Analysis of the Effect of Pricing Policy, Investment Decision Making, and Service Quality on Financial Performance in Financial Services Companies in West Java

Authors

  • Ervina Kaligis Sekolah Tinggi Ilmu Ekonomi Widya Darma Kotamobagu
  • Loso Judijanto IPOSS Jakarta, Indonesia
  • Efa Irdhayanti Jurusan Manajemen Fakultas Ekonomi dan Bisnis Universitas Tanjungpura

DOI:

https://doi.org/10.58812/wsshs.v2i02.684

Keywords:

Financial Services, Pricing Policy, Investment Decision-Making, Service Quality, Financial Performance

Abstract

This research investigates the intricate interplay between pricing policy, investment decision-making, service quality, and financial performance within financial services companies in West Java. Employing a quantitative research design, data was collected from 152 companies through a structured survey and analyzed using Structural Equation Modeling with Partial Least Squares (SEM-PLS). The measurement model confirmed the reliability and validity of the chosen indicators, while the structural model unveiled significant relationships. Results indicate that strategic pricing policies, informed investment decisions, and high service quality positively influence financial performance. The synergistic effect of integrating these elements contributes to a comprehensive understanding of the strategic dynamics in West Java's financial services sector.

References

Y. Iskandar, H. F. Ningrum, and B. M. B. Akbar, “PERAN FAKTOR INTERNAL DAN EKSTERNAL PADA KINERJA KEUANGAN PERUSAHAAN RITEL,” J. Ilm. MEA (Manajemen, Ekon. Akuntansi), vol. 4, no. 2, pp. 36–45, 2020.

- Kurniawan, A. Maulana, and Y. Iskandar, “The Effect of Technology Adaptation and Government Financial Support on Sustainable Performance of MSMEs during the COVID-19 Pandemic,” Cogent Bus. Manag., vol. 10, no. 1, p. 2177400, 2023, doi: https://doi.org/10.1080/23311975.2023.2177400.

E. Dilah, D. Rahmah, and Y. Iskandar, “The Effect of Profitability and Financial Risk on Earning Management of Mobile Telecommunication Operators That Registered in Indonesia Stock Exchange Period 2015 - 2018,” vol. 2021, pp. 362–368, 2021, doi: 10.11594/nstp.2021.1041.

Y. Iskandar, J. Joeliaty, U. Kaltum, and H. Yudomartono, “Key Factors Affecting Social Enterprise Performance: A Literature Review,” J. Dev. Entrep., vol. 28, no. 02, p. 2350015, 2023.

T. Msimango, “Investigating the economic impact of the financial services sector’s support for the country’s uninsured population.”.

A. Popović, “VRSTE FINANSIJSKIH USLUGA I ZAŠTITA KORISNIKA FINANSIJSKIH USLUGA,” XIX majsko savetovanje, Prav. Regul. usluga u Nac. Zak. i pravu Evr. Unije, 2023.

M. I. Lestari, “A FUNDAMENTAL KNOWLEDGE FOR ACCELERATING CAREER IN FINANCIAL INDUSTRY,” J. Abdi Mandala, vol. 2, no. 1, pp. 28–40, 2023.

A. Elshifa, M. A. C. Perdana, T. F. Matiala, F. Yasin, and S. Mokodenseho, “Analisis Pengaruh Pendidikan, Pelatihan, dan Dukungan Kelembagaan terhadap Keberhasilan Usaha Mikro,” Sanskara Ekon. Dan Kewirausahaan, vol. 1, no. 03, pp. 123–134, 2023.

J. Zhang, “Research on the International Competitiveness of China’s Financial Services Trade,” Front. Business, Econ. Manag., vol. 7, no. 3, pp. 209–212, 2023.

F. Faiqoh, S. Naim, D. Rahmanudin, F. A. Hayati, and S. Mokodenseho, “The Effect of Reward and Punishment Policy on the Productivity of BPJS Health Employees Kotabumi Branch Office,” Tadbir J. Stud. Manaj. Pendidik., vol. 6, no. 1, p. 49, 2022.

S. Claessens, “Competition in the financial sector: Overview of competition policies,” World Bank Res. Obs., vol. 24, no. 1, pp. 83–118, 2009.

M. G. Angur, R. Nataraajan, and J. S. Jahera, “Service quality in the banking industry: an assessment in a developing economy,” Int. J. bank Mark., vol. 17, no. 3, pp. 116–125, 1999.

T. P. Nugrahanti and A. S. Jahja, “Audit judgment performance: The effect of performance incentives, obedience pressures and ethical perceptions,” J. Environ. Account. Manag., vol. 6, no. 3, pp. 225–234, 2018.

M. B. Legowo, H. D. Widiiputra, and T. P. Nugrahanti, “Pelatihan Penyusunan Laporan Keuangan Berbasis Aplikasi Digital Untuk UMKM di Wilayah Jakarta Timur,” J. Abdimas Perbanas, vol. 2, no. 2, pp. 76–90, 2021.

