Academy of Strategic Management Journal (Print ISSN: 1544-1458; Online ISSN: 1939-6104)


The Role of Company Resources and Strength of Industrial Competition on Competitive Strategy in Indonesian Wholesale Network Industry

Author(s): Moh. Riza Sutjipto, Ernie Tisnawati Sule, Sucherly, Umi Kaltum, Adhi Prasetio

Despite the lucrative potential of telecommunication retail customer, the wholesale network industry in Indonesia is still suffering from its unstable income growth caused by problems in competitive strategy. This study aims to discover the influence of company resources and strength of industrial competition towards competitive strategy in Indonesian wholesale network industry. This research used quantitative method to accomplish this task. Data collected is the results of research conducted in 2017. Wholesale network service company in Indonesia is the unit analysis, while the observations unit is the management of each wholesale network service company that deal with wholesale service. Based on the result of documentation study, the amount of wholesale network service company in Indonesia are 35 companies, and all of them become samples in this research. Data analysis uses Partial Least Square (PLS)-SEM method. The results showed that company resources and strength of industrial competition significantly affect competitive strategy. Additionally, we found that intangible assets in company resources plays important role to drive better competitive strategy. The management of wholesale network services company in Indonesia can use this result to improve their competitive strategy in order to gain more stable income growth.

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