Share:


Inimitable-based innovative entrepreneurship as mediation concepts of information technology roles on organizational performance

    Iwan Hermawan   Affiliation
    ; Suharnomo Suharnomo Affiliation
    ; Mirwan Surya Perdhana Affiliation

Abstract

The creative economy paradigm emphasizes the importance of ideas and intellectual property as an entrepreneurial prerequisite for being able to survive in fierce global competition. Today, an entrepreneur is required to create products with unique differences in power over competitors to stay alive in the industry. Organizational external and internal resources such as Information Technology (IT) and local culture are strategic asset sources that have an important role in building business performance. This study departs from the gap of research that is still inconclusive about the effect of IT on Organizational Performance (OP). The research direction offers novelty concepts from the perspective of resourcebased entrepreneurship theory. This paper offers the concept of Inimitable-based Innovative Entrepreneurship (IBIE),which in its ontology IBIE is the application of innovation distribution of product attributes sourced from the local nuances of design so that it becomes an iconic product that is difficult to emulate. The direction of this study will examine the concept of IBIE at the organizational level. The sample is 138 creative entrepreneurs who are SME owners who base their needs on design images that are always renewable. Hypothesis testing carried out shows empirically the IBIE variable has been able to act as a full mediation variable to bridge the gap between IT (Beta (β) = 0.747) and OP (β = 3.341). IBIE becomes a concept that fills the space of the influence of IT on OP in the body of knowledge in the entrepreneurship domain.

Keyword : information technology, organizational performance, entrepreneurship, creative industry

How to Cite
Hermawan, I., Suharnomo, S., & Perdhana, M. S. (2021). Inimitable-based innovative entrepreneurship as mediation concepts of information technology roles on organizational performance. Business: Theory and Practice, 22(2), 380-391. https://doi.org/10.3846/btp.2021.13036
Published in Issue
Oct 14, 2021
Abstract Views
758
PDF Downloads
718
Creative Commons License

This work is licensed under a Creative Commons Attribution 4.0 International License.

References

Abbas, S. A. (2018). Entrepreneurship and information technology businesses in economic crisis. Entrepreneurship and Sustainability, 5(3), 682–692. https://doi.org/10.9770/jesi.2018.5.3(20)

Ainin, S., Naqshbandi, M. M., & Dezdar, S. (2016). Impact of adoption of Green IT practices on organizational performance. Quality & Quantity, 50(5), 1929–1948. https://doi.org/10.1007/s11135-015-0244-7

Alaarj, S., Abidin-Mohamed, Z., & Bustamam, U. S. B. A. (2016). Mediating role of trust on the effects of knowledge management capabilities on organizational performance. Procedia – Social and Behavioral Sciences, 235, 729–738. https://doi.org/10.1016/j.sbspro.2016.11.074

Almazan, D. A., Tovar, Y. S., & Quintero, J. M. M. (2017). Influence of information systems in organizational performance. Contadurķa y Administración, 62(2), 303–320. https://doi.org/10.1016/j.cya.2016.07.005

Alvarez, S. A., & Busenitz, L. W. (2001). The entrepreneurship of resource-based theory. Journal of Management, 27(6), 755–775. https://doi.org/10.1177/014920630102700609

Barba-Sanchez, V., Calderon-Milan, M. J., & Atienza-Sahuquillo, C. (2018). A study of the value of ICT in improving corporate performance: a corporate competitiveness view. Technological and Economic Development of Economy, 24(4), 1388–1407. https://doi.org/10.3846/tede.2018.3114

Barney, J. (1991). Firm resources and sustained competitive advantage. Journal of Management, 17(1), 99–120. https://doi.org/10.1177/014920639101700108

Baumol, W. J. (2010). The microtheory of innovative entrepreneurship. Princeton University Press. https://doi.org/10.1515/9781400835225

Bilan, Y., Mishchuk, H., Samoliuk, N., & Grishnova, O. (2019). ICT and economic growth: Links and possibilities of engaging. Intellectual Economics, 13(1), 93–104. https://doi.org/10.13165/IE-19-13-1-07

Cantino, V., Devalle, A., Cortese, D., Ricciardi, F., & Longo, M. (2017). Place-based network organizations and embedded entrepreneurial learning: Emerging paths to sustainability. International Journal of Entrepreneurial Behavior & Research, 23(3), 504–523. https://doi.org/10.1108/IJEBR-12-2015-0303

