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Proceedings of the 1st UHAMKA International Conference on Economics and Business, UHICEB 2023, 18-19 December 2023, Jakarta, Indonesia

Research Article

The Impact of Absorptive Capacity, Organizational Learning Capability, Innovation Capability, and Social Media Adoption towards SME Performance in Indonesia

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  • @INPROCEEDINGS{10.4108/eai.18-12-2023.2349523,
        author={Tita  Yorinda and Ratih Dyah Kusumastuti  Dyah Kusumastuti},
        title={ The Impact of Absorptive Capacity, Organizational Learning Capability, Innovation Capability, and Social Media Adoption towards SME Performance in Indonesia},
        proceedings={Proceedings of the 1st UHAMKA International Conference on Economics and Business, UHICEB 2023, 18-19 December 2023, Jakarta, Indonesia},
        publisher={EAI},
        proceedings_a={UHICEB},
        year={2024},
        month={12},
        keywords={entrepreneurial orientation absorptive capacity organizational learning capability innovation capability social media adoption sme performance},
        doi={10.4108/eai.18-12-2023.2349523}
    }
    
  • Tita Yorinda
    Ratih Dyah Kusumastuti Dyah Kusumastuti
    Year: 2024
    The Impact of Absorptive Capacity, Organizational Learning Capability, Innovation Capability, and Social Media Adoption towards SME Performance in Indonesia
    UHICEB
    EAI
    DOI: 10.4108/eai.18-12-2023.2349523
Tita Yorinda1,*, Ratih Dyah Kusumastuti Dyah Kusumastuti1
  • 1: University of Indonesia
*Contact email: tita.yorinda@ui.ac.id

Abstract

The purpose of this paper is to identify which organization’s capability that could contribute to small and medium enterprises (SMEs) performance of Indonesia with EO sight. The study also investigates the implication of SMA in Indonesia SMEs and explores the impact towards its performance. The conceptual research model is designed from several literature and theories, with cross sectional method by sharing online questionnaire built from Google form. By utilizing IBM SPSS Statistics 25, the model is validated and reliability tested. Regarding the model structure measurement, the author utilized partial least square of structural equation modelling technique by smartPLS with the total usable responses of 280 respondents which are business owners and/or managers of SMEs in Indonesia. It is confirmed that entrepreneurial orientation has direct effect to absorptive capacity, innovation capability, organizational learning capability, social media adoption in Indonesia SMEs. Absorptive capacity has direct impact to innovation capability, and so does the direct effect of innovation capability and social media adoption towards SME performance. However, organizational learning capability’s direct impact towards innovation capability is not significant.

Keywords
entrepreneurial orientation absorptive capacity organizational learning capability innovation capability social media adoption sme performance
Published
2024-12-13
Publisher
EAI
http://dx.doi.org/10.4108/eai.18-12-2023.2349523
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