Proceedings of the 1st International Conference on Economics and Business, ICEB 2023, 2-3 August 2023, Padang, Sumatera Barat, Indonesia

Research Article

Sustainable Competitive Advantage As Mediation Of Product Innovation And Product Quality Toward Business Performance

Download37 downloads
  • @INPROCEEDINGS{10.4108/eai.2-8-2023.2341512,
        author={Diana  Lestari and Ika Nurul Qamari},
        title={Sustainable Competitive Advantage As Mediation Of Product Innovation And Product Quality Toward Business Performance},
        proceedings={Proceedings of the 1st International Conference on Economics and Business, ICEB 2023, 2-3 August 2023, Padang, Sumatera Barat, Indonesia},
        publisher={EAI},
        proceedings_a={ICEB},
        year={2024},
        month={6},
        keywords={product innovation; product quality; sustainable competitive advantage; business performance},
        doi={10.4108/eai.2-8-2023.2341512}
    }
    
  • Diana Lestari
    Ika Nurul Qamari
    Year: 2024
    Sustainable Competitive Advantage As Mediation Of Product Innovation And Product Quality Toward Business Performance
    ICEB
    EAI
    DOI: 10.4108/eai.2-8-2023.2341512
Diana Lestari1,*, Ika Nurul Qamari1
  • 1: Universitas Muhammadiyah Yogyakarta, Indonesia
*Contact email: dianalestari@gmail.com

Abstract

The purpose of this research is to examine the impact of product innovation and product quality on long-term competitive advantage and business performance. Owners/managers/employees or strategic staff in the handicrafts Small and Medium Industry in Kulon Progo Regency, Indonesia, were the subjects of this study. The convenience sampling method was used to select 69 respondents for this study. SmartPLS 3.0 is a data analysis program. According to the study's findings, product innovation has a significant positive impact on business performance. In the meantime, product quality has no bearing on business performance. Sustainable competitive advantage has demonstrated the mediating role of product innovation on business performance but has failed to demonstrate the role of product quality as a mediator of business performance. This study also demonstrated that long-term competitive advantage has a significant positive direct impact on business performance.