Good Corporate Governance Mechanism and Bank’s Financial Performance: Evidence In Indonesia

DOI

10.2991/icebef-18.2019.129How to use a DOI?

Keywords

GCG; financial performance; structural equation modelling

Abstract

The purpose of this study is to analyze the impact of GCG mechanism on the financial performance of going public banks in Indonesia.235 observations were conducted based on purposive sampling in the period of 2005-2014. This research uses data analysis technique of Structural Equation Modeling (SEM).The results of this study conclude that: (1) The measurement model showed better fit and convergent validity (2) The measurement model alsoshowxs different constructs because the correlation between the constructs is smaller than 0.9; (3) Good Corporate Governance mechanism has a positive and significant effect on the financial performance of going public banks in Indonesia.

Copyright

© 2019, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

Download article (PDF)

TY  - CONF
AU  - Abel Tasman
AU  - Fifka Amelia Susanti
PY  - 2019/05
DA  - 2019/05
TI  - Good Corporate Governance Mechanism and Bank’s Financial Performance: Evidence In Indonesia
BT  - Proceedings of the 1st International Conference on Economics, Business, Entrepreneurship, and Finance (ICEBEF 2018)
PB  - Atlantis Press
SP  - 603
EP  - 607
SN  - 2352-5428
UR  - https://doi.org/10.2991/icebef-18.2019.129
DO  - 10.2991/icebef-18.2019.129
ID  - Tasman2019/05
ER  -