Does Entrepreneurial Orientation Effect on Competitive Advantage? A Case Study in Small and Medium Industries

Abstract

Small and medium industries are currently the foundation of many communities in developing countries. To grow sustainably, this industry must have a competitive advantage. The purpose of the study was to analyze the effect of entrepreneurial orientation on competitive advantage. This research was conducted on export-oriented small and medium handicraft industries with a sample of 78 industries. The collected data were analyzed using Warp-PLS.6. The results showed that entrepreneurial orientation consisting of proactive, innovative, and risk-taking was proven to be able to increase competitive advantage.