scholarly journals Entrepreneurial orientation and emotional bias in MSMEs’ financing and performance

2021 ◽  
Vol 24 (2) ◽  
pp. 237-270
Author(s):  
Maria Rio Rita ◽  
Ari Budi Kristanto ◽  
Yeterina Widi Nugrahanti ◽  
Mohamad Nur Utomo
Keyword(s):  
Asymmetric Information ◽  
Entrepreneurial Orientation ◽  
Service Industry ◽  
Small And Medium Enterprises ◽  
Positive Influence ◽  
Partial Least Square ◽  
Least Square ◽  
Central Java ◽  
And Performance ◽  
Emotional Bias

There have been numerous studies investigating the dynamics of micro, small and medium enterprises (MSME) development. However, this research topic still offers several interesting research gaps to be explored. Accordingly, the purpose of this research is to test the effects of entrepreneurial orientation and asymmetric information that affect MSME entrepreneurs’ emotional biases, as well as the relationships between these variables and MSME’s financing and performance. Our research objects are MSMEs located in four urban villages in Salatiga City, Central Java that engage in various business sectors, such as the food and beverage, the service industry, the groceryw, and the horticulture sector. We analyze the research data with the Partial Least Square (PLS) software. The research results reveal that entrepreneurial orientation and asymmetric information positively influence  MSME entrepreneurs’ emotional bias. Meanwhile, emotional bias has a significantly positive influence on financing. Finally, we also find that financing positively affects MSMEs’ performance. In sum, our study demonstrates the importance of the behavioral aspect (emotional bias) in explaining MSMEs’ performance through its indirect impact through financing.

scholarly journals THE EFFECT OF ENTREPRENEURSHIP ORIENTATION TOWARD MARKET ORIENTATION AND PERFORMANCE OF SONGKOK MSME IN GRESIK REGENCY

2020 ◽  
Vol 28 (2) ◽  
pp. 65-82
Author(s):  
Ina Syarifah ◽  
Muhammad Mawardi ◽  
Mohammad Iqbal
Keyword(s):  
Market Orientation ◽  
Entrepreneurial Orientation ◽  
Small And Medium Enterprises ◽  
Partial Least Square ◽  
Least Square ◽  
Cluster Sampling ◽  
Partial Least Square Analysis ◽  
And Performance ◽  
Medium Enterprises ◽  
Practical Implications

Purpose — This research aims to determine the effect of entrepreneurial orientation on market orientation, entrepreneurial orientation on the performance of MSMEs, and market orientation towards the performance of MSMEs. Design/methodology/approach — The object of this research is Songkok Micro Small and Medium Enterprises (MSME) in Gresik Regency. Findings — The results of this study indicate that entrepreneurial orientation has a significant effect on market orientation, entrepreneurial orientation has a significant effect on the performance of MSMEs, and market orientation has a significant effect on the performance of MSMEs. Practical Implications — The entrepreneurial movement plays a role in economic development in Indonesia. Although the number of entrepreneurs in Indonesia is still relatively low compared to other Southeast Asian countries, according to the 2015-2016 GEM Indonesia Report survey, the intention of entrepreneurship in Indonesia is high compared to Singapore, Thailand, Vietnam and Malaysia. Originality/value — This research uses a cluster sampling method involving 163 respondents and uses PLS (Partial Least Square) analysis tools with SmartPLS 3.0 software.

scholarly journals THE INFLUENCE OF INTRINSIC AND EXTRINSIC FACTOR ON COMMITMENT AND THE IMPACT ON THE PERFORMANCE OF EMPLOYEES

2015 ◽  
Vol 14 (1) ◽  
Author(s):  
Tri Bodroastuti ◽  
Aprillia Putri Andhani
Keyword(s):  
Hypothesis Testing ◽  
Structural Equation ◽  
Sampling Technique ◽  
Positive Influence ◽  
Partial Least Square ◽  
Least Square ◽  
Extrinsic Factors ◽  
And Performance ◽  
The Impact ◽  
Significant Positive Influence

This study aimed to determine the influence of intrinsic and extrinsic factors on commitment and impact on the performance of employees of Sejahtera Sunindo Trada Company. The populations in this study were employees of Sejahtera Sunindo Trada totaling 100 people. The entire population was sampled, so that the samples were 100 respondents. No sampling technique for this study since used census study which all employees which the workshop became respondents.The analytical tool used in this research was Structural Equation Model (SEM) using Partial Least Square (PLS). The first hypothesis testing showed there was no significant positive influnce between intrinsic factors and commitment by the t value was smaller than the value t table 1.274 < 1.96. The second hypothesis testing showed there was no with significant positive influnce between extrinsic factors with the commitment to the value of t is greater than t table is 1.973 > 1.96. The third hypothesis testing showed no significant positive influnce between commitment and performance and the intrinsic value of the t less than the value t table is 1.181 < 1.96. The fourth hypothesis showed there was no significant positive influence between intrinsic and performance with the value t was greater than t table 3.008 > 1.96. The fifth hypothesis was there no significant positive influence between extrinsic factors and performance by the t value greater than the value t table is 3.864 > 1.96.

