Mohammad Yahya Arief and Yunike Berry and Aang Munawar and Indrianawati Usman and Nur Arif Nugraha (2020) Ensuring Competitive and Alliance Formation Intensity for Continuous Improvement in Manufacturing Sector of Indonesia: A Better Financial Performance Perspective. International Journal of Innovation Creativity and Change, 11 (6). pp. 553-571. ISSN 2201-1323, eISSN: 2201-1315

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Abstract

This study is designed to identify the role of alliance formation intensity as well as the competitive intensity in continuous improvement of the manufacturing sector of Indonesia. The studies primary aim is to analyse the impact of competition and AFI in enhancing the financial performance of the companies. The first section of the study consists of an introduction in which the overview of all variables is explained. Furthermore, the literature review section analyses the results of previous studies regarding alliance formation intensity and alliance competitive environment. The studies mainly show that the process of formation intensity, as well as competitive intensity, is very essential. The data has been collected through a design survey questionnaire with a sample size of 320 and 296 considered valid. The data mainly has been collected through the manufacturing sector of Indonesia. The survey questionnaire technique has been used because of a lack of time. Moreover, the data was analysed through SPSS and AMOS. SEM technique has been used to analyse the acceptance and rejection of the hypothesis. The results of the analysis indicate that continuous improvement has a significant impact on the financial performance of the manufacturing sector. At the same time, the alliance formation intensity also has a positive and significant relationship with financial performance. This shows that the hypothesis of the study is accepted overall.

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