scholarly journals Entrepreneurial Orientation and Innovation for Improving Competitive Advantage

2019 ◽  
Vol 3 (2) ◽  
pp. 1-7
Author(s):  

This study aims to identify the entrepreneurial orientation and innovation in maintaining the business continuity and competitive advantage, especially in the small and medium enterprises in the Binong Jati Knitting Industry Center Bandung. The research method used is descriptive analytical with qualitative approaches, in order to know entrepreneurial orientation and innovation of entrepreneurs. The research was conducted through surveys and interviews with craftsmen, the owner of the home industry, customers, and other related parties of knitting industry stakeholders. From the results of the study obtained that competitive advantage, which is indicated by the ability to face the threat of new products or substitute products, as well as challenges from suppliers, customers, and competitors' strategies; can be improved through entrepreneurial orientation and innovation. There are three indicators on entrepreneurial orientation, namely creative activity, proactive, and courage to take risks, while innovation consists of three indicators, namely product, process, and system innovation.

2021 ◽  
Vol 4 (2) ◽  
pp. 120-127
Author(s):  
Mochammad Rifky Pamungkas ◽  
Muhamad Rizal ◽  
Ria Arifianti ◽  
Asmaul Husna

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.


Author(s):  
Orlando Manuel Martins Marques Lima Rua

The main objective of this chapter is to analyze the relationship between entrepreneurial orientation and competitive advantage on Portuguese exporting textiles small and medium enterprises (SMEs). Therefore, a quantitative methodological approach was used, conducting a descriptive, exploratory, and transversal empirical study, having applied a questionnaire to a sample of Portuguese SMEs, associated of the Portuguese textile association (ATP). The structural equations model was used for this purpose, using the partial least squares (PLS). Based on survey data from 247 firms, the empirical results indicate that 1) innovation have a positive and significant impact on differentiation, 2) proactivity and risk-taking does not have a positive and significant impact on differentiation, and 3) innovation, proactivity, and risk-taking does not have a positive and significant impact on cost leadership. This study shows that Portuguese textile SMEs seek to support and stimulate new ideas, experimentation, and creativity that surely result in new products, services, and processes.


Author(s):  
Aulia Ardhian Ayuningtyas ◽  
Miyasto Miyasto ◽  
Yohanes Sugiarto

Economic development in Indonesia MSMEs has an important role because the majority of Indonesia's population lives from MSME activities both in the traditional and modern sector. MSME in Central Java is also quite good. However, MSMEs in Central Java also experienced an increase in competitiveness, especially with similar businesses. Therefore, entrepreneurs are required to be able to innovate and dare to explore the resources it has for its business can continue to grow and survive amid the competition. In this study, the authors explain the condition of competitiveness of SMEs in the Kudus Regency is the business of embroidery which from year to year always decreased. Based on the result of the theoretical study directing this study developed a model with five research variables covering entrepreneurial orientation, business environment adaptability, internal resources of company, competitive advantage, and company performance. The results of the analysis show that the entrepreneurship orientation does not positively affect the competitive advantage. The adaptability of the business environment positively affects the competitive advantage. Internal resources of the company positively influence the competitive advantage. Entrepreneurship orientation positively affects the company's performance. Internal resources of the company positively affect the company's performance. Competitive advantage positively affects the company's performance.


2020 ◽  
Vol 4 (1) ◽  
pp. 11-19
Author(s):  
Mudiantono Soekirman ◽  
Fajar Ayu Suryani

Business competition in the current era of globalization requires companies to have a strategy to win the market. Strategic management has an important role for the survival of the company. The existence of such competition is also felt by small businesses such as Small and Medium Enterprises (SMEs). The increase in the number of SME units in Central Java was not followed by an increase in average sales of SMEs. This study aims to analyze the effect of distribution channel, ERP implementation and entrepreneurial orientation on marketing performance with competitive advantage as an intervening variable. The population in this study were small and medium enterprises owners in Central Java. Six hypothesis were formulated for this study. To test those hypothesis, this study used 104 respondent. Structural Equation Model (SEM) was applied to this study using AMOS 24  as a tool. The results of this study shows that competitive advantage is the most variable in influencing the marketing performance, while this  competititve advantage has entrepreneurial orientation as highest variable in influencing it. This study suggests that if SMEs want to increase their marketing performance, they must increase  their competitive advantage. This competitive advantage can be increase by increasing the entrepreneurial orientation.