Chang, T.-C., & Chuang, S.-H. (2011). Performance implications of knowledge management processes: Examining the roles of infrastructure capability and business strategy. Expert Systems with Applications, 38(5), 6170–6178. https://doi.org/10.1016/j.eswa.2010.11.053

Chege, S. M., Wang, D., & Suntu, S. L. (2020). Impact of information technology innovation on firm performance in Kenya. Information Technology for Development, 26(2), 316–345. https://doi.org/10.1080/02681102.2019.1573717

Chiu, C.-N., & Chen, H.-H. (2016). The study of knowledge management capability and organizational effectiveness in Taiwanese public utility: the mediator role of organizational commitment. SpringerPlus, 5(1), 1520. https://doi.org/10.1186/s40064-016-3173-6

Choe, J. (2016). The relationships among strategic performance measurement systems, IS strategic alignment, and IT infrastructure for knowledge management. Global Business & Finance Review (GBFR), 21(1), 56–72. https://doi.org/10.17549/gbfr.2016.21.1.56

Conner, K. R. (1991). A historical comparison of resource-based theory and five schools of thought within industrial organization economics: do we have a new theory of the firm? Journal of Management, 17(1), 121–154. https://doi.org/10.1177/014920639101700109

Cruz, J., Sousa, P., & Wilks, D. C. (2015). Entrepreneurial intentions and attitudes towards plagiarism. Journal of Academic and Business Ethics, 10, 1–13.

Cuevas-Vargas, H., Estrada, S., & Larios-Gomez, E. (2016). The effects of ICTs as innovation facilitators for a greater business performance. Evidence from Mexico. Procedia Computer Science, 91, 47–56. https://doi.org/10.1016/j.procs.2016.07.040

Davi, N., Jorge, M., & Edgard, D. B. (2013). Engaging environments: tacit knowledge sharing on the shop floor. Journal of Knowledge Management, 17(2), 290–306. https://doi.org/10.1108/13673271311315222

Di Pietro, L., Guglielmetti Mugion, R., Mattia, G., & Renzi, M. F. (2015). Cultural heritage and consumer behaviour: a survey on Italian cultural visitors. Journal of Cultural Heritage Management and Sustainable Development, 5(1), 61–81. https://doi.org/10.1108/JCHMSD-03-2013-0009

Emadzadeh, M. K., Afzali, N., Bagheri, A., Rahimpoor, M., Ezadi, F., & Rahmani, M. (2013). Effect of intellectual capital on firm performance. International Journal of Academic Research in Accounting, Finance and Management Sciences, 3(2), 98–103.

Feeny, D. F., & Ives, B. (1990). In search of sustainability: reaping long-term advantage from investments in information technology. Journal of Management Information Systems, 7(1), 27–46. https://doi.org/10.1080/07421222.1990.11517879

Fornell, C., & Larcker, D. F. (1981). Evaluating structural equation models with unobservable variables and measurement error. Journal of Marketing Research, 18(1), 39–50. https://doi.org/10.2307/3151312

Gold, A. H., Malhotra, A., & Segars, A. H. (2001). Knowledge management: An organizational capabilities perspective. Journal of Management Information Systems, 18(1), 185–214. https://doi.org/10.1080/07421222.2001.11045669

Hair, J. F. (2011). Multivariate data analysis: an overview BT – international encyclopedia of statistical science (pp. 904–907). M. Lovric (Ed.). Springer. https://doi.org/10.1007/978-3-642-04898-2_395

Hamzaoui, L., & Merunka, D. (2006). The impact of country of design and country of manufacture on consumer perceptions of bi‐national products’ quality: an empirical model based on the concept of fit. Journal of Consumer Marketing, 23(3), 145–155. https://doi.org/10.1108/07363760610663303

Hermawan, I., Sartono, N. G., & Khakim, L. (2016). Open innovation on entrepreneurial knowledge intermediation through social media creative development: a case study of creative cities in Indonesia. The Social Sciences, 11(18), 4378–4383.

