Building knowledge-creation for making business competition atmosphere in SMEs of Batik

Abstract: Small and medium sized enterprises (SMEs) of Batik play strategic roles such as a substance, a mover, and a buffer of the nation’s economy and supporting the national economic growth sustain-ably. However, these SMEs have not been able to compete in both national and international levels. This is caused by the low rate of knowledge-creation. In line with this, this study aims to reveal how the knowledge-creation can create the competition atmosphere of the SMEs with the support from technology and entrepreneurship orientation. Additionally, the methodology employed in this study was explanatory survey design, with 286 Batik business units as sample. More specifically, the sampling technique to select the target area was non-probability in form of purposive sampling. The data were then analyzed using Structural Equation Modeling (SEM). Further, the result of this study reveals that knowledge-creation influences on creating the business competition atmosphere with the support of the technology and entrepreneurship and orientation. Based on the research finding, SMEs Batik finds it difficult to organize the collection of Explicit Knowledge into a more systematic media, due to the lack of media infrastructure to keep the knowledge. In addition, tech-nology adoption is not necessary for handmade batik by considering that handmade batik relies on personal skill.

How to cite this paper

 Hamdani, N. (2018). Building knowledge-creation for making business competition atmosphere in SMEs of Batik.Management Science Letters , 8(6), 667-676.

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