Entrepreneurship strategy for improving business performance using internet technology-based business application

Utomo, Mohamad Nur and Ariani, Meiliyah and Safitri, Julia and Kaujan, (2019) Entrepreneurship strategy for improving business performance using internet technology-based business application. European Journal of Management Issues, 27 (1-2). pp. 36-45. ISSN 2519-8564

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Abstract

Purpose – to conduct an empirical test over the effect of entrepreneurship competency on business performance using Internet technologybased business applications. Design/Method/Approach. The research population is from small-and-medium Enterprises (SMEs) in the city of Tarakan. The determined sample is based on the observed area; hence, the technique is called probability sampling area. The data analysis technique is Partial Least Square-Structural Equation Modelling (PLS-SEM), run by WarpPls 6.0. Findings. This research's results indicate that entrepreneurship competency has a positive impact on Internet technology-based business applications. Besides, internet technology-based business application mediates the effect of entrepreneurship competency on business performance. Theoretical implications. The results support the Resource-Based View Theory, stating that the competitive advantage of an enterprise is derived from its unique resource. Practical implications. Internet technology-based business applications can be used as entrepreneurship strategies to develop business performance. Originality/Value. The originality of this research is the internet technology-based business application as a mediating variable between entrepreneurship competence and business performance. Research limitations/Future research. The research has its limitations; it only uses limited SME research samples in the city of Tarakan. Future research can expand the sample through other Indonesian cities.

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