Author(s):  
Orlando Manuel Martins Marques Lima Rua

The main objective of this chapter is to analyze the relationship between entrepreneurial orientation and competitive advantage on Portuguese exporting textiles small and medium enterprises (SMEs). Therefore, a quantitative methodological approach was used, conducting a descriptive, exploratory, and transversal empirical study, having applied a questionnaire to a sample of Portuguese SMEs, associated of the Portuguese textile association (ATP). The structural equations model was used for this purpose, using the partial least squares (PLS). Based on survey data from 247 firms, the empirical results indicate that 1) innovation have a positive and significant impact on differentiation, 2) proactivity and risk-taking does not have a positive and significant impact on differentiation, and 3) innovation, proactivity, and risk-taking does not have a positive and significant impact on cost leadership. This study shows that Portuguese textile SMEs seek to support and stimulate new ideas, experimentation, and creativity that surely result in new products, services, and processes.


AdBispreneur ◽  
2020 ◽  
Vol 5 (1) ◽  
pp. 63
Author(s):  
Sofi Maya Sari ◽  
Yunizar Yunizar ◽  
Dina Sartika

One of the efforts to improve the competitive advantage in rapid technological developments, especially in Micro, Small and Medium Enterprises (MSMEs), is to maximize the potential of human resources. However, at this time human resources MSMEs’owners are not acceptable in digital competence and low ability to improve entrepreneurial orientation. The role of human resources consisting of digital competence and entrepreneurial orientation leads to the competitive advantages of micro, small and medium enterprises. The study used a quantitative approach, using multiple regression analyses to analyze a questionnaire sample of 180 micros, small, and medium enterprises manufacture of food products in Bandung City. Results showed digital competence and entrepreneurial orientation have positive effect on competitive advantage. Salah satu usaha untuk dapat meningkatkan keunggulan bersaing ditengah perkembangan teknologi yang pesat khususnya pada Usaha Mikro, Kecil, dan Menengah (UMKM) adalah dengan memaksimalkan potensi dari sumber daya manusia yang dimilikinya. Namun begitu saat ini sumber daya manusia atau pelaku usaha mikro, kecil dan menengah kurang akseptabel dalam penguasaan kompetensi digital serta rendahnya kemampuan dalam meningkatkan sikap orientasi kewirausahaannya. Peranan sumber daya manusia yang terdiri dari kompetensi digital dan orientasi kewirausahaan ini mengarah kepada keunggulan bersaing usaha mikro, kecil, dan menengah. Penelitian ini menggunakan pendekatan kuantitatif, dengan menggunakan analisis regresi berganda untuk menganalisis sampel kuisioner sebanyak 180 pelaku UMKM industri pengolahan makanan di Kota Bandung. Hasil penelitian mengungkapkan bahwa kompetensi digital dan orientasi kewirausahaan berpengaruh positif terhadap keunggulan bersaing.


2018 ◽  
Vol 10 (2) ◽  
pp. 118 ◽  
Author(s):  
Muhammad Imran Hanif ◽  
Madiha Irshad

The purpose of this study is to examine the importance of implementation of strong entrepreneurial orientation and utilization of network resources creating value added products for the internationalization of Small and Medium Enterprises in Pakistan. The objective is to investigate and evaluate the nature of the business, then to determine the importance of implementation of entrepreneurial orientation and utilization of network resources for the internationalization of small and medium sized enterprises in Pakistan. It is proposed that the intensity of internationalization of small and medium sized enterprises is enhanced by development of organizational practices and cultural environment. An overview is provided of the importance of SME sector in Pakistan for the economic growth of the country. The current state of SME sector has been evaluated. It proceeds with the discussion of the factors essential for fostering the growth of SME’s in Pakistan. The importance of these factors such as strong entrepreneurial orientation and utilization of network resources has also been considered for the internationalization of small and medium sized enterprises in Pakistan.The paper concludes with the assessments of implications of these factors and suggestions for future research. Information is provided regarding the current situation of SME’s in Pakistan and the factors for the international growth of this sector have also been identified and studied. Factors under consideration are strong entrepreneurial orientation and utilization of network resources. Few hypotheses made regarding the implication of these factors have been evaluated and tested by several statistical methods. For the internationalization of SME’s in Pakistan these factors have been given special attention. In the industrial development of a country the importance of the SME sector cannot be ignored. SMEs constitute nearly 90% of all the enterprises in Pakistan; employ 80% of the non-agricultural labor force; and their share in the annual GDP is 40%, approximately. However, Pakistan Small and Medium Enterprises sector is facing many problems and challenges both domestic and international in achieving economics of scale and better prospects in marketing their products at international market and to gain the competitive advantage. Demand of the global era requires entrepreneurs who are willing to face risks, innovative, proactive and compete aggressively to be able to seek new opportunities and increase competition advantages. Innovation is needed to provide value added products through value creation, so that the competitive advantage could be gained. Entrepreneurs can utilize open source that involves external parties by utilizing network resources. This paper calls attention to ways in which SME’s of Pakistan can survive in this competitive environment. This paper investigates the chief factors for the internationalization of SME’s of Pakistan specifically focusing on the entrepreneurial orientation determinants such as pro-activeness, risk taking and competitive aggressiveness and utilization of network resources.


