Jently f.tamailang, Allen
Ch. Manongko, Lihard S.Lumapow, Edwin Wantah
Manado State University
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ARTICLE INFO |
ABSTRACT |
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Received: 09-09-2021 Revision: 11-10-2021 Date
received: 9-11-2021 |
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Keywords: market orientation; entrepreneurial orientation; competitive
advantage and performance of SMEs in the culinary field |
Introduction
Coastal
areas in general have regional characteristics that have abundant natural
resources, (TRIDIPTA,
2012).
Meanwhile, the development of a region leads to the equity that supports
economic growth (efficiency), and sustainability (Rustiadi, 2018).
According to (WURARA, PANGKEY, &
RURU, 2021)
Even though in today's mass the spread of the coronavirus is so easy, but in
developing an entrepreneurial spirit among MSME actors. Creativity and
innovation are also very important roles (Sahertian, 2010).
According to (Kristiyanti, 2012)
the strategic role of MSMEs in national economic development is to play a role
in the distribution of the results of builders. While
on the micro side, the function of entrepreneurs in companies includes taking risks
and uncertainties, combining resources in new and different ways, creating
added value, new businesses, and new opportunities (Suryana, 2014)
According
to Law Number 20 of 2008 Definition of Micro, Small, and Medium Enterprises
(MSMEs) is a business run by individuals or groups of people on a small scale.
MSMEs play an important role in the wheels of the Indonesian economy, therefore
MSME actors must be able to make MSME performance better. (Wahyudiati & Isroah,
2018)
MSME performance is the result of work achieved as a whole and compared with
work results, targets, targets, or criteria that have been determined in
advance and have been mutually agreed upon in a business entity with asset and
turnover criteria that have been determined in the law. According to (Sari, 2016)
explaining that market orientation and innovation have a significant effect on
the performance of SMEs. (Istanto, 2012)
explains that Competitive Advantage and Positioning Advantage Strategy can
affect business performance. (Sari, 2016)
entrepreneurial orientation and product innovation can affect business
performance. Mega vitae (2015) explains that competitive advantage can be a
variable that mediates the effect of entrepreneurial orientation and market
orientation on company performance.
According
to (Hesterly & Barney,
2008),
a company achieves a competitive advantage if the company implements a
value-creating strategy that is not done by other companies at the same time.
According to (Apriliani & Ferdinand,
2015),
competitive advantage arises when consumers think that they receive more value
from the transactions they do compare to a competitor.
Entrepreneurial
orientation is defined as the orientation of a company that has principles on
efforts to identify and exploit opportunities, Lumpkin and Dessin (Sari, 2016).
(Syukron & Ngatno,
2016)
define market orientation as a process and activity related to customer
creation and satisfaction by continuously assessing customer needs and desires.
Based
on the phenomenon in South Bolaang Mongondow Regency, it can be seen that what happened to the
UMKM in South Bolaang Mongondow
Regency, the average net wealth of UMKM was in a position that was not seen in
the last 4 years. In 2017, the average net wealth of MSMEs was Rp.
36,699,896,053, in 2018 the average net wealth of MSMEs was Rp. 304,269,832, in
2019 it was Rp. 153,300,000 and in 2020 it was Rp. 60,853,966. in Bolaang Mongodow Selatan Regency
from 2017 to 2020 every year it decreases.
It
was also found that there were MSME actors who gave prices of goods and
services that were too high or exceeded the normal price and the quality of the
product was also not good for consumption, while in (Damayanti, 2018)
the price and quality of the product are some indicators of competitive
advantage. Thus, it can be stated that the competitive advantage of SMEs in the
Bolaang Mongondow Regency
is still low. It was also found that MSME actors did not make new products or
product innovations and did not dare to take risks to make new products, while Covin and Slevin in (Fadhilah, 2020)
innovation and daring to take risks are part of indicators to measure
entrepreneurial orientation. Thus, it can be stated that the entrepreneurial
orientation of MSME actors in the South Bolaang Mongondow Regency is still lacking. There is also
information from MSME customers that customers are dissatisfied with the
quality of the products provided by MSMEs, while Uncles in (Syukron & Ngatno,
2016)
defines market orientation as a process and activity related to customer
creation and satisfaction by way of continuously assess customer needs and
wants. Thus, it can be stated that the market orientation of MSMEs in the
southern Bolaang Mongondow
Regency is still lacking. For this reason, researchers want to know more about
the performance of SMEs, competitive advantage, entrepreneurial orientation,
market orientation and raise the title of the study "the influence of
entrepreneurial orientation and market orientation on the performance of SMEs
in the culinary field through competitive advantage in South Bolaang Mongondow Regency".
