THE INFLUENCE OF DIFFERENCES STRATEGY, MARKET ORIENTATION, AND INNOVATION OF COMPETITIVE ADVANTAGES AND COMPANY PERFORMANCE (Empirical Study on Star Hotels in Semarang City)

Abstract

This research aims to examine and analyze the influence of differentiation strategy, market orientation, and innovation in an effort to build a competitive advantage for the performance of the company improves on star hotels in the city of Semarang. The respondents in this research are the Manager of star hotels in the city of Semarang, the size of respondents in filling in the questionnaire is 63 (sixty-three) people. However, for some reason, 22 (twenty-two) respondents are not willing to do the filling out the questionnaires which resulted in the final sample size is 41 (forty-one) respondents.in this case, the tool used in the study is the analysis of Partial Least Square (PLS). Prior to testing the researchers first tested the questionnaire by means of the validity test and reliability test. Test validity is to see the questionnaire is valid or not, and the reliability test is meant to see the questions distributed reliable or not to do further testing. The empirical findings indicated that the differentiation strategy has a significant positive effect on competitive advantage; innovation has a significant positive effect on firm performance.

The Impact of Sostac's Digital Marketing Planning Strategy on Marketing Performance Through Competitive Advantage

“…In line with the research of (Wulandari & Murniawaty, 2019), (Daengs GS et al, 2019), showed that Competitive advantage has a significant effect on marketing performance, same research from (Dahana et al, 2021), (Winarso et al, 2020), (Puspaningrum, 2020), (Harjadi et al, 2020), (Wahyu Yanuarti, 2019), (Amin et al, 2019), (Nofrizal et al, 2021), (Managing et al, 2018, (Sugiyarti, 2016), (Dewi Ni Made Putri & Ni Wayan Ekawati, 2017), (Arbawa & Wardoyo, 2018) (Hasniaty et al, 2019, Competitive advantage has a direct positive effect on marketing performance. Empirical findings (Markus et al, 2019), show that the differentiation strategy has a significant positive effect on competitive advantage; Innovation has a significant positive effect on company performance, but competitive advantage does not have a significant positive effect on company performance The implication of this research is that MSMEs actors must seriously seek competitive advantage for the products or services offered to consumers. To achieve a competitive advantage, SMEs need to innovate in all fields, such as product innovation, service innovation, and channel innovation which can provide higher value than their competitors.…”

“…The company's profits are a reflection of good marketing performance, which is determined by metrics such as sales value, sales growth, and target market, as noted by Ferdinand (2014), andFarida (2016). However, Markus et al, (2019), found that having a competitive advantage did not have a positive and significant impact on company performance, which is typically measured by factors such as sales growth, profitability, target market, and asset increase.…”