Analysis of Factors Affecting Competitiveness and Import of Powdered Milk in Indonesia (Published)
The growth of domestic powdered milked consumption in Indonesia exceeds the growth of domestic powdered milk raw materials production, it is causes fulfillment of needs is provided through imports. The purpose of this study are 1) Analyze the factors that influence the competitiveness of the domestic powdered milk industry; 2) Analyze the factors that are determinants of the import of raw powdered milk, and 3) Formulate strategic recommendations that can improve the competitiveness of the domestic powdered milk industry. Based on the results, the factors that most play a role in the competitiveness of domestic powdered milk are government policies in trade, the Milk Processing Industry (IPS), and the company’s strategy. Based on Engle-Granger Cointegration method, in the long run the volume of Indonesian powdered milk imports is significantly affected by the real price of imported powdered milk, the real exchange rate, real per capita income, and import tariffs. Meanwhile, based on short-term dynamic ECM equations, the volume of imported powdered milk is significantly affected by domestic powdered milk production, the real price of domestic powdered milk, real per capita income, and import tariffs.
Keywords: Competitiveness, Engle-Granger Cointegration, Powdered Milk, import
Effect of Cross-Functional Information Sharing On Supply Chain Agility of Cosmetics Manufacturing Firms in the County Government of Nairobi, Kenya (Published)
Supply Chain Agility is widely regarded as a critical element that affects firms’ competitiveness at the strategic level. This is because firms with Supply Chain Agility have better performance in responding to unforeseen events. The purpose of this study, was to assess the effect of Cross Functional Information Sharing on Supply Chain Agility of Cosmetics Manufacturing firms in the County Government of Nairobi. Cross Functional Information Sharing is generally considered an enabler of a firm’s Supply Chain Agility. Information Sharing has significant effects on the performance of Cosmetics Manufacturing Firms. These trends have led to expanding the scale of procurement and reducing operating and purchase costs in order to improve the responsiveness of the supply chain. Relational View theory, Resource Based View Theory and Stategy, Structure and Performance Theory was adopted in the study. Cross-sectional survey research design was used in the study. The target population of the study was 714 employees working in the Cosmetic Manufacturing Firms in the County Government of Nairobi, Kenya. A sample of 256 was selected from the target population using a Multi Stage Sampling Technique. Both descriptive and inferential statistics was used to analyse the collected data. The results indicates that there is a positive and statistically significant correlation between Cross Functional Information Sharing and Supply Chain Agility (r=.582, p < 0.01). This is a clear indication that any effort to improve the communications channels making it more informative will lead to an increase in supply chain agility. Therefore the study concludes that Cross functional information sharing is a pertinent factor as it affects the Supply Chain Agility of Firms. With the growing technological advances and the emergence of the global information infrastructure, firms should possess the suitable competitive inter-organisational informational systems to enable them to achieve the rapid and effective response to the customer needs and changing expectations
Keywords: Competitiveness, Cross-Functional Information Sharing, Performance, Supply Chain Agility
Strategy of Competitiveness of Urea Industry in the International Market and Its Implication toward the Development of Urea Industry in Indonesia (Published)
The aim of research is to find out and analyze the variable influencing the competitiveness and the strategy to increase the competitiveness and to formulate the competitiveness model of urea industry in the international market. The problems face by the urea industry are the gas raw material, the old plant, the old technology and the domestic selling price policy. The price policy (domestic price and export price) and the distribution policy (production volume and export volume) are significantly influencing the income and the profit of company and will be influencing toward the competitiveness. The insignificant domestic price influences the selling price (income) and the domestic policy of price regulation which is the same as the export price that will increase the income and the competitiveness. Research design is a case study, during the period Dec 2013 to June 2014 and analysis of the factors that influence the competitiveness by multiple linear regression, market structure analysis using the Herfindahl index and concentration ratio (CR4), Comparative advantage using the Revealed Comparative Advantage (RCA) and SWOT analysis, competitive advantage using Porter Diamond theory and to develop the strategy and model of competitiveness, it is used the Analytic Network Process (ANP). The analysis result of the Structure of Urea Market tends to the direction of Oligopoly with the moderate concentration level shown with the average value of Herfindahl Index of 0.0808 and the value of CR4 45.01 %. The Urea Industry of Indonesia has the comparative advantage is shown by the value of Revealed Comparative Advantage (RCA) of 2.07 which is higher than from China as the main competitor in Asia. The analysis result of competitive advantage of Porter’s Diamond Theory is that as a whole the attributes of resource and domestic demand have the competitive advantage. The support and government and the opportunity factor help the forming of competitive advantage. From the SWOT Matrix, the position of urea industry on Indonesia is in the quadrant II (Stability) having the opportunity and the big market strength. The strategy priority of the analysis of ANP is the development of technology, then the development of export market, the change of subsidy regulation and the strategy of the business communitcation with the other urea producer country.The research showed the need of revitalization of urea industry with the development of technology, market development and business communication with urea producer countries to increase competitiveness in the international market.
Keywords: Analytic Network Process (ANP), Comparative and Competitive Advantage, Competitiveness, Market structure, Porter’s Diamond, Price policy, RCA, SWOT
THE PARADIGM OF MUTUAL BENCHMARKING IN THE CONTEXT OF SMES’ COMPETITIVENESS DEVELOPMENT (Published)
Competitive advantage is a relative feature, evaluated in respect of other competing enterprises. The gaining of sustainable competitive advantage is conditioned by knowledge of own performance and the results of the competitive environment. SMEs have limited opportunities to obtain such information on their own. The paradigm of mutual benchmarking changes this situation by introducing the collaborative network. The aim of the cooperation is to support each of the group members to achieve sustainable competitive advantage, which is the result of a conscious strategy, and not only a matter of chance. This cooperation is based on the collecting and processing of data and sharing information through a common IT platform: for example, a group of Polish SMEs was shown how to implement such a common IT solution and how to provide the information preparing within the proposed service. Taking into account the needs and constraints of the SME sector, the conditions and general rules of service realization were identified
Keywords: Competitive Analysis, Competitive Position, Competitive Strategy, Competitiveness, Mutual Benchmarking, SME Sector