Competitiveness Factors and MSME Performance: Insights from Jambi Province
Keywords:
Competitiveness factors, MSME performance, Entrepreneurship
Abstract
This study aims to analyze the impact of competitiveness factors on MSME performance in Jambi Province. The research focuses on four key competitiveness factors: financial capabilities, entrepreneurial skills, government policies, and technological advancements. Utilizing a quantitative approach, data were collected from 100 MSMEs through structured questionnaires. The analysis was conducted using Partial Least Squares (PLS) through Smart PLS 3 software. The findings indicate that entrepreneurial skills are the most significant factor influencing MSME performance, with profit growth identified as a key performance indicator. These results suggest that enhancing entrepreneurial capabilities and leveraging regional strengths can improve MSME competitiveness and sustainability in both local and global markets.
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Kukharuk, A., & Gavrysh, J. (2019). Competitiveness of SMEs in terms of industry 4.0. In International Conference on Creative Business for Smart and Sustainable Growth (CreBUS 2019) (pp. 1–4). https://doi.org/10.1109/CREBUS.2019.8840103
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United Nations Development Programme (UNDP). (2022). Supporting MSMEs in the post-pandemic era: Challenges and opportunities. Retrieved from https://www.undp.org
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Yanah, Y., Nakhwatunnisa, H., & Sukarno, T. A. (2018). Strategy to increase the competitiveness of SME’s enterprises. Jejak, 11(1), 138–150. https://doi.org/10.15294/jejak.v11i1.11705
Anggraeni, S. K., Maarif, M. S., Sukardi, Raharja, S., & Harjo. (2017). Strategi peningkatan daya saing usaha kecil menengah berbasis olahan ikan di Indonesia: Suatu tujuan. Jurnal Industrial Services, 3(1), 331–341.
Ardianingsih, A., Ilmiani, A., & Sunardjo, W. A. (2017). Faktor-faktor yang berpengaruh pada keunggulan kompetitif UKM Batik. Pena Jurnal Ilmu Pengetahuan dan Teknologi, 31(2), 7–14.
Asian Development Bank (ADB). (2023). Strengthening competitiveness of MSMEs in Southeast Asia. Retrieved from https://www.adb.org
Badan Pusat Statistik (BPS). (2022). Statistik UMKM Indonesia. Retrieved from https://www.bps.go.id
Bhawsar, P., & Chattopadhyay, U. (2015). Competitiveness: Review, reflections, and directions. Global Business Review, 16(4), 665–679. https://doi.org/10.1177/0972150915581115
Dvouletý, O., & Blažková, I. (2020). Determinants of competitiveness of the Czech SMEs: Findings from the global competitiveness project. Competitiveness Review. https://doi.org/10.1108/CR-01-2020-0007
Dvorský, J., Čepel, M., Simionescu, M., & Ďurana, P. (2021). The influence of competitiveness on start-up in SMEs segment. Business Administration and Management, 24(1), 102–117. https://doi.org/10.15240/TUL/001/2021-1-007
Efendi, S., Sugiono, E., Guritno, E., Sufyati, E., & Hendryadi, E. (2020). Building innovation and competitiveness for low technology manufacturing SMEs through imitating capability and learning: The case of Indonesia. Cogent Social Sciences, 6(1). https://doi.org/10.1080/23311886.2020.1803515
Fritsch, M., & Wyrwich, M. (2017). The effect of entrepreneurship on economic development: An empirical analysis using regional entrepreneurship culture. Journal of Economic Geography, 17(1), 157–189. https://doi.org/10.1093/jeg/lbv049
Jambi Statistics Bureau. (2023). Laporan Statistik UMKM Provinsi Jambi. Retrieved from https://www.jambistatistics.go.id
Kukharuk, A., & Gavrysh, J. (2019). Competitiveness of SMEs in terms of industry 4.0. In International Conference on Creative Business for Smart and Sustainable Growth (CreBUS 2019) (pp. 1–4). https://doi.org/10.1109/CREBUS.2019.8840103
Organisation for Economic Co-operation and Development (OECD). (2021). The role of SMEs and entrepreneurs in driving inclusive and sustainable recovery. Retrieved from https://www.oecd.org
Roswita Hafni, A. R. (2020). Analisis usaha mikro, kecil, dan menengah (UMKM) terhadap penyerapan tenaga kerja di Indonesia. Jurnal Ilmu Ekonomi dan Studi Pembangunan, 15, 77–96.
United Nations Development Programme (UNDP). (2022). Supporting MSMEs in the post-pandemic era: Challenges and opportunities. Retrieved from https://www.undp.org
World Economic Forum. (2021). The future of SMEs in a globalized world. Retrieved from https://www.weforum.org
Yanah, Y., Nakhwatunnisa, H., & Sukarno, T. A. (2018). Strategy to increase the competitiveness of SME’s enterprises. Jejak, 11(1), 138–150. https://doi.org/10.15294/jejak.v11i1.11705
Published
2025-03-08
How to Cite
Tona Aurora Lubis, Firmansyah, F., Mukhzarudfa, M., Utama, A. N. B., Sari, N., & Ningsih, M. (2025). Competitiveness Factors and MSME Performance: Insights from Jambi Province. International Journal of Economics, Business and Innovation Research, 4(02), 794-805. https://doi.org/10.63922/ijebir.v4i02.1653
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