Competitive Pressure and Business Performance in East Java Batik Industry
Noorlailie Soewarno (a*), Bambang Tjahjadi (b), Devitania Permatanadia (b)
a) Faculty of Economics and Business, Airlangga University
Jl. Airlangga No 4 sd 6, Surabaya 60286
*noorlailie-s[at]feb.unair.ac.id
b) Faculty of Economics and Business, Airlangga University
Jl. Airlangga No 4 sd 6, Surabaya 60286
Abstract
This study aim to prove the impact of competitive pressure and innovation capability toward business performance. Furthermore this study also explore the impact of competitive pressure toward business performance through innovation capability as mediating variable. 254 Small Business Company involved in this research as correspondents. The data for this study is collected using questionnaire, and analysed using SEM-PLS. The result of the study shows that 1) competition pressure influences business performance, 2) competition pressure also influences Innovation Capability. 3) The results of the study also showed that innovation influences business performance. 4) Innovation Capability has a partial mediating role to the effect of competitive pressures on business performance.
Keywords: Competitive Pressure; Innovation Capability; Bisnis Performance
Topic: Management, Enterpreneurship, and Leadership