Hermawan, I., Sartono, S., Hidayat, F., & Suharmanto, S. (2019a). Model of consumer trust, technology anxiety, sales service support, and other in features e-marketplace system to built customer satisfaction. In International Conference of Ethics on Business, Economics, and Social Science (ICEBESS 2018) (pp. 73–79). Yogyakarta, Indonesia. https://doi.org/10.2991/icebess-18.2019.13

Hermawan, I., Suharnomo, S., Sartono, S., & Hindrawati, G. (2019b). Knowledge-based active interaction as a mediation of social media in establishing work performance: A learning perspective. International Journal of Innovation, Creativity and Change, 9(10).

Hermawan, I., Sartono, S., & Khakim, L. (2018). Entrepreneur capability in Pekalongan city: issues of gender, local culture and anti plagiation spirit for creative community. In E3S Web of Conferences (pp. 73, 10004). Semarang, Indonesia. https://doi.org/10.1051/e3sconf/20187310004

Hermawan, I., Suharnomo, S., Sartono, S., & Hindrawati, G. (2020). Social network as antecedents collective cyber learning for fostering creative performance: a perspective organizational learning theory. International Journal of Advanced Science and Technology, 29(2), 490–502. http://sersc.org/journals/index.php/IJAST/article/view/3221

Kellermanns, F., Walter, J., Crook, T. R., Kemmerer, B., & Narayanan, V. (2016). The resource-based view in entrepreneurship: a content-analytical comparison of researchers’ and entrepreneurs’ views. Journal of Small Business Management, 54(1), 26–48. https://doi.org/10.1111/jsbm.12126

Kettinger, W. J., Grover, V., Guha, S., & Segars, A. H. (1994). Strategic information systems revisited: a study in sustainability and performance. MIS Quarterly, 18(1), 31–58. https://doi.org/10.2307/249609

Kreiser, P. M., Marino, L. D., Kuratko, D. F., & Weaver, K. M. (2013). Disaggregating entrepreneurial orientation: the nonlinear impact of innovativeness, proactiveness and risk-taking on SME performance. Small Business Economics, 40(2), 273–291. https://doi.org/10.1007/s11187-012-9460-x

Lee, S., Kim, B. G., & Kim, H. (2012). An integrated view of knowledge management for performance. Journal of Knowledge Management, 16(2), 183–203. https://doi.org/10.1108/13673271211218807

Lu, F., Tian, F., Jiang, Y., Cao, X., Luo, W., Li, G., Zhang, X., Dai, G., & Wang, H. (2011). ShadowStory: creative and collaborative digital storytelling inspired by cultural heritage. In Proceedings of the SIGCHI Conference on Human Factors in Computing Systems (pp. 1919–1928). Vancouver, Canada. https://doi.org/10.1145/1978942.1979221

Luftman, J., Lyytinen, K., & Zvi, T. ben. (2017). Enhancing the measurement of information technology (IT) business alignment and its influence on company performance. Journal of Information Technology, 32(1), 26–46. https://doi.org/10.1057/jit.2015.23

Lumpkin, G. T., & Dess, G. G. (1996). Clarifying the entrepreneurial orientation construct and linking it to performance. Academy of Management Review, 21(1), 135–172. https://doi.org/10.5465/amr.1996.9602161568

Matheson, B. (2006). A culture of creativity: design education and the creative industries. Journal of Management Development, 25(1), 55–64. https://doi.org/10.1108/02621710610637963

Matin, E. K., & Sabagh, P. (2015). Effects of knowledge management capabilities on organizational performance in iranian export companies. Mediterranean Journal of Social Sciences, 6(2), 240. https://doi.org/10.5901/mjss.2015.v6n2p240

Matsuno, K., Mentzer, J. T., & Ozsomer, A. (2002). The effects of entrepreneurial proclivity and market orientation on business performance. Journal of Marketing, 66(3), 18–32. https://doi.org/10.1509/jmkg.66.3.18.18507

Mazidi, A. R. K., Amini, A., & Latifi, M. (2014). The impact of information technology capability on firm performance; a focus on employeecustomer profit chain. Iranian Journal of Management Studies, 7(1), 95–120.

Medina-Quintero, J. M., Mora, A., & Abrego, D. (2015). Enterprise technology in support for accounting information systems. An innovation and productivity approach. JISTEMJournal of Information Systems and Technology Management, 12(1), 26–44. https://doi.org/10.4301/S1807-17752015000100002

Meiliene, E., Neverauskaite, S., & Aidis, R. (2015). Methodological aspects of compiling country’s competitiveness through the aspect of technology-intensive innovative enterprises index. Procedia – Social and Behavioral Sciences, 213, 173–178. https://doi.org/10.1016/j.sbspro.2015.11.422

Mendejin, M. R., & Arastekhoo, N. (2017). Investigating the effect of knowledge management (infrastructures and processes) on performance (Case Study: SAIPA Co.). International Journal of Applied Business and Economic Research, 15(5), 351–365.

