Knowledge sharing and absorptive capacity in improving the innovation performance of MSMEs handicrafts in Indonesia
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Author(s)Satria Mirsya Affandy NasutionLink to ORCID Index: https://orcid.org/0009-0003-6686-0732
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Raihanah DaulayLink to ORCID Index: https://orcid.org/0000-0003-2351-6010
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Nadia Ika PurnamaLink to ORCID Index: https://orcid.org/0000-0002-5427-132X
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Isma AlryaniLink to ORCID Index: https://orcid.org/0009-0003-0850-0261
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Neni Liana PurbaLink to ORCID Index: https://orcid.org/0009-0002-8230-0308
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DOIhttp://dx.doi.org/10.21511/ppm.23(2).2025.25
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Article InfoVolume 23 2025, Issue #2, pp. 357-370
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Creative Commons Attribution 4.0 International License
Knowledge sharing in MSMEs refers to sharing information, skills, or experiences between business owners, employees, customers, or other parties such as mentors, business communities, or educational institutions. This study aims to analyze the relationship between innovation performance and knowledge-sharing outcomes within handicraft MSMEs in Medan, Indonesia. It highlights the role of absorptive capacity as a crucial intermediary, emphasizing its importance in enhancing the connection between shared knowledge and improved innovation performance. A quantitative methodology is applied in alignment with the study’s objectives, as the research involves numerical and statistical data. Methods for collecting the data included interviews and questionnaires. The total population for this study comprises 165 managers/owners of handicraft MSMEs in Medan, Indonesia. The analysis is conducted using the SEM-PLS technique. The findings indicate that knowledge-donating and knowledge-collecting, as pillars of knowledge sharing, are key in bolstering absorptive capacity and advancing innovation performance. This relationship is statistically supported with a p-value of less than 0.05. Indirectly, knowledge-donating significantly affects innovation performance through absorptive capacity (p < 0.05), and knowledge-collecting significantly affects innovation performance through absorptive capacity in handicraft MSMEs in Medan, Indonesia (p < 0.05). Based on this study’s results, MSMEs in the craft sector can increase innovation by building a culture of knowledge sharing internally among employees and externally with business partners, communities, or clients.
Acknowledgment
The study was funded in 2024 under the Basic Research - Regular (PF-R) category by the Republic of Indonesia’s Ministry of Education, Culture, Research and Technology. The administration of the Faculty of Economics and Business, as well as the staff of the Institute for Research and Community Service (LPPM) at Universitas Muhammadiyah Sumatera Utara, were also thanked, along with the other levels of administration at the university.
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JEL Classification (Paper profile tab)D83, L89, M31
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References53
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Tables11
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Figures1
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- Figure 1. Research model
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- Table 1. Outer loading
- Table 2. Cronbach’s alpha, composite reliability, average variance extracted
- Table 3. Discriminant validity
- Table 4. Heterotrait-monotrait ratio (HTMT)
- Table 5. Fornell-Larcker criterion
- Table 6. Average Communalities Index
- Table 7. R-squared
- Table 8. F-square
- Table 9. Path coefficient
- Table 10. Specific indirect effects
- Table A1. Questionnaire survey
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Non-financial factors affecting the operational performance of hospitality companies: Evidence from Vietnam
Trung Kien Phan ,
Thi Hong Thuy Nguyen ,
Thu Ha Dang ,
Van Thuan Tran ,
Kim Ngoc Le
doi: http://dx.doi.org/10.21511/ppm.19(4).2021.05
Problems and Perspectives in Management Volume 19, 2021 Issue #4 pp. 48-62 Views: 9545 Downloads: 1485 TO CITE АНОТАЦІЯNon-financial factors including quality of services, the flexibility of a company, utilization of resources, and market orientation are regarded as significant determinants that enhance the profitability-based performance of a service company or a hotel. The study investigated the interaction between these factors and hotel operating performance measured by the hospitality performance and results indicators. Data on 346 executives of Vietnam’s hospitality companies were collected. A structural equation modeling (SEM) method was utilized to examine the positive-direct and moderating effects of non-financial factors on hotel performance in terms of occupancy rate (OCR), average daily rate (ADR), and the revenue per available room (RevPAR). The findings showed that service quality ( = 0.118, p < 0.05), flexibility ( = 0.173, p < 0.05) and resource utilization (= 0.172, p < 0.05) positively affected the performance of Vietnam’s hospitality companies. Meanwhile, innovation showed no direct influence (p = 0.068) but an indirect impact on the performance through service quality ( = 0.311, p < 0.05). Market orientation did not impact the performance (p = 0.076) but it positively affected both innovation ( = 0.322, p < 0.05) and service quality ( = 0.146, p < 0.05). The study contributed to a theoretical enhancement of the current level of knowledge on the factors that affect the performance and developed a reliable scale for measuring the performance of hotels in Vietnam.
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Exploring fast moving consumer goods (FMCG) small, medium and micro enterprises manufacturers’ need for innovation to achieve growth
Lawrence Mpele Lekhanya ,
Nze Grace Olajumoke ,
Dorasamy Nirmala
doi: http://dx.doi.org/10.21511/ee.08(2).2017.01
Environmental Economics Volume 8, 2017 Issue #2 pp. 8-16 Views: 5981 Downloads: 1246 TO CITE АНОТАЦІЯThe purpose of this paper is to investigate the problems of the sustainable development, to explore the level of innovation in the fast moving consumer goods (FMCG) manufacturing SMMEs sectors, which most affects on the state of the environment, to identify the causes of low innovation in the industry and to examine these factors influence on the effectiveness of SMMEs manufacturers innovation strategies, as well as to invent a new innovation strategic approach to overcome innovation problems in the economic growth of fast moving consumer goods SMMEs manufacturers. The study is aimed to determine the level of innovation and factors contributing to low innovation in fast moving consumer goods (FMCG) SMMEs manufacturers, which hinder their economic performance. Mixed approach of quantitative and qualitative questionnaire is used for primary data collection. Sample consists of 120 SMMEs. Statistical Package for Social Sciences (SPSS) (23.0) was employed for data analysis. The study results are presented with figures and diagrams. This study will be a useful tool for general public and relevant stakeholders in this sector.
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Perceived health risk, online retail ethics, and consumer behavior within online shopping during the COVID-19 pandemic
Yuniarti Fihartini ,
Arief Helmi ,
Meydia Hassan ,
Yevis Marty Oesman
doi: http://dx.doi.org/10.21511/im.17(3).2021.02
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