Method
The method used in this study is a survey method with a
quantitative approach where the researchers collect information by
compiling questions using questionnaires to respondents. The quantitative
approach in this study is to analyze existing theories, namely to analyze the
influence of entrepreneurial orientation and market orientation on the
performance of SMEs through competitive advantage in South Bolaang
Mongondow Regency starting from theory, hypothesis,
observation, and then confirmation.
Results And
Discussion
A.
Direct Influence
1.
The direct
effect of X1 entrepreneurial orientation on the competitive advantage of SMEs
in the culinary field X3
The results of
this study found that entrepreneurial orientation had a positive and
significant direct effect on the competitive advantage of SMEs in the culinary
field in South Bolaang Mongondow Regency. That is, if the entrepreneurial
orientation becomes better, the competitive advantage of SMEs in the culinary
field will increase for the better. With the relationship of each indicator of
entrepreneurial orientation with a competitive advantage, namely: being
proactive with the accessibility of the relationship with the sufficient
category, proactive with the productive relationship with the sufficient
category, proactive with the service relationship with the sufficient category,
innovative with the accessibility of the relationship with the sufficient category,
Risk-taking with the accessibility of the relationship with sufficient
category, risk-taking with relationship product with sufficient category, risk-taking
with relationship service with sufficient category. The results of this study
are in line with research conducted by (Sulistyawati, Indarto,
& Saifudin, 2018) with the results of research that entrepreneurial orientation has a
significant effect on competitive advantage.
2. The direct effect of market orientation X2 on
competitive advantage in the culinary field X3
The results of
this study found that market orientation had a direct and positive effect on
the competitive advantage of SMEs in the culinary field in South Bolaang
Mongondow Regency. That is, if the market orientation becomes better, the
competitive advantage of SMEs in the culinary field will increase. With the
relationship of each market orientation indicator with indicators of
competitive advantage, namely: consumer satisfaction with the accessibility of
the relationship with the sufficient category, consumer satisfaction with the
product relationship with the sufficient category, consumer satisfaction with
the service relationship in the sufficient category, consumer complaints with
the accessibility of the relationship in the strong category, consumer complaints
with relationship products in strong category, consumer complaints with
relationship services in sufficient category, monitoring competitor's actions
with relationship accessibility insufficient category, monitoring competitors'
actions with relationship products in moderate category, monitoring competitor
actions with relationship service in sufficient category, responses to changes
made by competitors with relationship accessibility moderate category,
responses to changes made by competitors with relationship product indicators
are insufficient category, responses to changes made by competitors with
relationship services are insufficient category. The results of this study are
in line with research conducted by (Damayanti, 2018) with the results of market orientation research having a positive and
significant effect on competitive advantage.
3.
The direct effect of X1's entrepreneurial orientation on the performance of
SMEs in the culinary field
That is, if the
entrepreneurial orientation becomes better, the performance of SMEs in the
culinary field will increase. With the relationship of each indicator of
entrepreneurial orientation with performance indicators of MSMEs in the
culinary sector, namely: proactive with strong relationship sales growth,
proactive with strong relationship capital growth, proactive with growing
additional relationships insufficient category, proactive with market growth
and relationship marketing in moderate category, proactive with growth in
profit or operating profit, relationship in strong category, innovative with
growth in sales, relationship in moderate category, innovative with growth in
relationship capital, in strong category, innovative with increase in
workforce, relationship in moderate category, innovative with market growth and
relationship marketing in moderate category, innovative with profit growth or
operating profit with a strong category, risk-taking with sales growth in a
strong relationship, risk-taking with capital growth in a strong relationship,
risk-taking with an increase The labor force each year has a strong category,
risk-taking with market growth and relationship marketing is in a strong
category, risk-taking with profit growth or profit-taking is a strong
relationship. The results of this study are in line with research conducted by (Sari, 2016) with the results of research on entrepreneurial orientation having a
positive and significant effect on the performance of SMEs.
4.
