Main Article Content

Abstract

The purpose of this study is to examine the synergistic effects of tax policies, Human Resource Management (HRM) practices, and strategic marketing initiatives on organizational financial performance, with a focus on understanding how these elements interact to enhance market competitiveness and operational efficiency in a rapidly evolving business environment. This study employed a descriptive correlational research design to investigate the synergistic effects of tax policies, HRM practices, and strategic marketing initiatives on organizational financial performance. The study utilized Structural Equation Modeling with Partial Least Squares (SEM-PLS) to analyze the complex relationships among these variables, capturing data from a cross-sectional sample of 245 valid responses from middle to large-scale enterprises. Data were collected via a structured online survey that included both validated scales and newly developed items tailored to the constructs of interest. The analysis proceeded in two stages: first, assessing the measurement model for validity and reliability, and second, evaluating the structural model to test the hypothesized relationships. SEM-PLS was chosen for its ability to handle complex models with latent variables, even with small to medium sample sizes, providing robust insights into the factors that drive organizational financial performance.  The results of this study reveal significant relationships between HRM Practices, Strategic Marketing Initiatives, Tax Policies, and Organizational Financial Performance, with Market Competitiveness and Operational Efficiency acting as critical mediators. The indirect effects further supported these findings. HRM Practices, Strategic Marketing Initiatives, and Tax Policies all indirectly contributed to Organizational Financial Performance through Market Competitiveness and Operational Efficiency, with all paths showing statistical significance. These results emphasize that the synergistic alignment of HRM, marketing, and tax strategies is crucial for achieving superior financial outcomes, with Market Competitiveness and Operational Efficiency serving as essential pathways in this process.

Keywords

Tax Policies HRM Practices Strategic Marketing Organizational Performance Sustainability

Article Details

How to Cite
Putra, A. H. P. K., Mariam, S., Rozamuri, A. M., & Yusuf, M. . (2024). Exploring the Synergistic Effects of Tax Policies, HRM Practices, and Strategic Marketing on Organizational Financial Performance: A SEM-PLS Analysis. Atestasi : Jurnal Ilmiah Akuntansi, 7(2), 1258–1287. https://doi.org/10.57178/atestasi.v7i2.947

