The Influence of Resources, Market Opportunities and Strategic Orientation towards Company Strategy and Its Impact on Performance

Abstract

Digital transformation in industrial revolution 4.0 affects the dynamics of globalization process on many business sectors. Some of these companies had closed their operation down. The others have to survive due to the increased global competition. The competition is not only within industry but also among industries. The managers should have the strategic orientation in managing their resources and maximizing market opportunities to achieve better company performance through setting the proper strategy. The objective is to analyze the influence of resources, market opportunities and strategic orientation towards strategy and also to analyze the influence of strategy on company performance. It is a quantitative research which have the conceptual model consisted five constructs. These were resources, market opportunities, strategic orientation, strategy and performance. There are 4 hypotheses. The unit of analysis were the companies’ managerial level. The data is collected through distributed questionnaires. The collected questionnaire is 47 out of 83 distributed questionnaires. The data set is analyzed by using the PSPP (Public/social/private partnership) statistical software for reliability test, validity test, normality test and hypothesis tests. The result is all hypothesis supported by the data. The contribution on theoretical manner is the empirical evident of the influence of resources, market opportunities and strategic orientation towards strategy and also the influence of strategy on company performance. The managerial implication of this research is the managers of companies should have the proper strategic orientation in managing resources and market opportunities to set strategy in order to achieve the better company performance. Keywords—resources; market opportunities; strategic orientation; strategy; performance