Moderating Effect of Innovation on Strategy-Financial Performance Relationship: Experience of "Batik" SMEs

DOI

10.2991/icoi-17.2017.29How to use a DOI?

Keywords

Strategy, innovation, financial performance

Abstract

This study aims to prove empirically that innovation moderates the relationship between strategy and financial performance. The main contribution of this study is to provide evidence of the resource-based theory, especially in the context of small medium enterprises (SMEs) research setting involving three variables, namely: strategy, innovation, and financial performance. Mixed method is used in this study for the reason that it can reveal more in-depth explanation about the phenomena. As many as 71 managers of batik SMEs in Solo city participated. The result of this study shows that innovation significantly moderates strategy-financial performance relationship. Innovation is a pure moderating variable.

Copyright

© 2017, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Ivon Yossy
AU  - Bambang Tjahjadi
PY  - 2017/07
DA  - 2017/07
TI  - Moderating Effect of Innovation on Strategy-Financial Performance Relationship: Experience of "Batik" SMEs
BT  - Proceedings of the 2017 International Conference on Organizational Innovation (ICOI 2017)
PB  - Atlantis Press
SP  - 168
EP  - 173
SN  - 1951-6851
UR  - https://doi.org/10.2991/icoi-17.2017.29
DO  - 10.2991/icoi-17.2017.29
ID  - Yossy2017/07
ER  -