References

  1. Aaker, D A. (1992). The Value of Brand Equity. Emerald Publishing Limited, 13(4), 27-32. https://doi.org/10.1108/eb039503
  2. Calder, B J. (2020). Brands: An Integrated Marketing, Finance, and Societal Perspective. Now Publishers, 14(4), 237-316. https://doi.org/10.1561/1700000064
  3. Cronin, J J., & Page, T J. (1988). An Examination of the Relative Impact of Growth Strategies on Profit Performance. Emerald Publishing Limited, 22(1), 57-68. https://doi.org/10.1108/eum0000000005268
  4. Garbarino, C. (2011). Aggressive Tax Strategies and Corporate Tax Governance: an Institutional Approach. De Gruyter, 8(3). https://doi.org/10.1515/ecfr.2011.277
  5. Gile, P P. (2013). The Effect of Human Resource Practices on Employee Performance in Hospitals: A Systematic Review. PAGEPress (Italy), 2(1). https://doi.org/10.4081/wpph.2013.6756
  6. Haiming, J., & Kim, E. (2022). Characteristics of top management team and Chinese tax planning nexus: Findings from a fuzzy-set qualitative comparative analysis. Frontiers Media, 13. https://doi.org/10.3389/fpsyg.2022.964278
  7. Higgins, B., & Young, S M. (2007). Thirteen Steps to Improve Financial and Operational Performance While Improving Customer and Employee Loyalty. Wiley, 19(2), 65-81. https://doi.org/10.1002/jcaf.20359
  8. Huselid, M A. (1995). The Impact Of Human Resource Management Practices On Turnover, Productivity, And Corporate Financial Performance. Academy of Management, 38(3), 635-672. https://doi.org/10.2307/256741
  9. Ilaboya, O J., Izevbekhai, M .., & Ohiokha, F I. (2016). Tax Planning and Firm Value: A Review of Literature. Sciedu Press, 5(2). https://doi.org/10.5430/bmr.v5n2p81
  10. Jaakkola, M., Möller, K., Parvinen, P., Evanschitzky, H., & Mühlbacher, H. (2010). Strategic marketing and business performance: A study in three European ‘engineering countries’. Elsevier BV, 39(8), 1300-1310. https://doi.org/10.1016/j.indmarman.2010.06.005
  11. Jacob, M., & Schütt, H H. (2019). Firm Valuation and the Uncertainty of Future Tax Avoidance. Routledge, 29(3), 409-435. https://doi.org/10.1080/09638180.2019.1642775
  12. Jiang, K., Lepak, D P., Hu, J., & Baer, J C. (2012). How Does Human Resource Management Influence Organizational Outcomes? A Meta-analytic Investigation of Mediating Mechanisms. Academy of Management, 55(6), 1264-1294. https://doi.org/10.5465/amj.2011.0088
  13. Kumar, R., Sujit, K S., Abdul, W K., & Trinidad‐Fernández, M. (2021). Are Brand Value and Firm Value Related? An Empirical Examination. SAGE Publishing, 097215092199547-097215092199547. https://doi.org/10.1177/0972150921995479
  14. Maaodhah, A S A., Singh, H., Al-Juboori, Z M A., Pitchy, A L B A., & Ekene, I. (2021). The Impact of Market Orientation and Entrepreneurial Orientation on Firm Performance of Wholesale and Retailer SMES in Malaysia. , 11(6). https://doi.org/10.6007/ijarbss/v11-i6/10019
  15. Mgammal, M H., & Ismail, K N I K. (2015). Corporate Tax Planning Activities: Overview of Concepts, Theories, Restrictions, Motivations and Approaches. Mediterranean Center of Social and Educational Research. https://doi.org/10.5901/mjss.2015.v6n6s4p350
  16. Mizik, N. (2014). Assessing the Total Financial Performance Impact of Brand Equity with Limited Time-Series Data. SAGE Publishing, 51(6), 691-706. https://doi.org/10.1509/jmr.13.0431
  17. Mohammadzadeh, M., Aarabi, S M., & Salamzadeh, J. (2013). Organizational performance, Marketing strategy, and Financial strategic alignment: an empirical study on Iranian pharmaceutical firms. Springer Nature, 21(1). https://doi.org/10.1186/2008-2231-21-65
  18. Moorman, C., & Day, G S. (2016). Organizing for Marketing Excellence. SAGE Publishing, 80(6), 6-35. https://doi.org/10.1509/jm.15.0423
  19. Morgan, R E., Thorpe, E R., McGuinness, T., & Thorpe, E R. (2000). The contribution of marketing to business strategy formation: a perspective on business performance gains. Taylor & Francis, 8(4), 341-362. https://doi.org/10.1080/09652540010003672
  20. Mousa, M., Nosratabadi, S., Sági, J., & Mosavi, A. (2021). The Effect of Marketing Investment on Firm Value and Systematic Risk. Springer Science+Business Media, 7(1), 64-64. https://doi.org/10.3390/joitmc7010064
  21. Narteh, B. (2018). Brand equity and financial performance. Emerald Publishing Limited, 36(3), 381-395. https://doi.org/10.1108/mip-05-2017-0098
  22. Neuman, S S., Omer, T C., & Schmidt, A. (2016). Assessing Tax Risk: Practitioner Perspectives. RELX Group (Netherlands). https://doi.org/10.2139/ssrn.2579354
  23. Ngo, H., Lau, C., & Foley, S. (2008). Strategic human resource management, firm performance, and employee relations climate in China. Wiley, 47(1), 73-90. https://doi.org/10.1002/hrm.20198
  24. Nguyen, P., & Liao, Y. (2019, April 8). A Qualitative Investigation of Antecedents, Mediators, Moderators, and Outcomes of Brand Equity. , 965-981. https://doi.org/10.32861/jssr.54.965.981
  25. Noviari, N., & Suaryana, I G N A. (2020). Tax Planning To Increase The Value Of The Company. Udayana University, 30(1), 194-194. https://doi.org/10.24843/eja.2020.v30.i01.p14
  26. Nurdiansyah, R., & Masripah. (2023). Factors causing tax avoidance practices in multinational companies: Evidence from Indonesia. Ümit Hacıoğlu, 12(3), 391-398. https://doi.org/10.20525/ijrbs.v12i3.2565
  27. Ohnemus, L. (2009, March 1). B2B branding: A financial burden for shareholders?. Elsevier BV, 52(2), 159-166. https://doi.org/10.1016/j.bushor.2008.10.004
  28. Olson, E M., Slater, S F., Hult, G T M., & Olson, K M. (2018). The application of human resource management policies within the marketing organization: The impact on business and marketing strategy implementation. Elsevier BV, 69, 62-73. https://doi.org/10.1016/j.indmarman.2018.01.029
  29. Parnell, J A., Mensah, E C., & Oppong, D. (2019). Beyond market strategies: political and social dynamics of firm strategy and performance in Ghana. Inderscience Publishers, 11(4), 368-368. https://doi.org/10.1504/ijbem.2019.105258
  30. Reibstein, D J. (2015). Closing the Gap between Marketing and Finance: The Link to Driving Wise Marketing Investment. De Gruyter Open, 7(1), 22-27. https://doi.org/10.1515/gfkmir-2015-0003
  31. Săcui, V., & Dumitru, F. (2014). Market-based Assets. Building Value through Marketing Investments. Elsevier BV, 124, 157-164. https://doi.org/10.1016/j.sbspro.2014.02.472
  32. Scholtens, B. (2006). Finance as a Driver of Corporate Social Responsibility. Springer Science+Business Media, 68(1), 19-33. https://doi.org/10.1007/s10551-006-9037-1
  33. Thawabieh, F A. (2019). The Role of Human Resource System in Developing a Culture of Innovation. , 161-169. https://doi.org/10.32861/bmer.511.161.169
  34. Thu, P T B., & Binh, L T. (2023). Effects of corporate marketing strategy, brand awareness, and perceived quality on brand equity for accounting service. , 4(2, special issue), 362-374. https://doi.org/10.22495/cbsrv4i2siart16
  35. Uzma, S H. (2018). Marketing metrics: a meta-synthesis. Inderscience Publishers, 14(2), 153-153. https://doi.org/10.1504/ijbex.2018.089148
  36. Wahab, N S A., & Holland, K. (2012). Tax planning, corporate governance and equity value. Elsevier BV, 44(2), 111-124. https://doi.org/10.1016/j.bar.2012.03.005
  37. Whait, R., Christ, K L., Ortas, E., & Burritt, R. (2018). What do we know about tax aggressiveness and corporate social responsibility? An integrative review. Elsevier BV, 204, 542-552. https://doi.org/10.1016/j.jclepro.2018.08.334
  38. Yin, X., Li, J., Si, H., & Wu, P. (2024). Attention marketing in fragmented entertainment: How advertising embedding influences purchase decision in short-form video apps. Elsevier BV, 76, 103572-103572. https://doi.org/10.1016/j.jretconser.2023.103572