Innovation Strategy Through Knowledge Sharing For Small Medium Enterprises To Achieve Sustainable Competitiveness : A Case Study of Batik SMEs in East Java, Indonesia

Abstract

The purpose of this research is to examine how innovation strategy through knowledge sharing as a continuous effort in enhancing sustainable competitiveness of small medium enterprises. Study population was batik SMEs in East Java Indonesia. Sample was chosen by purposive method with amount 110 batik SMEs. Data was collected by a questionnaire research instruments. The Partial Least Square (PLS) was used to analyze the data. The research result showed that innovation strategy through knowledge sharing becomes a complete mediation toward sustainable competitiveness. An important finding of this research is knowledge sharing is a best tool for SMEs in enhancing innovation strategy and sustainable competitiveness. The practical implications of these studies provide knowledge and information for SMEs in an attempt to improve innovation strategy and to achieve sustainable competitiveness through knowledge sharing.