Effect of Isomorphism In The Financial Statement Of Local Government
Explanatory Research With Transparency In Financial Management As An Intervening Variable Toward Stakeholder Trust
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This study integrates the application of the institutional mechanism for isomorphism in the financial statements and their implications for stakeholder trust. This research was conducted at the local government Indonesia. Independent variables consist of isomorphism institutional pressure and financial statement presentation, stakeholder trust dependent variable and intervening variable transparency in financial management. The results of the study contribute to strengthening and proving that the concept of isomorphism has characteristics that meet the expectations of stakeholders and initiate...
This study integrates the application of the institutional mechanism for isomorphism in the financial statements and their implications for stakeholder trust. This research was conducted at the local government Indonesia. Independent variables consist of isomorphism institutional pressure and financial statement presentation, stakeholder trust dependent variable and intervening variable transparency in financial management. The results of the study contribute to strengthening and proving that the concept of isomorphism has characteristics that meet the expectations of stakeholders and initiate the implementation of transparency. The adoption of institutional mechanisms for isomorphism in the financial statements implies an increase in stakeholder confidence. For this reason, it is important for local government entities to implement institutional mechanisms for isomorphism in financial management to meet the expectations of stakeholders so that they can obtain positive opinions or support economic, social and political legitimacy and obtain guarantees for the continuity of institutional operations.
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