The Mediating Role of Innovation Capability to Improve Knowledge Sharing on Smess Performancce
DOI:
https://doi.org/10.56910/literacy.v3i3.2036Keywords:
Knowledge-sharing, SME-performance, Innovation-capabilityAbstract
This study aims to analyze the role of Knowledge sharing to improve SME Performance Small and Medium Enterprises (SMEs) in Sidoarjo by considering Innovation capability as a mediating variable. Using a quantitative method with an explanatory approach, data were collected from 31 respondents with a questionnaire and analyzed using Partial Least Square-Structural Equation Modeling (PLS-SEM). The findings show that knowledge sharing has a significant influence on improving SME performance. However, innovation capability does not contribute directly to improving performance, but rather acts as a supporting factor in the continuous innovation process. The findings underscore the importance of building an effective knowledge sharing culture as a key strategy in enhancing SME competitiveness amidst evolving market dynamics.
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