Innovation, competitive strategy and MSME performance: a survey study on culinary SMEs in Indonesia during the COVID-19 pandemic
The aim of this research is to examine the relationship between innovation and performance in culinary sector MSME in Indonesia. This research also examines the mediating role of competitive strategies on the correlation of innovation in SME performance. This study proceeds using a quantitative app...
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| Format: | Article |
| Language: | English |
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Vilnius Gediminas Technical University
2023-04-01
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| Series: | Business: Theory and Practice |
| Subjects: | |
| Online Access: | https://journals.vilniustech.lt/index.php/BTP/article/view/16676 |
| _version_ | 1827360558036287488 |
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| author | Cancelyn Shearin Pusung Niluh Putu Dian Rosalina Handayani Narsa Oktaviani Ari Wardhaningrum |
| author_facet | Cancelyn Shearin Pusung Niluh Putu Dian Rosalina Handayani Narsa Oktaviani Ari Wardhaningrum |
| author_sort | Cancelyn Shearin Pusung |
| collection | DOAJ |
| description |
The aim of this research is to examine the relationship between innovation and performance in culinary sector MSME in Indonesia. This research also examines the mediating role of competitive strategies on the correlation of innovation in SME performance. This study proceeds using a quantitative approach and Partial Least Square (PLS) through SmartPLS software. The sample of this study consisted of 201 SMEs in Indonesia (specially in Surabaya) that engage in the food and beverage (culinary) sector, and the researcher used an accidental sampling technique to collect data. The result revealed that process innovation was directly, positively, and significantly related to the performance of SMEs. Furthermore, the analysis found that competitive strategies, including cost leadership, differentiation, and focus, mediated a partial relationship between innovation and SME performance and had a full mediation of innovation in SME performance. This study shows that SMEs with process innovation can more easily achieve superior performance than SMEs which implement product-oriented innovation. This research focused on SMEs in Surabaya, so it is necessary to be careful in generalizing the results to other locations or business sectors.
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| first_indexed | 2024-03-08T06:48:59Z |
| format | Article |
| id | doaj.art-50b3c8b58baf48e5bae9df2374ddb0f8 |
| institution | Directory Open Access Journal |
| issn | 1648-0627 1822-4202 |
| language | English |
| last_indexed | 2024-03-08T06:48:59Z |
| publishDate | 2023-04-01 |
| publisher | Vilnius Gediminas Technical University |
| record_format | Article |
| series | Business: Theory and Practice |
| spelling | doaj.art-50b3c8b58baf48e5bae9df2374ddb0f82024-02-03T07:20:54ZengVilnius Gediminas Technical UniversityBusiness: Theory and Practice1648-06271822-42022023-04-0124110.3846/btp.2023.16676Innovation, competitive strategy and MSME performance: a survey study on culinary SMEs in Indonesia during the COVID-19 pandemicCancelyn Shearin Pusung0Niluh Putu Dian Rosalina Handayani Narsa1Oktaviani Ari Wardhaningrum2Department of Accounting, Faculty of Economic and Business, Universitas Airlangga, Surabaya, IndonesiaDepartment of Accounting, Faculty of Economic and Business, Universitas Airlangga, Surabaya, IndonesiaDepartment of Accounting, Faculty of Economic and Business, Universitas Jember, Jember, Indonesia The aim of this research is to examine the relationship between innovation and performance in culinary sector MSME in Indonesia. This research also examines the mediating role of competitive strategies on the correlation of innovation in SME performance. This study proceeds using a quantitative approach and Partial Least Square (PLS) through SmartPLS software. The sample of this study consisted of 201 SMEs in Indonesia (specially in Surabaya) that engage in the food and beverage (culinary) sector, and the researcher used an accidental sampling technique to collect data. The result revealed that process innovation was directly, positively, and significantly related to the performance of SMEs. Furthermore, the analysis found that competitive strategies, including cost leadership, differentiation, and focus, mediated a partial relationship between innovation and SME performance and had a full mediation of innovation in SME performance. This study shows that SMEs with process innovation can more easily achieve superior performance than SMEs which implement product-oriented innovation. This research focused on SMEs in Surabaya, so it is necessary to be careful in generalizing the results to other locations or business sectors. https://journals.vilniustech.lt/index.php/BTP/article/view/16676competitive strategiesinnovationSMEsSMEs performance |
| spellingShingle | Cancelyn Shearin Pusung Niluh Putu Dian Rosalina Handayani Narsa Oktaviani Ari Wardhaningrum Innovation, competitive strategy and MSME performance: a survey study on culinary SMEs in Indonesia during the COVID-19 pandemic Business: Theory and Practice competitive strategies innovation SMEs SMEs performance |
| title | Innovation, competitive strategy and MSME performance: a survey study on culinary SMEs in Indonesia during the COVID-19 pandemic |
| title_full | Innovation, competitive strategy and MSME performance: a survey study on culinary SMEs in Indonesia during the COVID-19 pandemic |
| title_fullStr | Innovation, competitive strategy and MSME performance: a survey study on culinary SMEs in Indonesia during the COVID-19 pandemic |
| title_full_unstemmed | Innovation, competitive strategy and MSME performance: a survey study on culinary SMEs in Indonesia during the COVID-19 pandemic |
| title_short | Innovation, competitive strategy and MSME performance: a survey study on culinary SMEs in Indonesia during the COVID-19 pandemic |
| title_sort | innovation competitive strategy and msme performance a survey study on culinary smes in indonesia during the covid 19 pandemic |
| topic | competitive strategies innovation SMEs SMEs performance |
| url | https://journals.vilniustech.lt/index.php/BTP/article/view/16676 |
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