The direct effect of market orientation X2 on the performance of SMEs in
the culinary field Y
The results of
this study found that market orientation had a direct and positive effect on the
performance of SMEs in the culinary field in the South Bolaang Mongondow
Regency. That is, if the market orientation becomes better, the performance of
MSMEs will also increase for the better. With the relationship of each market
orientation indicator with the performance indicators of MSMEs in the culinary
field, namely: Consumer satisfaction with sales growth in a strong category,
Consumer satisfaction with relationship capital growth in a strong category,
Consumer satisfaction with additional workforce every year, a strong
relationship, Consumer satisfaction with growth market and relationship
marketing in strong category, consumer satisfaction with growth in profit or
business profit in strong category, consumer complaints with sales growth in
relationship in strong category, consumer satisfaction with growth in
relationship capital in strong category, consumer satisfaction with additional
workforce each year, relationship in strong category, satisfaction consumers
with market growth and relationship marketing in strong category, consumer
satisfaction with profit growth or business profit in strong category,
Monitoring competitor actions with relationship sales growth in category k
strong, Monitor competitors' actions with strong relationship capital growth,
Monitor competitors' actions with additional workforce every year, strong
relationships, Monitor competitors' actions with strong market growth and
relationship marketing, Monitor competitors' actions with strong profit growth
or business profit relationships, Responses to changes made by competitors with
strong relationship growth, Responses to changes made by competitors with
strong relationship capital growth, Responses to changes made by competitors
with additional workforce every year, relations in sufficient category,
Responses to changes made by competitors with market growth and relationship
marketing in strong category. Response to changes made by competitors with
profit growth or business profit in a strong category. The results of this study
are in line with research conducted by (Baker & Sinkula, 2009) with the results of market orientation research having a positive and
significant effect on business performance.
5.
The direct influence of competitive advantage X3 on the performance of SMEs
in the culinary field Y
The results of
this study found that competitive advantage has a direct and positive effect on
the performance of SMEs in the culinary field in the South Bolaang Mongondow
Regency. That is, if the competitive advantage increases, the performance of
MSMEs will also increase for the better. With the relationship of each
indicator of competitive advantage with the performance indicators of MSMEs in
the culinary sector, namely: accessibility with sales growth in a strong
category, accessibility with growth in relationship capital in a strong
category, accessibility with additional workforce every year, a strong
relationship, accessibility with market growth and relationship marketing.
strong category, accessibility with profit growth or business profit
relationship strong category, a product with strong relationship sales growth, a
product with strong relationship capital growth, a product with additional
workforce every year strong relationship category, a product with market growth
and relationship marketing strong category, Products with strong profit growth
or relationship operating profit, service with strong relationship sales
growth, service with strong relationship capital growth, service with additions
n every year the workforce is in a strong category, service with market growth
and relationship marketing is in a strong category, service with profit growth
or business profit is in a strong category. The results of this study are in
line with research conducted by (Widiastuti, Surbakti,
Restu, Albana, & Saputra, 2019) with the results of
research that competitive advantage has a direct effect on cooperative business
performance.
B.
Indirect influence
1.
The effect of entrepreneurial orientation X1 on the performance of SMEs in
the culinary field Y through competitive advantage X3
The results of
this study found that entrepreneurial orientation had no significant effect on
the performance of SMEs in the culinary field through competitive advantage in
South Bolaang Mongondow Regency. That is, competitive advantage cannot be an
intervening variable of the influence of entrepreneurial orientation on the
performance of SMEs in the culinary field because the direct influence of
entrepreneurial orientation on the performance of SMEs in the culinary field is
greater than the influence of entrepreneurial orientation on the performance of
SMEs in the culinary field through competitive advantage. The results of this
study are not in line with research conducted by (Setyawati, 2013) which states that competitive advantage mediates or becomes intervening
the relationship between entrepreneurial orientation and business performance.
2.
The effect of market orientation X2 on the performance of SMEs in the
culinary field Y through competitive advantage X3
The results of
this study found that market orientation had no significant effect on the
performance of SMEs in the culinary field through competitive advantage in
South Bolaang Mongondow Regency. That is, competitive advantage cannot be an
intervening variable of the influence of market orientation on the performance
of SMEs in the culinary field because the direct influence of market
orientation on the performance of SMEs in the culinary field is greater than
the influence of market orientation on the performance of SMEs in the culinary
field through competitive advantage. The results of this study are not in line
with research conducted by (Setyawati, 2013) which states that competitive advantage mediates or becomes intervening
the relationship between market orientation and business performance. Because
the test results in this study are slenderly better or greater than the
indirect test results.
Conclusion
Based on
the results of the research discussed, the conclusions of this study are:
Entrepreneurial
orientation has a positive and significant effect, even the advantages
increase. Market orientation can also increase its competitive advantage. While
entrepreneurial orientation makes its performance improve for the better. Even
if competitive advantage increases, its performance will increase for the
better. However, competitive advantage cannot be an intervening variable.
entrepreneurship through competitive advantage.
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Copyright holder: Jently f.tamailang, Allen Ch. Manongko,Lihard S.Lumapow dan
Edwin Wantah (2021) |
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