The effect of business ecosystem and government regulation toward business agility: the role mediating of business model innovation in SMEs

Abstract

<em>SMEs have become the backbone of the Indonesian economy which is faced with various situations and conditions. The increasingly competitive business environment forces SMEs to be able to maintain their existence. This effort can be realized by developing a good business ecosystem with the support of government regulations. In addition, business model innovation is also worth considering the changing needs, wants, and demands of customers. This study aims to examine the effect of ecosystem business and government regulation toward business agility mediated by business model innovation. This study involved 100 SME culinary in Bali, Bandung, Surabaya, Yogyakarta, Semarang, Solo dan Jakarta which are selected using probability sampling technique. Data is obtained by distributing questionnaires to respondents through G-Form. The collected data is then analyzed using Path analysis assisted by the Smart PLS application. The result shows that the business ecosystem and government regulation and business model innovation have a significant positive effect toward business agility. Business model innovation can mediate the relationship of the business ecosystem to business agility and the relationship of government regulation to business agility. Business model innovation is influenced by Business ecosystem and Government Regulation by 68.8%, business ecosystem, Government Regulation and business model innovation affects business agility by 61.6%. Researchers who want to conduct research on similar topics can add other independent and dependent variables so that the results obtained are more coherent.</em>

The Effect of Business Model Innovation and Entrepreneurship Orientation on MSMESs Performance Through Business Agility Moderated Financial Literature

“…This capability enables MSMESs to obtain performance targets and maintain their existence. The results of this study are in accordance with the findings ( Waty et al, 2021) where business agility is able to mediate the relationship of business model innovation to the performance of MSMESs.…”

Business strategic insight: understanding the impact of perceived value and impulsiveness on consumer response in global mobile shopping

“…The R 2 values indicate the model accounts for a substantial proportion of the variance of endogenous latent variables; perceived value (70.8%) and impulsiveness (40.9%). R 2 means the variance explained by collectively exogenous constructs (Abdulnabi et al , 2022; Afaneh and Bello, 2023; Antoni and Maswena, 2023; Prasetyo et al , 2022; Tunsi, 2023; Waty et al , 2022). The model also partially explains customer MS use (20%).…”

“…The structural model was examined to test for relationships among factors. Model fit is assessed on the structural model; the results indicated a decent degree of fit: chi-square to (Abdulnabi et al, 2022;Afaneh and Bello, 2023;Antoni and Maswena, 2023;Prasetyo et al, 2022;Tunsi, 2023;Waty et al, 2022). The model also partially explains customer MS use (20%).…”

Exploring the Challenges in Developing and Managing Digital Agility Among Sri Lankan Family Business Owners During the Economic Crisis Situation

“…Privacy issues, fake news, and misinformation on social media can hurt trust, creativity, innovation, and commitment among external and internal users. Digitally trained SMEs employ social media for e-commerce (Von Leipzig et al 2017;Eller et al 2020;Waty et al 2022). Digitally skilled SMEs can promote and collaborate online via social media, blogs, and other tools (Waty et al, 2022).…”

“…Digitally trained SMEs employ social media for e-commerce (Von Leipzig et al 2017;Eller et al 2020;Waty et al 2022). Digitally skilled SMEs can promote and collaborate online via social media, blogs, and other tools (Waty et al, 2022). This usage boosts organisational agility.…”