Abstract
This study aims to examine the causal relationship between the variables of business competitiveness development, learning orientation, entrepreneurial commitment, and business performance of the silk industry in Wajo Regency, South Sulawesi Province. The population in this study were all small scale silk industry entrepreneurs, totaling 5,137 businesses spread over 14 districts in Wajo Regency. The size of the research sample based on the Krejcie and Morgan tables is 357. The data analysis technique uses a structural equation model. The results of the analysis show that the development of business competitiveness and learning orientation partially has a significant effect on entrepreneurial commitment. The development of business competitiveness does not have a significant effect on business performance but learning orientation has a significant effect on business performance. Furthermore, the development of business competitiveness and learning orientation has an indirect effect on business performance through entrepreneurial commitment. The research suggestion is that business development that is oriented towards business performance is not sufficient only based on strengthening knowledge and skills but the main thing is related to the development of the personality of the business actor.
Highlights
Wajo Regency apart from being a natural silk development area in the upstream sector is known as a development area in the downstream sector or the spinning and weaving industry, so it can be said that, Wajo Regency is a natural silk development area from upstream to downstream sectors
This study aims to examine the causal relationship between the variables of business competitiveness development, learning orientation, entrepreneurial commitment, and business performance of the silk industry in Wajo Regency, South Sulawesi Province
The results of the analysis show that the development of business competitiveness and learning orientation partially has a significant effect on entrepreneurial commitment
Summary
Wajo Regency apart from being a natural silk development area in the upstream sector is known as a development area in the downstream sector or the spinning and weaving industry, so it can be said that, Wajo Regency is a natural silk development area from upstream to downstream sectors. During the last three years, the average growth in silk production has not matched the demand for silk, both nationally and for export to overseas. The world's natural silk thread production rate in 2018 only reached around 83,393 tons per year, while the world's demand for natural silk. Domestic production of natural silk is less than 500 tons per year, while domestic demand reaches 2,000 tons per year. The growth in demand for world silk is forecasted to be between 2% and 3% per annum from existing production levels. There are those who predict up to a rate of 5% per year.
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