Enhancing the Competitive Advantage and Perceived Financial Performance of SMEs: A Quadruple Helix Model Approach

I Dewa Made Endiana; Luh Komang Merawati; I Ketut Sunarwijaya

doi:10.61255/jeemba.v4i5.1656

Authors

I Dewa Made Endiana Universitas Mahasaraswati Denpasar, Indonesia
Luh Komang Merawati Universitas Mahasaraswati Denpasar, Indonesia
I Ketut Sunarwijaya Universitas Mahasaraswati Denpasar, Indonesia

DOI:

https://doi.org/10.61255/jeemba.v4i5.1656

Keywords:

Quadruple Helix, Competitive Advantage, Perceived Financial Performance

Abstract

Purpose – The growth of SMEs still requires support from various parties, including the implementation of policies, to ensure they make a significant contribution to economic development. The current problem is the weak ability of human resources, particularly in creativity and innovation, which negatively affects competitive advantage and business performance. The focus of this research is to identify factors that can improve the competitiveness and performance of SMEs from the perspective of the quadruple helix model.

Design/methodology/approach – The population of this study is SMEs in Bali, with a total of 122,941 spread across 9 districts. The sampling technique used is stratified random sampling, with a sample of 399 SMEs. The analysis technique used is SEM PLS with SmartPLS.

Finding/Results – Based on the analysis, three pillars of the quadruple helix-intellectuals, government, and the business sector show a positive and statistically significant association with the perceived financial performance of SMEs. In contrast, the civil society pillar does not exhibit a direct association with the perceived financial performance of SMEs. Furthermore, competitive advantage was found to be closely linked to improved financial outcomes for SMEs.

Conclusion – The three pillars of the quadruple helix—intellectuals, government, and the business sector—demonstrate a positive and statistically significant association with improved perceived financial performance among SMEs, with the business sector component showing the strongest association. Meanwhile, competitive advantage is a crucial mediator; external support does not automatically yield benefits unless SMEs can transform it into an independent competitive advantage, such as product uniqueness or cost efficiency.

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