Do Mobile Applications Give Competitive Advantage To Small And Medium Enterprises? Lessons From Indonesia

74 Pages Posted: 4 Aug 2022 Last revised: 17 Sep 2022

See all articles by Karto Adiwijaya

Karto Adiwijaya

DEPARTEMEN MANAJEMEN FAKULTAS EKONOMI UNIVERSITAS INDONESIA

Ibrahim Rohman

University of Indonesia

Moinul Zaber

United Nations University; University of Dhaka

Date Written: August 4, 2022

Abstract

This study empirically ascertains the effect of the mobile-app-based business process (MAP) of the Small and Medium enterprises (SME) on its competitive advantage in the Indonesian Context. We identify essential factors using the Theory of Consumption Values and the Theory of Planned Behavior that influence MAP. Data for this quantitative study were collected from SMEs in Indonesia. To evaluate the relationship between observable and unobservable constructs we used structural equation modeling (SEM) and Smart partial least square (PLS) version 3.3.9 to test the model fit with the data statistically. The study finds that consumer choice behavior, attitude toward mobile apps, perceived behavioral control, and subjective behavioral control positively and significantly affect the mobile app-business process. MAP also can positively improve SMEs’ competitive advantage. This study contributes to the development of the Theory of Consumption Values and Theory of Planned Behavior, and their effect on the performance of SMEs in the context of the mobile-app-based business processes. This study also provides managerial implications on how to increase the competitiveness of SMEs through the development of MAP.

Suggested Citation

Adiwijaya, Karto and Rohman, Ibrahim and Zaber, Moinul, Do Mobile Applications Give Competitive Advantage To Small And Medium Enterprises? Lessons From Indonesia (August 4, 2022). Available at SSRN: https://ssrn.com/abstract=4181855 or http://dx.doi.org/10.2139/ssrn.4181855

Karto Adiwijaya

DEPARTEMEN MANAJEMEN FAKULTAS EKONOMI UNIVERSITAS INDONESIA ( email )

Kampus Baru
Depok, West Java 16424
Indonesia
+62-87870783433 (Phone)
+62-21-89108623 (Fax)

HOME PAGE: http://ssrn.com/author=1466449

Ibrahim Rohman

University of Indonesia

Depok, 16424
Indonesia

Moinul Zaber (Contact Author)

United Nations University

guimaraes
Guimares, 4800-431
Portugal

University of Dhaka ( email )

University of Dhaka
Dhaka 1000
Ramna, Dhaka, Dhaka 1000
Bangladesh

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