Abstract
<p><em>The objectives of this research were to examine the effect of market orientation and entrepreneurial orientation toward firm performance. The populations of this study were small and medium enterprises (SMEs) in Demak regency. The sample were the furniture industry SMEs. This is a survey type of questionnaire based research. Sample size of the study is 86 and the data collection technique with purposive sampling. </em><em>The data analysis used was PLS (Partial least Square). The research result showed that market orientation and entrepreneurial orientation have a positive effect on firm performance. It was evident that market orientation and entrepreneurial </em><em></em></p>
Highlights
Small and Medium Industry known as small and medium enterprises (SMEs)
Based on studies that prove a positive relationship between market orientation and company performance, the first hypothesis in research. These are as follows: H1: Market orientation has a positive effect on firm performance relationship between orientation Entrepreneurship and Corporate Performance Studies that show that entrepreneurial orientation can improve the performance of the business has been done, for example, research Covin and Slevin (1991), Lumpkin and Dess (2001), as well as Wiklund and Shepherd (2005)
Based on the results of hypothesis testing, the following conclusions can be concluded: 1. Market orientation has a positive effect on company performance
Summary
Small and Medium Industry known as SMEs. The existence of Small and Medium. Industries in Indonesia plays a role in the main contributor to the manufacturing sector because of its superiority as a labor-intensive industrial subsector and has supplied the needs of the domestic market (www.kemenperin.go.id). SMEs plays a role in providing employment opportunities for the people of Indonesia. Demak Regency is an area that has natural resource diversity and provides opportunities for SMEs to contribute to regional economic growth by utilizing these natural resources. One of the SME sectors that are developing and becoming the leading sector in the Demak Regency is the furniture industry.
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