The moderating effect of competitive intensity on foresight capability and product innovation of SMEs in Indonesia
This study aims to understand the performance of SME’s product innovation by relating it to the foresight concept of SME owners or managers and the moderating effect of competitive intensity. It employs a quantitative research method by using a survey. This paper studies SMEs from the West Java Prov...
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| Format: | Article |
| Language: | English |
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LLC "CPC "Business Perspectives"
2023-02-01
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| Series: | Problems and Perspectives in Management |
| Subjects: | |
| Online Access: | https://www.businessperspectives.org/images/pdf/applications/publishing/templates/article/assets/17695/PPM_2023_01_Manalu.pdf |
| _version_ | 1811167094191947776 |
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| author | Vigory Gloriman Manalu Siti Nurhayati Refius Pradipta Setyanto |
| author_facet | Vigory Gloriman Manalu Siti Nurhayati Refius Pradipta Setyanto |
| author_sort | Vigory Gloriman Manalu |
| collection | DOAJ |
| description | This study aims to understand the performance of SME’s product innovation by relating it to the foresight concept of SME owners or managers and the moderating effect of competitive intensity. It employs a quantitative research method by using a survey. This paper studies SMEs from the West Java Province of Indonesia in three industrial sectors: food, fashion, and handicrafts. These industrial sectors were chosen because they are the most competitive, and their consumers change rapidly. Data were collected through a structured questionnaire. A total of 200 questionnaires were distributed, 190 were returned, and 187 were used for data processing. Furthermore, the data were analyzed using exploratory factor analysis (EFA), confirmatory factor analysis (CFA), and structural equation modeling (SEM). The results show that networking, time horizon, and analysis can affect product innovation performance (p < 0.05). Furthermore, competition intensity does not affect the relationship between analysis and product innovation performance, although there is a relationship between networking and time horizon. The results of this study provide insight for Indonesian SMEs, especially in West Java. Foresight skills trained by SMEs will make them accustomed to facing high-level competition, especially in the time horizon dimension. However, on the other hand, the high intensity of competition can reduce their networking to collaborate with various related parties. |
| first_indexed | 2024-04-10T16:04:33Z |
| format | Article |
| id | doaj.art-2b37b9ef2ec240678630a2b4b077df2d |
| institution | Directory Open Access Journal |
| issn | 1727-7051 1810-5467 |
| language | English |
| last_indexed | 2024-04-10T16:04:33Z |
| publishDate | 2023-02-01 |
| publisher | LLC "CPC "Business Perspectives" |
| record_format | Article |
| series | Problems and Perspectives in Management |
| spelling | doaj.art-2b37b9ef2ec240678630a2b4b077df2d2023-02-10T06:21:39ZengLLC "CPC "Business Perspectives"Problems and Perspectives in Management1727-70511810-54672023-02-0121121922910.21511/ppm.21(1).2023.1917695The moderating effect of competitive intensity on foresight capability and product innovation of SMEs in IndonesiaVigory Gloriman Manalu0Siti Nurhayati1Refius Pradipta Setyanto2Ph.D. Candidate, Department of Management, Economics and Business Faculty, Jenderal Soedirman UniversityDr., Professor, Department of Management, Economics and Business Faculty, Pekalongan UniversityDr., Associate Professor, Department of Management, Economics and Business Faculty, Jenderal Soedirman UniversityThis study aims to understand the performance of SME’s product innovation by relating it to the foresight concept of SME owners or managers and the moderating effect of competitive intensity. It employs a quantitative research method by using a survey. This paper studies SMEs from the West Java Province of Indonesia in three industrial sectors: food, fashion, and handicrafts. These industrial sectors were chosen because they are the most competitive, and their consumers change rapidly. Data were collected through a structured questionnaire. A total of 200 questionnaires were distributed, 190 were returned, and 187 were used for data processing. Furthermore, the data were analyzed using exploratory factor analysis (EFA), confirmatory factor analysis (CFA), and structural equation modeling (SEM). The results show that networking, time horizon, and analysis can affect product innovation performance (p < 0.05). Furthermore, competition intensity does not affect the relationship between analysis and product innovation performance, although there is a relationship between networking and time horizon. The results of this study provide insight for Indonesian SMEs, especially in West Java. Foresight skills trained by SMEs will make them accustomed to facing high-level competition, especially in the time horizon dimension. However, on the other hand, the high intensity of competition can reduce their networking to collaborate with various related parties.https://www.businessperspectives.org/images/pdf/applications/publishing/templates/article/assets/17695/PPM_2023_01_Manalu.pdfbusiness intensityIndonesian SMEsSME competitionSME foresightSME innovation |
| spellingShingle | Vigory Gloriman Manalu Siti Nurhayati Refius Pradipta Setyanto The moderating effect of competitive intensity on foresight capability and product innovation of SMEs in Indonesia Problems and Perspectives in Management business intensity Indonesian SMEs SME competition SME foresight SME innovation |
| title | The moderating effect of competitive intensity on foresight capability and product innovation of SMEs in Indonesia |
| title_full | The moderating effect of competitive intensity on foresight capability and product innovation of SMEs in Indonesia |
| title_fullStr | The moderating effect of competitive intensity on foresight capability and product innovation of SMEs in Indonesia |
| title_full_unstemmed | The moderating effect of competitive intensity on foresight capability and product innovation of SMEs in Indonesia |
| title_short | The moderating effect of competitive intensity on foresight capability and product innovation of SMEs in Indonesia |
| title_sort | moderating effect of competitive intensity on foresight capability and product innovation of smes in indonesia |
| topic | business intensity Indonesian SMEs SME competition SME foresight SME innovation |
| url | https://www.businessperspectives.org/images/pdf/applications/publishing/templates/article/assets/17695/PPM_2023_01_Manalu.pdf |
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