scholarly journals Pengaruh Orientasi Kewirausahaan dan Kapasitas Inovasi terhadap Kesuksesan Proyek pada Bidang Fashion

2020 ◽  
Vol 2 (3) ◽  
pp. 690
Author(s):  
Fernando Gho Danny ◽  
Louis Utama
Keyword(s):  
Entrepreneurial Orientation ◽  
Business Performance ◽  
Small And Medium Enterprises ◽  
Creative Industries ◽  
Partial Least Square ◽  
Least Square ◽  
Firm Level ◽  
Entrepreneurial Marketing ◽  
Medium Enterprises ◽  
The Relationship

Purpose – This paper examines the relationship between entrepreneurial orientation, innovation capacity, and firm performance in the creative industries context. Design/methodology/approach – The developed conceptual model is tested using partial least square ( PLS ) using a sample of 30 creative industries small medium enterprises owners. Findings – The result of the PLS model shows that both EO and IC act as a basis for improved business performance among small and medium enterprises. Based on the research findings, it can be argued that both EO and EO fully unlock their value-creating potential among small and medium enterprises. Originality/value – In addition to providing initial insight on the relationship between entrepreneurial action, innovative capacity, and performance with the creative industries, the paper also is one of the first on the creative industries to focus on firm-level strategy.Tujuan dari makalah ini adalah membahas hubungan antara orientasi kewirausahaan, kapasitas inovasi, dan kinerja perusahaan dalam konteks industri kreatif. Desain / metodologi / pendekatan - Model konseptual yang dikembangkan diuji menggunakan partial least square (PLS) menggunakan sampel 30 pemilik UKM industri kreatif. Temuan - Hasil model PLS menunjukkan bahwa baik EO dan IC bertindak sebagai dasar untuk meningkatkan kesuksesan proyek di antara usaha kecil dan menengah. Berdasarkan temuan penelitian, dapat dikatakan bahwa EO dan IC sepenuhnya membuka kunci potensi penciptaan nilai mereka di antara perusahaan kecil dan menengah. Orisinalitas / nilai – Dalam studi ini selain memberikan wawasan awal antar tindakan kewirausahaan, kapasitas inovaif dan kinerja dalam indsutri kreatif. Makalah ini juga merupakan salah satu yang pertama di industri kreatif untuk fokus pada tingkat perusahaan. Kata kunci: Entrepreneurial marketing, Innovation, Competitive Advantage, Creativity in Marketing, Entrepreneurial orientation.

scholarly journals Orientasi Kewirausahaan dalam Kinerja UMKM di Jember

2021 ◽  
Vol 9 (1) ◽  
pp. 54
Author(s):  
Enny Hindarwati ◽  
Agus Rahayu ◽  
Lili Adi Wibowo
Keyword(s):  
Entrepreneurial Orientation ◽  
Structural Equation ◽  
Small And Medium Enterprises ◽  
Sampling Technique ◽  
Simple Random Sampling ◽  
Partial Least Square ◽  
Least Square ◽  
Equation Modeling ◽  
Study Population ◽  
Medium Enterprises

The entrepreneurial orientation that affects the performance of Micro, Small and Medium Enterprises (MSMEs) in Jember is a research objective. The study population was 172 micro, small and medium enterprises in Jember. This research uses 100 respondents with simple random sampling technique. The research respondents were the owners of the MSME as informants. Collecting data by distributing questionnaires to 100 respondents. The collected data were analyzed using Structural Equation Modeling (SEM) Partial Least Square (PLS) software. The results showed that the autonomous dimension had a significant effect on the performance of MSMEs, while the other dimensions of entrepreneurial orientation: innovation, proactivity and risk had no significant effect.

scholarly journals The Implication of Balinese Local Wisdom and Entrepreneurship Orientation of Financial Resources and SMEs Profitability of Silver Crafts

2019 ◽  
Vol 1 (4) ◽  
Author(s):  
Ni Luh Anik Puspa Ningsih ◽  
Made Pratiwi Dewi ◽  
Ni Putu Rediatni Giri
Keyword(s):  
Cultural Values ◽  
Entrepreneurial Orientation ◽  
Tourism Industry ◽  
Partial Least Square ◽  
Least Square ◽  
Cultural Value ◽  
Financial Resources ◽  
Entrepreneurial Spirit ◽  
The People ◽  
And Performance

