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Firm Performance and the Determinants in the Textile and Textile Product Industry of Indonesia Pre- and Post-COVID-19 Pandemic

Author

Listed:
  • Maman Setiawan

    (Faculty of Economics and Business, Universitas Padjadjaran, Jl. Dipati Ukur No. 35, Bandung 40132, Indonesia)

  • Berliana Anggun Septiani

    (Faculty of Economics and Business, Universitas Padjadjaran, Jl. Dipati Ukur No. 35, Bandung 40132, Indonesia)

Abstract

This research aimed to examine firm performance and its determinants in the textile and textile product (TPT) industry of Indonesia before and after the COVID-19 pandemic. The analysis used data from the manufacturing survey conducted by Indonesia’s Bureau of Central Statistics (BPS) for the period 2018–2021. It further incorporated the fixed-effect model on the subsectors by applying least-square dummy variables. The results show that firm performance declined during the COVID-19 pandemic while the price–cost margin was affected by firm size, export orientation, foreign ownership, and the pandemic. However, the Herfindahl–Hirschman index did not have a significant influence on firm performance. This research addresses the gaps identified in previous publications, which had limitations regarding sample data. It further contributed to the literature by applying price–cost margin (PCM) as a proxy for firm performance and investigating the determining factors in the TPT industry before and after the COVID-19 pandemic, particularly in Indonesia.

Suggested Citation

  • Maman Setiawan & Berliana Anggun Septiani, 2025. "Firm Performance and the Determinants in the Textile and Textile Product Industry of Indonesia Pre- and Post-COVID-19 Pandemic," JRFM, MDPI, vol. 18(1), pages 1-16, January.
    • Handle: RePEc:gam:jjrfmx:v:18:y:2025:i:1:p:35-:d:1567386
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