Factor affecting competitive advantage of real estate developers in Indonesia

Abstract

PurposeThis study aims to test and explain the implementation of the green marketing mix (GMM) strategy, based on an environmental orientation (EO) in increasing the competitive advantage (CA) of the real estate developers or companies in Indonesia.Design/methodology/approachThis study was conducted at real estate developer companies in several cities in Bali, i.e. Denpasar, Gianyar, Buleleng, Singaraja and Tabanan of Bali Province, Indonesia, registered as a member of Real Estate Indonesia. Bali was chosen as a province with a very rapid growth of the property sector than other provinces in Indonesia. This study is about census research. The sample unit is a real estate developer in Bali whose scope of operation project is at least 20 hectares, which means the scale of the property business is middle-class and upper-class companies. The unit of analysis was developer companies in Bali, whereas the respondents were the General Manager, CEO or owners of the company. The respondents were chosen so that each question in the questionnaire could be filled correctly and accurately.FindingsEO has a positive but insignificant effect on CA. On the other hand, EO has a positive and significant influence on the GMM strategy. Furthermore, the results show that the GMM strategy has a positive and significant effect on CA.Originality/valueThe originality of this study is evident from the effort to deepen the analysis and the results of the hypothesis testing of previous studies; hence, this study uses a GMM strategy for real estate developers as a service company. The mapping of the previous research is done uses variables related to current research. This study seeks to develop a model from some previous studies aimed at enriching the results of research for further development.