The Impact of Local Culture on Financial Performance in Property Firms in Bali

Abstract

The research studies local culture reflected through pray, hard work, honesty, tatwamasi and gotong royong influencing property sales and company assets. Fifty companies are qualified as sample of sixty one property companies actively operated in 2013. Data is collected through questionnaire having tested for its reliability and validity before distributed to those fifty companies. The collected data is analyzed with multiple regression. Result shows that hard work, honesty, tatwamasi and gotong royong culture that well implemented are able to improve property sale and assets ownership. Result of the study has implication that in order to improve financial performance, local culture should be included as variable in performance measurement. Result of the study gives contribution to Schein's organizational culture (2004) that colored with local culture; therefore, values believed in an organization are able to improve performance.

Information Technology Implementation on Socialization of Harmonious Culture in Bali

“…The closeness to God reflected in the attitude that puts the LPD managers' harmonization in providing credit services. Sincere service without imposed will encourage closeness to customers and the added confidence that if we do good will obtain good results (karmapala) Astawa and Sudika (2014). Through sincere service raises heart closeness between customers with LPD that will encourage honesty to occupy all the agreements made so that the performance can be increased (Yaron et al, 1997;.…”

“…The concept of harmonious relationship with environments provides benefit to the value of the company and supports the government's green program. This concept is already a famous Balinese culture with compassion Olas (Astawa and Sudika, 2014) meaning that damage the environment means damage to the company, thus safeguarding the environment is a must.…”

“…Therefore, institutions have an important role because it can create a structure in everyday life by defining and limiting a set of options that are owned by individuals and organizations. Astawa and Sudika (2014) examined cultures such as praying, honest, hard work, mutual cooperation, and tatwamasi in associate with the financial performance of the company property in Bali. Results of the study showed that culture such as praying, honest, hard work, mutual cooperation, and tatwamasi have a positive effect on improvement of financial performance.…”

The Impact of Harmonious Culture and Entrepreneurship Training on Loan Repayment Performance at Microfinance in Indonesia

“…One of the organizational cultures that come from the local culture is the harmony culture called tri hita karana culture which is run on the business of tourism (Astawa et al, 2018& Surya et al, 2017. This culture is acknowledged by the World Tourism Organization (WTO) in conducting Tourism business in Indonesia and as an organizational culture (Astawa et al, 2018;Surya et al, 2017;Shahzad et al2017;Astawa & Sudika, 2014;Saputra, 2012) . A culture of harmony is universal which promotes harmonization of God, man, and nature.…”

“…Harmonious culture develops into an organizational culture based on several types of research by Astawa, (2013); Astawa and Sudika, (2014);PutuAstawa et al (2016) that found that harmonious culture called tri hita karana (THK) had a significant influence on the improvement of the company's performance and it was implemented well in Bali. The culture has an important role in decreasing the credit risk level in village credit institution (Astawa et al, 2013).…”