Silver handicraft is one of the Balinese export commodities. It has a unique design and manufacturing process method. This craft supports the Bali tourism industry. Bongkasa Pertiwi is one of the villages in Badung regency. The people of this village living as silver craftsmen. The design of this village silver handicraft is quite popular and still exists. This is caused by they adopting cultural values and having an entrepreneurial spirit in managing business resources and performance. The aim of this study is to examine the pattern of cultural value (Bali local wisdom) to entrepreneurial orientation, financial resources and profitability of SME. The respondents of this study were 38 SMEs in the Bongkasa Pertiwi, Bali. Data analysis was performed using PLS (partial least square). The results of this study (1) the value of Bali's local wisdom has a positive and significant impact on financial resources of SMEs, (2) the value of Bali's local wisdom has a positive and not significant impact on SMEs profitability, (3) financial resources have a negative and significant impact on SMEs profitability (4) entrepreneurial orientation has a negative and significant impact on financial resources of SMEs, (5) entrepreneurial orientation has a positive and significant impact on SMEs profitability.

scholarly journals Pengaruh Orientasi Kewirausahaan, Kinerja Pemasaran, dan Kapabilitas TIK Terhadap Keunggulan Bersaing Pada Pelaku UMKM di Sentra Industri Sepatu Cibaduyut Kota Bandung

2021 ◽  
Vol 4 (2) ◽  
pp. 120-127
Author(s):  
Mochammad Rifky Pamungkas ◽  
Muhamad Rizal ◽  
Ria Arifianti ◽  
Asmaul Husna
Keyword(s):  
Competitive Advantage ◽  
Entrepreneurial Orientation ◽  
Structural Equation ◽  
Small And Medium Enterprises ◽  
Partial Least Square ◽  
Least Square ◽  
Equation Modeling ◽  
Marketing Performance ◽  
Industry Center ◽  
Medium Enterprises

Covid-19 penetrates into Indonesia to have an impact on Business, Micro, Small and Medium Enterprises (MSMEs). One of the MSMEs affected by the Covid-19 pandemic is the Cibaduyut Shoe Industry Center. This has an impact on business, marketing, information and the competitiveness of MSME players in Cibaduyut. So the research objective is to find and determine the effect of entrepreneurial orientation, marketing performance, and ICT capabilities on competitive advantage. The research method used is quantitative with the research sample being SMEs in Cibaduyut and analysis using Structural Equation Modeling-Partial Least Square. While the results of the study provide results for the greatest influence on the ICT capability variable of 44.9%. The conclusion in this study is that the entrepreneurial orientation variable and marketing performance do not have a significant effect on competitive advantage, while the ICT capability variable has a significant effect.

The mediating effect of strategy on entrepreneurial orientation and performance

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Yuli Budiati ◽  
Wisnu Untoro ◽  
Lilik Wahyudi ◽  
Mugi Harsono
Keyword(s):  
Entrepreneurial Orientation ◽  
Waiting Times ◽  
Partial Least Square ◽  
Least Square ◽  
Mediating Effect ◽  
Market Development ◽  
Survey Method ◽  
Content Type ◽  
The Government ◽  
And Performance

Purpose This study aims to examine the effect of entrepreneurial orientation (EO) on performance and mediation differentiation strategies and market development in small and medium enterprises (SMEs). Design/methodology/approach This research was conducted using a survey method with a population of furniture SMEs in Jepara, Central Java, Indonesia using a sample area by collecting 158 questionnaires. The data analysis method used the partial least square. Findings The result shows that EO has an impact on differentiation, market development and performance. Differentiation strategies and market development mediate the influence of EO and performance. The differentiation strategy further mediates the influence of EO on market development and market development mediates the effect of differentiation on performance. Practical implications Managers instill entrepreneurial practice in the organization by proactively creating the market and taking high-risk jobs to provide quality products and services. SMEs require capabilities that are difficult to imitate in creating designs and product quality that are different, providing pre and post-sales services and maintaining good relationships with customers and partners. SMEs emphasize flexibility and speed of operation by adjusting the production process to short waiting times and reliable delivery. The government must support general training and market information, network development, access to capital and knowledge transfer. Originality/value This paper explains the importance of differentiation and market development strategies in determining the relationship between EO and performance that has not been explored in the context of SMEs in developing countries.

scholarly journals Digitalization Adoption among Malaysian SMEs: The Drivers and its’ Industry Based Heterogeneity