2019 ◽  
Vol 118 (2) ◽  
pp. 94-97
Author(s):  
Mohammad Mabrur Taufik ◽  
DewiPuspaningtyas Faeni

Small and Medium Enterprises and Indonesian Cooperatives (SMESCO) are strategies in promoting and introducing Indonesia's superior products to the international community. Through SMESCO, SME owners can work together on standardization of SME products, SME quality standardization and at the same time a forum for fostering SMEs to market their products, through human resource development programs including seminars, training, workshops and product introduction through online shops and mentoring programs. The research aims to prove and analyse the influence of: innovation strategies on the performance of SMEs in SMESCO Indonesia directly or through competitive advantage; innovation strategy towards competitive advantage; competitive advantage towards the performance of SMEs at SMESCO Indonesia. The research population is all SME companies that partner with SMESCO Indonesia. Sampling is done by probability sampling with a simple random sampling method. Data analysis using Structural Equation Modelling-Partial Least Squares, a sample of 147 small and medium business owners at SMESCO Indonesia. The results of the study prove: (1) The innovation strategy does not directly have a significant effect on the increasing performance of SME companies in SMESCO Indonesia but has a significant effect through competitive advantage; (2) Competitive advantage has a significanteffect on the increasing performance of SMEs in Indonesia.


2013 ◽  
Vol 1 (1) ◽  
pp. 191 ◽  
Author(s):  
Zachary B. Awino

The Paper is the research findings on the role of strategic planning and competitive advantage of ICT Small and Medium Enterprises in Kenya. Literature suggests that the contemporary business environment in which organisations operate is increasingly becoming uncertain and unpredictable. Significant changes are mostly driven by technological changes, globalisation and trade liberalisation. As a result, like large enterprises, SMEs are facing new and unexpected challenges that threaten their competitiveness. While most countries acknowledge the critical role that SMEs contribute to their economies, both as an engine of growth and sustainable development, many questions still remain unanswered as to the determination of the critical challenges facing SMEs and how these challenges could be addressed to improve their competitiveness. These challenges have increased the need for empirical information which is essential for decision making in addressing issues that are likely to enhance SMEs survival and growth. It is noted that there has been no adequate research studies on the role of strategic planning and competitive advantage of SMEs. This study contributes to the need to address the research gaps and thus explored the role of strategic planning and competitive advange of SMEs in Kenya. The study population consisted of 238 ICT SMEs from Nairobi and its environs. A sample size of 146 firms constituting 61 per cent of the total population was selected through stratified sampling. The study aimed to collect data from 438 respondents from top, middle and lower management teams. Structured questionnaires with closed and open ended questions was used for data collection, 239 responses were received from 123 ICT firms a response rate of 55 per cent and 84.2 per cent respectively. Key characteristics of strategic planning including formality, environmental analysis processes both internal and external orientations, strategies adopted, and implementation and control were recorded. Data analysis was done using descriptive statistics, factor analysis, t-test, ANOVA, correlation, correlation matrixes and regression analysis. The key findings revealed that strategic planning has significant and positive influence in performance of SME’s. The test of hypothesis revealed that strategic planning has positive and significant influence on competitive advantage. The study demonstrated strategic planning as a learning tool and a strategic resource which is consistent with the underlying assumptions of resource based theory, systems theory, chaos theory and balanced score card model assumptions. It is envisaged that, this kind of research is likely to generate useful discussions on the role of strategic planning and performance, of SMEs. It is apparent that entrepreneurs of SMEs cannot ignore strategic planning as significant changes in competitive advantage is the result of change or effective application of strategic planning. Policy makers and academicians may need to address the capacity needs of SMEs and develop strategic planning model that address the challenges that SMEs encounter in a dynamic environment.


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