MEASURING COMPETITIVE ADVANTAGE OF PALM OIL INDUSTRY IN INDONESIA USING THE STRUCTURE CONDUCT PERFORMANCE PARADIGM

Market for products made of palm oil and its derivatives have been on the rise. This is a good chance for the industry of palm oil tree plantations in Indonesia especially in Riau Province to advance their competitive qualities in order to achieve maximum economic performance. Augmentation of compet...

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Main Authors: Othman L., Raharja S.J., Maulina E., Muftiadi A.
Format: Article
Language:English
Published: iVolga Press 2019-09-01
Series:Russian Journal of Agricultural and Socio-Economic Sciences
Subjects:
Online Access:https://rjoas.com/issue-2019-09/article_12.pdf
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author Othman L.
Raharja S.J.
Maulina E.
Muftiadi A.
author_facet Othman L.
Raharja S.J.
Maulina E.
Muftiadi A.
author_sort Othman L.
collection DOAJ
description Market for products made of palm oil and its derivatives have been on the rise. This is a good chance for the industry of palm oil tree plantations in Indonesia especially in Riau Province to advance their competitive qualities in order to achieve maximum economic performance. Augmentation of competitive quality is determined by company’s ability to implement price strategy, product differentiation, innovation, and research and development. This study conducted to finding the market structure model, behavior and performance of palm oil plantation companies in Riau Province in Indonesia. This study uses the Structure-Conduct-Performance approach. Observations have been made in the industry of palm oil in Riau Province producing CPO. This is a descriptive-explorative study with data collection technique of in-depth interviews on selected informants. Data analysis is carried out with statistics in two stages: first, normality test and second, correlation test. The normality test method used in this research is the Kolmogorov Smirnov method meanwhile the correlation method used here is the Spearman’s rho correlation method. Additionally, the Spearman’s rho is suitable for data with number of observations less than 30. Based on the results of the normality test by using the SPSS v.20, it is found that the highest correlation is the structure variable with behavior. All the correlations have positive direction showing that there is a one-way correlation between the structure, behavior, and performance variable. This means that if structure increases, the behavior increases. If behavior increases, the performance progresses, and vice versa.
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spelling doaj.art-bffe9e896d724f0c8643c4ea69e3d8742023-09-03T01:22:01ZengiVolga PressRussian Journal of Agricultural and Socio-Economic Sciences2226-11842019-09-0193911712610.18551/rjoas.2019-09.12MEASURING COMPETITIVE ADVANTAGE OF PALM OIL INDUSTRY IN INDONESIA USING THE STRUCTURE CONDUCT PERFORMANCE PARADIGMOthman L.0Raharja S.J.1Maulina E.2Muftiadi A.3Department of Business Administration, University of PadjadjaranDepartment of Business Administration, University of PadjadjaranDepartment of Business Administration, University of PadjadjaranDepartment of Business Administration, University of PadjadjaranMarket for products made of palm oil and its derivatives have been on the rise. This is a good chance for the industry of palm oil tree plantations in Indonesia especially in Riau Province to advance their competitive qualities in order to achieve maximum economic performance. Augmentation of competitive quality is determined by company’s ability to implement price strategy, product differentiation, innovation, and research and development. This study conducted to finding the market structure model, behavior and performance of palm oil plantation companies in Riau Province in Indonesia. This study uses the Structure-Conduct-Performance approach. Observations have been made in the industry of palm oil in Riau Province producing CPO. This is a descriptive-explorative study with data collection technique of in-depth interviews on selected informants. Data analysis is carried out with statistics in two stages: first, normality test and second, correlation test. The normality test method used in this research is the Kolmogorov Smirnov method meanwhile the correlation method used here is the Spearman’s rho correlation method. Additionally, the Spearman’s rho is suitable for data with number of observations less than 30. Based on the results of the normality test by using the SPSS v.20, it is found that the highest correlation is the structure variable with behavior. All the correlations have positive direction showing that there is a one-way correlation between the structure, behavior, and performance variable. This means that if structure increases, the behavior increases. If behavior increases, the performance progresses, and vice versa.https://rjoas.com/issue-2019-09/article_12.pdfCompetitive advantagestructureconductperformancepalm oil industry
spellingShingle Othman L.
Raharja S.J.
Maulina E.
Muftiadi A.
MEASURING COMPETITIVE ADVANTAGE OF PALM OIL INDUSTRY IN INDONESIA USING THE STRUCTURE CONDUCT PERFORMANCE PARADIGM
Russian Journal of Agricultural and Socio-Economic Sciences
Competitive advantage
structure
conduct
performance
palm oil industry
title MEASURING COMPETITIVE ADVANTAGE OF PALM OIL INDUSTRY IN INDONESIA USING THE STRUCTURE CONDUCT PERFORMANCE PARADIGM
title_full MEASURING COMPETITIVE ADVANTAGE OF PALM OIL INDUSTRY IN INDONESIA USING THE STRUCTURE CONDUCT PERFORMANCE PARADIGM
title_fullStr MEASURING COMPETITIVE ADVANTAGE OF PALM OIL INDUSTRY IN INDONESIA USING THE STRUCTURE CONDUCT PERFORMANCE PARADIGM
title_full_unstemmed MEASURING COMPETITIVE ADVANTAGE OF PALM OIL INDUSTRY IN INDONESIA USING THE STRUCTURE CONDUCT PERFORMANCE PARADIGM
title_short MEASURING COMPETITIVE ADVANTAGE OF PALM OIL INDUSTRY IN INDONESIA USING THE STRUCTURE CONDUCT PERFORMANCE PARADIGM
title_sort measuring competitive advantage of palm oil industry in indonesia using the structure conduct performance paradigm
topic Competitive advantage
structure
conduct
performance
palm oil industry
url https://rjoas.com/issue-2019-09/article_12.pdf
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