Effect of Long Term Relationship, Strategic Partnership and Information Sharing on Competitive Advantage with Company Performance as Mediation

Abstract

In the new normal, today's processing industry is becoming more competitive. This is shown by high consumer behavior in the midst of a pandemic that is felt in almost all parts of the world. One of the efforts that a company can do to increase its competitive advantage is to improve the company's operational performance through factors in supply chain management according to Chopra (2007) including information sharing (sharing information), long term relationship (partnership relationship), and strategic supplier partnership (partnership strategy). Besides wanting to know the effect of the variables in the supply chain management concept on competitive advantage, the researcher also wants to test the validity of the research model related to the influence of the supply chain variables (supply chain) which the researchers only determined 3 variables, using the company performance mediating variable. Researchers consider this, because in general previous studies have shown that the company's performance variable is often used as an element in competitive advantage, not as one of the determining variables. The results of the study indicate that the information sharing variable has a major contribution to the company's performance when it is associated with a competitive advantage strategy. It should be noted that all partnership relationships with suppliers, partnership strategies carried out by involving suppliers, all need to be communicated intensely and continuously to reach a mutual agreement in business activities carried out by suppliers and the company.