2021 ◽  
Vol 7 (1) ◽  
pp. 10-13
Author(s):  
Mei Peng Low ◽  
Hengky Latan ◽  
Charbel J Chiappetta Jabbour
Keyword(s):  
Structural Equation ◽  
Small And Medium Enterprises ◽  
Group Analysis ◽  
Positive Influence ◽  
Partial Least Square ◽  
Least Square ◽  
Matrix Analysis ◽  
Equation Modeling ◽  
Performance Matrix ◽  
Medium Enterprises

Digital technologies advancement has immersed in many aspects of our lives, be it an individual or a business. The fast moving technologies has fostered the growth of digital economy. Businesses which fail to adopt will eventually lose their competitive advantage. The pressing phenomena motivates the study of digitalization adoption among small and medium enterprises (SMEs), which account for the majority of the businesses worldwide. Technology-Organization-Environment (TOE) framework was utilized to guide this study. The plausible difference between service based and non-service based industries was also examined. Quantitative approach via purposive sampling was performed to collect data from the SMEs. The data was analyzed using the concept of Hierarchical Component Model (HCM) for TOE constructs and Multi-Group Analysis (MGA) under the purview of Partial Least Square Structural Equation Modeling (PLS-SEM). For more insightful findings, Importance Performance Matrix Analysis (IPMA) was conducted. The findings informed that Technology and Organization record significant positive influence on Digitalization Adoption among SMEs while there is heterogeneity between service based and non-service based industries.

scholarly journals Stock Price And Performance Of Indonesian Banking, Case Study For Period Of 2015-2017

2019 ◽  
Vol 1 (1) ◽  
pp. 42-51
Author(s):  
Cornelius Candra Adi Wibowo
Keyword(s):  
Stock Prices ◽  
Stock Price ◽  
Stock Exchange ◽  
Financial Statements ◽  
Positive Influence ◽  
Partial Least Square ◽  
Least Square ◽  
Return On Equity ◽  
Analytical Technique ◽  
And Performance

The purpose of this study is to analyze the effect of Return On Assets, Return On Equity and Earning Per Share to Price Book Value and stock prices of Banking Companies listed in Indonesia Stock Exchange (IDX) during 2015-2017. This study analyzes ratios of financial statements of banking companies and their impact on stock prices. The population of this research is Banking Companies listed in IDX during 2015-2017. Samples used are as many as 43 Banking companies with census method. The analytical technique used is Partial Least Square. The financial statements used are from the Indonesia Stock Exchange website and tested with the SmartPLS 3.0 application. Result of this study is ROE and EPS have a significant and positive influence on PBV. ROE, EPS and PBV have significant and positive influence on stock price. However DER has no significant effect on PBV and Stock Price.

scholarly journals Model of Relationship Marketing Partnerships Between Batik SMEs and Batik Distributors in Central Java, Indonesia

2017 ◽  
Vol 8 (4) ◽  
pp. 1-14 ◽  
Author(s):  
Farida Naili ◽  
Agus Naryoso ◽  
Elia Ardyan
Keyword(s):  
Relationship Quality ◽  
Relationship Marketing ◽  
Small And Medium Enterprises ◽  
Partial Least Square ◽  
Least Square ◽  
Mutual Benefit ◽  
Central Java ◽  
Determinants Of Satisfaction ◽  
Using Data ◽  
Medium Enterprises

This article develops and tests the model for the determinants of satisfaction and loyalty. The aim of this study is to analyze: (1) the effect of confident on relationship quality, (2) the effect of confidence on mutual benefit, (3) the effect of mutual benefit on relationship quality, (4) the effect of relationship quality on satisfaction, (5) the effect of mutual benefit on satisfaction, (6) the effect of mutual benefit on loyalty, and (7) the effect of satisfaction on loyalty. This model was tested using data obtained from 131 batik dealers in Semarang, Indonesia. The hypotheses are tested using Partial Least Square (PLS), all supported by the results of the confirmation of confidence, mutual benefit, which are found to be the key drivers of relationship quality, satisfaction and loyalty. This study emphasizes the role of relationship quality and mutual benefit as mediation for the variables of confidence and loyalty. The implications of the findings in this research towards the application of relationship marketing are: First, effort should be made to increase the confidence between suppliers and dealers who help market the product. Second, to ensure a long-term partnership between the enterprising parties, the quality of relationship between suppliers and craftsmen or Small and Medium Enterprises (SMEs) should be enhanced, so that the satisfaction of craftsmen or SMEs will be the better. Third, Craftsmen or SMEs should be more transparent in determining the mutual benefit with suppliers to improve satisfaction so as to create a profitable partnership for both enterprising parties. Fourth, satisfaction of dealers with craftsmen or SMEs should be increased so that the craftsman or SMEs can provide and meet the required product requested by the dealers in a timely manner.

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