Mills, A. M., & Smith, T. A. (2011). Knowledge management and organizational performance: a decomposed view. Journal of Knowledge Management, 15(1), 156–171. https://doi.org/10.1108/13673271111108756

Miranda, S. M., Lee, J.-N., & Lee, J.-H. (2011). Stocks and flows underlying organizations’ knowledge management capability: Synergistic versus contingent complementarities over time. Information & Management, 48(8), 382–392. https://doi.org/10.1016/j.im.2011.10.002

Mohammad, H. H., Mohammad, F. H., Ali, S., & Ali, N. B. (2012). The influence of knowledge management capabilities on organizational performance: a study of private university in Malaysia. International Journal of Science and Research, 3(10), 355–360.

Muller-Bloch, C., & Kranz, J. (2015). A framework for rigorously identifying research gaps in qualitative literature reviews [Conference presentation]. Thirty Sixth International Conference on Information Systems. Fort Worth, Texas.

Ndungu, S., Wanjau, K., Gichira, R., & Mwangi, W. (2017). Moderating role of entrepreneurial orientation on the relationship between information technology competence and firm performance in Kenya. International Journal of Professional Business Review, 2(2), 1–22. https://doi.org/10.26668/businessreview/2017.v2i2.59

O’Dwyer, M., Risquez, A., & Ledwith, A. (2010). Entrepreneurship education and plagiarism: tell me lies, tell me sweet little lies. Journal of Small Business and Enterprise Development, 17(4), 641–651. https://doi.org/10.1108/14626001011088778

Omeluzor, S. U., Imam, A., & Bamidele, I. A. (2014). Preservation of African culture in the information age. Information Impact: Journal of Information and Knowledge, 5(1), 82–90.

Pareja-Eastaway, M. (2016). Creative industries. Journal of Evolutionary Studies in Business, 1(1), 38–50. https://doi.org/10.1344/jesb2016.1.j003

Podsakoff, P. M., MacKenzie, S. B., Lee, J. Y., & Podsakoff, N. P. (2003). Common method biases in behavioral research: a critical review of the literature and recommended remedies. Journal of Applied Psychology, 88(5), 879–903. https://doi.org/10.1037/0021-9010.88.5.879

Powell, T. C., & Dent-Micallef, A. (1997). Information technology as competitive advantage: the role of human, business, and technology resources. Strategic Management Journal, 18(5), 375–405. https://doi.org/10.1002/(SICI)1097-0266(199705)18:5<375::AID-SMJ876>3.0.CO;2-7

Rajapathirana, R. P. J., & Hui, Y. (2018). Relationship between innovation capability, innovation type, and firm performance. Journal of Innovation & Knowledge, 3(1), 44–55. https://doi.org/10.1016/j.jik.2017.06.002

Ramadan, B. M., Dahiyat, S. E., Bontis, N., & Al-dalahmeh, M. A. (2017). Intellectual capital, knowledge management and social capital within the ICT sector in Jordan. Journal of Intellectual Capital, 18(2), 437–462. https://doi.org/10.1108/JIC-06-2016-0067

Real, J. C., Leal, A., & Roldan, J. L. (2006). Information technology as a determinant of organizational learning and technological distinctive competencies. Industrial Marketing Management, 35(4), 505–521. https://doi.org/10.1016/j.indmarman.2005.05.004

Roig-Tierno, N., Alcazar, J., & Ribeiro-Navarrete, S. (2015). Use of infrastructures to support innovative entrepreneurship and business growth. Journal of Business Research, 68(11), 2290–2294. https://doi.org/10.1016/j.jbusres.2015.06.013

Roldan, J. L., Real, J. C., & Ceballos, S. S. (2018). Antecedents and consequences of knowledge management perfomance. The role of IT infrastructure. Intangible Capital, 14(4), 518–535. https://doi.org/10.3926/ic.1074

Schoales, J. (2006). Alpha clusters: creative innovation in local economies. Economic Development Quarterly, 20(2), 162–177. https://doi.org/10.1177/0891242405285932

