Journal of Social Economics Research

From ideals to action: Pancasila's impact on micro business antifragility in Indonesia through performance enhancement

Diah Ayu Septi Fauji, Heri Pratikto, Agung Winarno, Puji Handayati — Fri, 25 Oct 2024 00:00:00 -0500

This research aims to evaluate the impact of Pancasila-based performance on the antifragility level of micro and small enterprises (MSEs) in Indonesia. It specifically figures out the most important aspects of Pancasila-based performance that are linked to antifragility and checks how much using Pancasila values in managing MSEs makes them better at handling problems and disasters. The study used a quantitative research approach. Meanwhile, we collected the data through a questionnaire from 220 MSEs in two cities in East Java, Indonesia, using proportional random sampling. Structural Equation Modelling (SEM) was employed to analyze the data. The finding indicated that Pancasila- based performance positively and significantly influences the antifragility level of MSEs in Indonesia. The research provides a new and original contribution to developing more sustainable, inclusive, and nationally appropriate business strategies for assessing antifragile business performance. Our research provides valuable insights into the significance of enhancing antifragility levels for Indonesia's MSEs. By measuring antifragile business performance, this study contributes to developing more sustainable, inclusive, and nationally aligned business strategies.

The determinants of foreign direct investment in conflict-prone environments: A case study of Palestinian territories

Mohammad Aref Mohammad Ibrahim — Fri, 15 Nov 2024 00:00:00 -0600

The purpose of this paper is to investigate the complex relationship that exists between foreign direct investment (FDI) and armed conflict intensity, specifically in the Palestinian territories during the ongoing conflict with Israel. It examines various determinants, including market size, trade openness, labor cost, inflation, infrastructure, and fixed capital formation. Using available quarterly data from Q1 2010 to Q3 2023 and using EViews 13 software, the study adopted the Autoregressive Distributed Lag (ARDL) estimating model approach. The study concludes that the intensity of the armed conflict has a conclusive negative impact on the volume of foreign direct investment flow to Palestinian territories. It was also found that market size, trade openness, and gross capital formation are the main determinants contributing to the inflow of FDI and mitigating the negative impact of armed conflicts. Additionally, the study reveals that escalating conflict and Israeli occupation severely limit infrastructure access, contributing to its degradation and hindering foreign direct investment. It recommends that policymakers in conflict-affected areas prioritize peacebuilding and implement risk-reduction strategies to enhance political stability, promote GDP growth, increase trade openness, and improve infrastructure.