The Strategy of Islamic Microfinance to Strengthen Company Performance in Indonesia

Abstract

Hariandy Hasbi, Moeljadi Moeljadi, Noermijati Noermijati, Ainur Rofiq

The purpose of this research is to investigate Islamic microfinance strategies in order to drive the economy at the lower levels of society such as micro and small businesses based on Sharia principles. The Primary data were obtained from questionnaires to 283 managers. Using PLS analysis, strengthening company performance was measured by Islamic business ethics with organizational commitment and intellectual capital as mediation. The construct of this model is unique and provides value in this research. We found partially, all variables have a significant effect to strengthen company performance, however intellectual capital as mediation is poorly performs.