Sharma, R., & Intan, I. (2008). Bridging the digital divide in Asia-challenges and solutions. International Journal of Technology, Knowledge & Society, 1(3). https://doi.org/10.18848/1832-3669/CGP/v01i03/55886

Shin, N. (2001). The impact of information technology on financial performance: the importance of strategic choice. European Journal of Information Systems, 10(4), 227–236. https://doi.org/10.1057/palgrave.ejis.3000409

Sinkovics, R. R., Sinkovics, N., Lew, Y. K., Jedin, M. H., & Zagelmeyer, S. (2015). Antecedents of marketing integration in cross-border mergers and acquisitions: Evidence from Malaysia and Indonesia. International Marketing Review, 32(1), 2–28. https://doi.org/10.1108/IMR-07-2014-0211

Smith, J. (2008). Information technology’s influence on productivity. Student Work, 13. https://digitalcommons.unomaha.edu/studentwork

Tan, J. (2002). Culture, nation, and entrepreneurial strategic orientations: implications for an emerging economy. Entrepreneurship Theory and Practice, 26(4), 95–111. https://doi.org/10.1177/104225870202600406

Teece, D. J. (1986). Profiting from technological innovation: Implications for integration, collaboration, licensing and public policy. Research Policy, 15(6), 285–305. https://doi.org/10.1016/0048-7333(86)90027-2

Tippins, M. J., & Sohi, R. S. (2003). IT competency and firm performance: is organizational learning a missing link? Strategic Management Journal, 24(8), 745–761. https://doi.org/10.1002/smj.337

Todd, P. R., & Javalgi, R. (Raj) G. (2007). Internationalization of SMEs in India: Fostering entrepreneurship by leveraging information technology. International Journal of Emerging Markets, 2(2), 166–180. https://doi.org/10.1108/17468800710739234

Torkestani, M. S., Mazloomi, N., & Haghighat, F. (2014). The relationship between information systems success, organizational learning and performance of insurance companies. International Journal of Business and Social Science, 5(10).

Ţurcan, R. V., Mäkelä, M. M., Sørensen, O. J., & Rönkkö, M. (2010). Mitigating theoretical and coverage biases in the design of theory-building research: an example from international entrepreneurship. International Entrepreneurship and Management Journal, 6(4), 399–417. https://doi.org/10.1007/s11365-009-0122-7

Ulrich, D., Younger, J., Brockbank, W., & Ulrich, M. (2012). HR from the outside in: Six competencies for the future of human resources. McGraw Hill Professional.

Valentina, V., Marius-Răzvan, S., Ioana-Alexandra, L., & Stroe, A. (2015). Innovative valuing of the cultural heritage assets. Economic implication on local employability, small entrepreneurship development and social inclusion. Procedia – Social and Behavioral Sciences, 188, 16–26. https://doi.org/10.1016/j.sbspro.2015.03.334

Wang, C. L. (2008). Entrepreneurial orientation, learning orientation, and firm performance. Entrepreneurship Theory and Practice, 32(4), 635–657. https://doi.org/10.1111/j.1540-6520.2008.00246.x

Yunis, M., Tarhini, A., & Kassar, A. (2018). The role of ICT and innovation in enhancing organizational performance: The catalysing effect of corporate entrepreneurship. Journal of Business Research, 88, 344–356. https://doi.org/10.1016/j.jbusres.2017.12.030

Zhang, P., Zhao, K., & Kumar, R. L. (2016). Impact of IT Governance and IT capability on firm performance. Information Systems Management, 33(4), 357–373. https://doi.org/10.1080/10580530.2016.1220218

Zhao, Y., Li, Y., Lee, S. H., & Chen, L. B. (2011). Entrepreneurial orientation, organizational learning, and performance: evidence from China. Entrepreneurship Theory and Practice, 35(2), 293–317. https://doi.org/10.1111/j.1540-6520.2009.00359.x

Zheng, J. (2011). ‘Creative Industry Clusters’ and the ‘Entrepreneurial City’ of Shanghai. Urban Studies, 48(16), 3561–3582. https://doi.org/10.1177/0042098011399593

Zsuzsanna, S. K., & Herman, E. (2012). Innovative entrepreneurship for economic development in EU. Procedia Economics and Finance, 3, 268–275. https://doi.org/10.1016/S2212-5671(12)00151-7