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Analyzing the drivers of sustainable value creation, partnership strategies, and their impact on business competitive advantages of small & medium enterprises: a PLS-model

Author

Listed:
  • Ni Luh Putu Hariastuti

    (Ni Luh Putu Hariastuti; Adhi Tama Institute of Technology Surabaya)

  • Pratikto Pratikto

    (Brawijaya University)

  • Purnomo Budi Santoso

    (Brawijaya University)

  • Ishardita Pambudi Tama

    (Brawijaya University)

Abstract

Sustainable manufacturing is a critical phenomenon in the process of creating sustainable value. This is a way to increase innovation and resource quality. On the other hand, the partnership strategy is an important factor in efforts to improve company performance. The involvement of the partnership strategy is one of the factors that strengthen the achievement of sustainable values. Furthermore, this affects the sustainability of a manufacturing company's competitiveness, including Small and Medium Enterprises (SMEs). In this study, we focus on creating sustainable value and the role of partnership strategies in improving the business performance of SMEs engaged in the metal manufacturing industry. The Partial Least Squares (PLS) approach to Structural Equation Modeling (SEM) is used to evaluate relationships and effects based on survey data from small and medium industries. The results show that the creation of sustainable value, including products, processes, production, equipment, organization, and human values, has a significant impact (β=0.522; ρ

Suggested Citation

  • Ni Luh Putu Hariastuti & Pratikto Pratikto & Purnomo Budi Santoso & Ishardita Pambudi Tama, 2021. "Analyzing the drivers of sustainable value creation, partnership strategies, and their impact on business competitive advantages of small & medium enterprises: a PLS-model," Eastern-European Journal of Enterprise Technologies, PC TECHNOLOGY CENTER, vol. 2(13(110)), pages 55-66, April.
    • Handle: RePEc:baq:jetart:v:2:y:2021:i:13:p:55-66
    DOI: 10.15587/1729-4061.2021.228864
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    Cited by:

    1. Jiang, Yihuo & Ni, Hongliang & Guo, Xiaomei & Ni, Yihan, 2023. "Integrating ESG practices and natural resources management for sustainable economic development in SMEs under the double-carbon target of China," Resources Policy, Elsevier, vol. 87(PA).

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