern on poor students in order

to help them in academic performance among degree students semester 4 and 5 in the university.

Keywords: Academic Performance, Teaching and Learning Process, Family and Peers influence,

Students’ Financial.


CHAPTER 9: OTHER RELEVANT TOPICS

LEGAL PROTECTION OF LENDERS IN THE IMPLEMENTATION OF FINANCIAL

TECHNOLOGY BASED ON PEER TO PEER LENDING 1Anita, 2Siti Zulaikha, 3Khofidlotur Rofiah, 4Risa Sari Pertiwi

1Master Programme of Law, Airlangga University 2Department Shariah Economics, Airlangga University

3,4Master Programme of Science in Islamic Economics, School of Postgraduate, Airlangga University

Abstract

Financial technology based on Peer to Peer Lending (P2PL-based Fintech) is one of the new

breakthroughs in financial services institutions in Indonesia. The presence of P2PL-based Fintech is a

solution for people who have not been touched by banking but have technology literacy. Therefore, the

majority of users are millennial young generation as business people. The parties in P2PL-based Fintech

consist of Lenders, Organizers, and Loan Recipients. But in practice, the legal relationship that is formed

between the lender and the organizer is only limited to the authorizer, then the lender with the recipient

of the legal relationship loan formed is the debt payable. Therefore, the loan agreement is only between

the lender and the loan recipient while the organizer as the facilitator who recommends, selects and

analyzes the loan provision is not included in the agreement, so the party vulnerable to loss is the lender.

Therefore the lender must be protected so that the funds are not lost due to misuse of the organizer or

due to the default of the recipient of the loan. This Normative Research uses two approaches namely the

law and conceptual approach. The research results are that there are two preventive legal protections for

lenders regulated in OJK Regulation No.77/PJOK.01/2016 concerning Information Technology-Based

Lending and Borrowing Services and repressive protection in article 37 PJOK. The implications of this

research are to provide guidelines for parties in implementing P2PL-based Fintech, especially legal

protection for lenders and the prudential principle of the organizers in distributing funds.

Keywords: Legal protection, Fintech, Peer to Peer Lending


FACTORS TOWARDS VOLUNTARY TURNOVER AMONG EMPLOYEES IN MALAYSIA

BANKING INSTITUTION

Nurul Ulfa Abdul Aziz, Zalinawati Abdullah, Wan Maziah Wan Ab Razak, Zainuddin Zakaria, Haszri

Faridzuan Bin Zafril, Marha Abdol Ghapar

Faculty of Business Management,

Universiti Teknologi MARA Cawangan Terengganu, Malaysia

Abstract

Voluntary Turnover refers to the decision of an employee to leave their organization based on their own

intention and self-control. Thus this condition may give negative affects to one organization in terms of

monetary, productivity and time deficit. The paper aimed to explore the relationship between factors

namely job satisfaction, career adaptability, turnover intention and pay towards voluntary turnover in

the banking sector. Self-administered questionnaire is distributed randomly among respondents from

several departments known as Human Resources, Marketing, Retail Rehabilitation, Branch Operation

Processing, Treasury and Investigation Audit. The study uses SPSS (Scientific Package for Social

Sciences) to specified frequencies distribution, reliability analysis, correlation coefficient (Pearson’s)

and regression analysis. The analysis proved that there is a significant relationship between voluntary

turnover and three independent variables (job satisfaction, career adaptability and turnover intention).

The result revealed that the turnover intention is the most influence factor toward voluntary turnover.

Keywords: Voluntary Turnover, Job Satisfaction, Career Adaptability, Turnover Intention, Pay

WEB MARKETING METHOD FOR MICRO SMALL MEDIUM ENTERPRISES IN

TARAKAN CITY 1D Harto, 2S R Pratiwi, 3M N Utomo, 4M Rahmawati

1Faculty of Technic Borneo Tarakan University, North Kalimantan, Indonesia 2,3,4Faculty of Economics Borneo Tarakan University, North Kalimantan, Indonesia

Abstract

SMEs have a significant role for the community welfare. The Sector enables to absorb a large enough

workforce and provide opportunities for SMEs to grow and compete with companies that are more likely

to capital intensive. The purpose of this activity is to improve the marketing management aspects that

impact on increased sales. The object is the Snack Food Business In Tarakan City includes Bude Ram

and Ar-Raihan. The main problem of the two partners is the partners are not focused on marketing

management, more relies on the conventional marketing such as goods ordering system, nearest store

care, and sales in its own store, causing stagnant product sales. The proposed solution is to apply the

management and marketing techniques by using internet (online) media. The results of activities

obtained there is increasing understanding of the importance of technology to the business, increasing

ability in internet technology management, improvement in market absorption, Improved

communication skills for partners in managing websites and Social Media Marketing, i.e. the partners

ability to communicate products and product brands to have a list of regular customers on a website that

has the potential to make a sustainable product purchase.

Keywords: Marketing Aspects, Business Management, Technology Approach, SMEs

Documents

SUSTAINABILITY AND. Welcome Speech of Rector of UNAIR (Vice Rector) of UNAIR and OPENING Entertainment: Banjari 10:15 am – 10:25 am Keynote Speech Head of Regional East Java "Bank