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This means that the higher the licensing as a business obstacle, the chances of bribery increase. The COURT variable is
negatively related to the dependent variable, this indicates that when the perception of justice decreases, the likelihood
of bribery increases. The SIZE variable also shows a positive relationship to the dependent variable. It can be interpreted
that the bigger the company, the chances of bribery increase.

Table 4
Correlation Matrix OPBRIBE
Variables 1 2 3 4 5 6 7 8
1. IMBRIBE 1.00
2. PERMIT 0.23* 1.00
3. EXP -0.20 0.16 1.00
4. AUDIT 0.07 -0.09 -0.29** 1.00
5. COURT -0.40*** -0.25** -0.03 0.01 1.00

6. SIZE 0.40*** 0.05 0.06 0.34*** -0.21* 1.00
7. AGE -0.08 0.16 0.37*** -0.04 -0.13 0.12 1.00
8. COMP 0.07 0.72*** 0.15 0.03 -0.30** 0.01 0.17 1.00

***, ** and * indicate significance at 1%, 5%, and 10% levels respectively

2.4 Result and Analysis
4.1 The relationship between Business Obstacles and Firm’s Bribery Behavior related Import License

Table 5
Result regarding Bribery of Import License (IMBRIBE)

Variables Coef. Odds Ratio Average marginal effect dy/dx P>z
PERMIT 0.81 2.24 0.14 0.04
EXP -0.03 0.97 -0.01 0.44
AUDIT 0.31 1.37 0.05 0.68
COURT -0.52 0.59 -0.09 0.05
SIZE 0.17 1.12 0.03 0.05
AGE -0.04 0.96 -0.01 0.23

COMP -0.28 0.76 -0.05 0.42
_cons -3.02 0.05 0.17

Table 5 is the result of data processing related to import license bribes. Hypothesis 1 is proven significant that business
permit obstacles have a significant positive effect on the probability of firm’s bribery behavior related to an import
license. This means that every time there is an increase in business barriers, the opportunity for bribery increases
2.24 times or 14%. Judicial perceptions also have a significant negative relationship. The lower the perception of the
judiciary, the chances of bribery increase by 0.5 times or 9%. In addition, the likelihood of bribery also increased 1.1
times, at large companies every 3%.

Model 1 empirically proves the fraud triangle theory from the elements of pressure and rationalization. According to
the research of Freund et al. (2016) that large companies are targeted by corrupt officials to pay bribes.

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