Practical Experience of Financial Management and Accounting in Indonesian Medium Enterprises: A Descriptive Study in Facing Economic Dynamics
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Abstract
This study explores the subjective experiences of financial management and accounting practices among medium-sized enterprises in Indonesia amidst economic dynamics. Despite the significant role of medium-sized enterprises in Indonesia's economy, challenges in financial decision-making and accounting practices persist due to limited resources and volatile economic conditions. This study addresses the knowledge gap by examining how owners and managers perceive and navigate these challenges. Using a phenomenological approach, the research reveals that financial decision-making is often intuitive, influenced by personal experiences rather than structured data analysis. The study also finds inconsistent accounting practices, mainly manual, leading to reporting difficulties. Participants interpret financial prudence as essential for business sustainability, emphasizing cost efficiency and debt management. These findings provide practical insights for developing tailored financial strategies and contribute to theoretical understanding in financial management phenomenology. Future research could further explore the influence of cultural factors on financial decision-making in similar contexts.
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