Analysis of Strategic Factors Affecting the Success of Small Enterprises in South Sulawesi

Fitriany Fitriany, Zainal Abidin


The purpose of the present study is to analyse the effect of managerial competence, information access on cost, benefit differentiation of small business products. This research is done in five district in South Sulawesi— Makassar, Maros, Bantaeng, Bulukumba and Tanah Toraja. The populations of this study are owners and managers of food and beverage business, wood and rattan furniture, convection and apparel. The sample was chosen purposively for 170 responders. Survey and questionnaire were used in data collection. Then the data were analysed descriptively and structural equation model with AMOS (Analysis of moment structural) program.

The results of the study show that the success of small-scale enterprises is directly influenced by strategic factors, namely managerial competence, information access, and product differentiation. The factors of negative cost advantage but significant influence the success of the business because customers prefer the uniqueness. If small entrepreneurs in South Sulawesi want to succeed, then it should pay attention to the factor of product differentiation superiority because the influence is big enough and significant to the success of small business. This identifies that small business products should be more unique in terms of more value than a cheaper price.

Keywords: Manager's Competence, Access to Information, Cost Advantage,  Advantage of Deferment, Business Success.

Full Text:



Arsyad, L, 1996, Ekonomi Manajerial, Edisi Tiga, BPFE UGM.

Ball, Ben, 1997, Career Management Competences-Individual Perspective, Career Development International, 2/2, p. 74-79.

Beal, T & Abdullah, M.A, 2003, The Strategic Contributions Of Small and Medium Enterprises To The Economics Of Japan And Malaysia, Some Competitive Lessons For Malaysian SMEs, Paper Presented to The Seventh International Conference Global Business and Economic Development Strategic For Sustainable Business Responses to Regional Demand, and Global Opportunity , Bangkok Thailand. p. 56-69.

Broclesby, J, 1995, Using Soft System Methodology to Identify Competence Requirement in HRM, International Journal of Manpower, Vol. 16 No. 5/6 p. 70 – 80.

Cravens W. D & Nigel F. F, 2003, Strategic Marketing, Seventh Edition, McGraw Hill Irwin, North America.

Gibson J. L, Ivancevich D, 1997, Organisasi: Perilaku, Struktur, dan Proses, translated by Nunuk Adiami Binarupa Aksara, Jakarta.

Gilmore, A & David C, 1996, Management Competences for Services Marketing, The Journal of Services Marketing Vol. 10 No. 3 p. 39-57.

Hannon, P.D, Dean P, Sue, M, 2000, Transactional learning Relationship: Developing management Competencies for Effective Small Firm Stakeholder Interactions, Education & Training Vol. 42 No. 4/5 p. 237 – 245.

Hamel & Gary and Prahalad, C.K, 1990, The Core Competence of the Corporation, Harvard Business Review, Journal (May-June) 1990 p. 79-91.

Kotler, P, 1994, Economic Managerial, Marketing Management Analysis, Planning, Implementation and Control, Prentice Hall Inc. London.

Kotler, P, 2010. Marketing Management Analysis, Planning, Implementation, and Control, 12th Ed. Englewood Cliff, NJ. New Jersey: Prentice-Hall, Inc.

Mahoney, J. T, Jr, Pandian 1992, The Resource based View within Conversation of Strategic Management, Journal.

Munro, A & Brenden, A, 1994, Competences; Dialogue without a Plot? Providing Context through Business Diagnostics, Executive Development, Vol. 7 No.6 p. 12-15.

Porter, M. E, 1994, Keunggulan Bersaing, Menciptakan dan Mempertahankan Kinerja Unggul, Terjemahan Tim Binarupa Aksara, Erlangga, Jakarta.

Rowe, C, 1995, Clarifying The Use of Competence and Competency model in Recruitment, Assessment and Staff Development, Industrial and Commercial Training, Vol 27, No 11 p. 12-17.

Sekaran, U, Roger, B, 2010, Research Methods For Business A Skill Building Approach, A John Wiley and Sons Ltd Publication.

Spencer, L.M, D.C, McLelland, and S. M Spencer, 1993, Competence of Work, John Willey and Sons Inc, New York.

Salvator, D, 2001, Managerial Economic in Global Economy, Harcourt College Publisher.

Soeharsono, S. H, 1993, Faktor sumber Daya Manusia, Teknologi dalam Upaya meningkatkan Daya Saing Industri Menengah Kecil (Pendekatan Makro Ekonomi), Majalah dan Usahawan Indonesia No. 6 Th XXII.


Biro Pusat Statistik, 2017, Statistik Indonesia

LPPI dan BI, 2015, Profil Bisnis UMKM.



  • There are currently no refbacks.