H. Ashari and T. P. Nugrahanti, “Apakah Terjadi Perpindahan Simpanan Nasabah Bank Kecil Ke Bank Besar (Flight to Quality) Pada Saat Krisis Pandemi Covid-19?,” Akuntabilitas, vol. 14, no. 2, pp. 215–230, 2021.

O. Bohuslavskyi and T. Nikitina, “BASIC CONCEPTS OF THE PRICING POLICY IN THE HOTEL AND RESTAURANT BUSINESS AND THEIR CLASSIFICATION,” Black Sea Econ. Stud., Jan. 2023, doi: 10.32782/bses.80-11.

F. Abidin, A. Jamaluddin, V. Tanggamani, S. Nadia, and A. Sapari, “Pricing Strategies: Determining the Best Strategy to Create Competitive Advantage,” Int. J. Acad. Res. Bus. Soc. Sci., vol. 13, Jun. 2023, doi: 10.6007/IJARBSS/v13-i6/17593.

M. Skitmore and H. Smyth, “Marketing and pricing strategy,” Constr. Supply Chain Manag. Concepts Case Stud., pp. 92–111, 2009.

S. Gordon, “Determinants of Sustainable Capital Budgeting Practice: A Structural Equation Modelling Approach,” Glob. Conf. Bus. Soc. Sci. Proceeding, vol. 13, p. 1, Jun. 2022, doi: 10.35609/gcbssproceeding.2022.1(52).

S. Mokodenseho and T. L. Puspitaningrum, “Relasi sosial-ekonomi dan kekuasaan antara rentenir dan pedagang pasar tradisional di jawa tengah,” Polit. J. Ilmu Polit., vol. 13, no. 1, pp. 41–58, 2022.

R. Melinda and S. Efendi, “Pengambilan Keputusan Dalam Berinvestasi Di Pasar Modal,” J. Mhs. Akunt. Samudra, vol. 3, no. 1, pp. 60–67, 2022.

M. A. C. Perdana, N. W. Sulistyowati, A. Ninasari, and S. Mokodenseho, “Analisis Pengaruh Pembiayaan, Skala Usaha, dan Ketersediaan Sumber Daya Manusia terhadap Profitabilitas UMKM,” Sanskara Ekon. Dan Kewirausahaan, vol. 1, no. 03, pp. 135–148, 2023.

J. E. Ingersoll, Theory of financial decision making, vol. 3. Rowman & Littlefield, 1987.

F. Zuhriyah, S. Naim, D. Rahmanudin, F. Widjayanto, and S. Mokodenseho, “The role of village government policies in improving the economy in sumbermulyo village,” J. Kewarganegaraan, vol. 6, no. 2, pp. 3975–3983, 2022.

M. S. Ahmed and G. A. Hussein, “THE IMPACT OF INVESTMENT DECISIONS ON FINANCIAL PERFORMANCE EMPIRICAL STUDY IN BANKING SECTOR OF IRAQ”.

J. Afriany and A. Hakim, “Pengaruh Terhadap Financial Literacy, Resiko Toleransi, Kemampuan Managemen Resiko Dalam Keputusan Investasi,” Ekon. Keuangan, Investasi Dan Syariah, vol. 2, no. 2, pp. 170–176, 2021.

B. Setyadi, S. Helmi, and S. I. bin Syed Mohamad, “Customer Satisfaction Mediates the Influence of Service Quality on Customer Loyalty in Islamic Banks,” Int. J. Islam. Bus. Econ., vol. 7, no. 1, pp. 25–36, 2023.

B. Setyadi, S. Helmi, E. Elpanso, and D. Paningrum, “The Influence of Service Quality on Customer Loyalty Is Mediated by Customer Satisfaction in Islamic Bank,” WSEAS Trans. Financ. Eng., vol. 1, pp. 68–79, 2023.

S. Nikou, H. Bin Selamat, R. M. Yusoff, and M. M. Khiabani, “Service quality, customer satisfaction, and customer loyalty: A comprehensive literature review (1993-2016),” Int. J. Adv. Sci. Tech. Res., vol. 6, no. 6, pp. 29–46, 2016.

A. Jashireh, A. Slambolchi, and H. Mobarakabadi, “A literature review of service quality and customer satisfaction,” Adv. Soc. Humanit. Mangement, vol. 3, no. 2, pp. 1–12, 2016.

A. Monica and Y. Yusrizal, “Pengaruh Kualitas Pelayanan terhadap Loyalitas Nasabah di PT Prudential Syariah Binjai,” El-Mal J. Kaji. Ekon. Bisnis Islam, vol. 4, no. 4, pp. 1137–1146, 2023.

Downloads

Published

2024-02-29

How to Cite

Kaligis, E., Judijanto, L., & Irdhayanti, E. (2024). Analysis of the Effect of Pricing Policy, Investment Decision Making, and Service Quality on Financial Performance in Financial Services Companies in West Java. West Science Social and Humanities Studies, 2(02), 324–331. https://doi.org/10.58812/wsshs.v2i02.684

Issue

Vol. 2 No. 02 (2024): West Science Social and Humanities Studies

Section

Articles

License

Copyright (c) 2024 Ervina Kaligis, Loso Judijanto, Efa Irdhayanti

Creative Commons License

This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.