BUSINESS ENVIRONMENT, INNOVATION CAPABILITY AND BUSINESS PERFORMANCE: EMPIRICAL STUDY OF JAKARTA’S FLOUR BASED FOOD SMEs

V. Rachmadi Parmono(1*), Y. Eko Widodo(2),

(1) Atma Jaya Catholic University
(2) Atma Jaya Catholic University
(*) Corresponding Author

Abstract


This study is concerned on the relationship between innovation capability and business performance in small and medium enterprises context. The existing studies generally have analyzed the issues pertaining of innovation capability in large business or knowledge intensive firm context. By researching of the innovation capability of small and medium enterprises (SME’s), it will review innovation capability in a broader and novel context. The SME’s operate in a competitive environment and are not very advanced technologically. This research proposes statistical hypotheses to study these based on data samples. By employing path analysis, This research test the relationship between innovation categories and business performance. The result of our study show that government regulation directly affects to innovation capability, product and process innovation capability directly affect business performance in SME’s. Finally, managerial implication will be discussed.


Keywords


innovation capability, business performance, path analysis

Full Text:

PDF


DOI: https://doi.org/10.24123/jmb.v8i1.137

Article Metrics

Abstract view : 0 times
PDF - 0 times

Refbacks

  • There are currently no refbacks.




Copyright (c) 2016 Journal of Management and Business



Creative Commons License

This work is licensed under a Creative Commons Attribution 4.0 International License. ISSN: 1412-3789. e-ISSN: 2477-1783.

Google Scholar Google ScholarGARUDA - Garba Rujukan Digital
 mabis statistics