The Role of Collaboration and Competitiveness in Improving Business Sustainability
Keywords:
collaboration, competitiveness, business sustainability, MSMEs, Sukabumi RegencyAbstract
This study aims to fill the literature gap regarding the relationship between collaboration among stakeholders (such as the government, academics, and the private sector) in the context of competitiveness and sustainability of MSMEs in the digital era. The challenges faced by MSMEs often involve limited resources, lack of innovation, and access to broader markets, so that efficient collaboration can create synergies that enhance competitiveness. This study uses a quantitative method with a descriptive approach. The population consists of 3,501 food industries in Sukabumi Regency, and 175 samples were taken through purposive sampling. Data analysis was conducted using the Structural Equation Modeling (SEM) method with a Partial Least Square (PLS) approach. The results of this study indicate that MSME Collaboration and MSME Competitiveness have a positive and significant effect on Business Sustainability. Both research hypotheses (H1 and H2) proved to be significant, as indicated by t-statistic values of 5.069 and 7.340, respectively, and a p-value of 0.000. This research model has a very strong explanatory power, as evidenced by an R-Square value of 0.959, which means that Collaboration and Competitiveness explain 95.9% of the variation in Business Sustainability. In addition, a Q² value of 0.611 confirms the model's strong predictive ability. These findings indicate that the synergy between collaboration and competitiveness is a key factor in creating an adaptive and resilient business ecosystem for the sustainable growth of MSMEs.
References
Akbar, M. A., Nugroho, A. D., Andini, E., & Hidayatullah, A. N. (2020). Trust Drives Individual Intentions to Engage in Social Commerce. Econbank Journal of Economics and Banking, 2 (2). https://doi.org/10.35829/econbank.v2i2.103
Al-Ghifari, M., & Lestari, R. (2025). The Influence of Environmental, Social, Governance (ESG) Disclosure on the Performance of Manufacturing Companies Listed on the Indonesia Stock Exchange for the Period 2020–2023. Bandung Conference Series Accountancy, 5 (2
Alhidayatullah, A., Hermawan, S. L., & Susanti, H. (2025). Creativity and Collaboration: The Key to Successful Supply Chain Strategies for MSMEs in Facing Modern Market Challenges and Creating Sustainability. Journal of Management Science Inspiration, 4 (1
Amory, J. D. S., Rhena, J., & Hayadin, M. R. (2025). Integration of Information and Communication Technology in MSME Business Models: A Literature Review on Innovation and Sustainability. Minfo Polgan Journal, 13
Bradley, P. A., Parry, G., & O’Regan, N. (2020). A Framework to Explore the Functioning and Sustainability of Business Models. Sustainable Production and Consumption, 21, 57–77. https://doi.org/10.1016/j.spc.2019.10.007
Budiarto, D. S., Putri, R. D. A., & Purnamasari, D. I. (2024). The Importance of Collaborative Networks Digital Leadership to Improve Ais Outcomes and Sustainability in Smes. International Journal of Small and Medium Enterprises, 7 (1), 35–44. https://doi.org/10.46281/ijsmes.v7i1.2334
Damayanti, N. Y., Zainsyah, A. B., Bayuningrat, B., Nurfitria, L., Adisasmito, A. B., & Darliana, H. (2024). Digitalization of Local Handicraft Businesses in Tasikmalaya as an Effort to Develop Creative Industry Independence and Economic Equality in the East Priangan Region. JLSP, 2 (1
Darmawan, A. (2025). The Influence of Entrepreneurial Skills, Social Capital, and Business Networks on the Sustainability of MSMEs in Bandar Lampung City (Case Study of MSMEs in Taman Bung Karno). JJMM, 5
Darmawan, D. (2024). Intellectual Capital Strategies for Achieving Superior Business Performance: Observations of SMEs in Surabaya City. Baruna Horizon Journal, 6 (2), 76–85. https://doi.org/10.52310/jbhorizon.v6i2.103
Darwin, Y. A., Hidayatullah, W. A., Djaganata, A. Y., & Sanjaya, V. F. (2024). Innovation Management Strategies to Enhance Regional Economic Competitiveness. Journal of Management and Business, 3
Fauzi, F., Siregar, H., Barus, B., & Syahbana, G. (2025). Empowering MSMEs for the Digital Era: A Comprehensive SWOT and AHP-Based Development Strategy in Bekasi Regency. International Journal of Integrative Sciences, 4 (1
Ford, S., ElAlfy, A., Wilson, J., & Weber, O. (2021). Business Resilience in the Sustainable Development Goals (SDGs) Era: A Conceptual Review. Corporate Governance and Sustainability Review, 5 (4), 8–19. https://doi.org/10.22495/cgsrv5i4p1
Hari, Y., Paramitha, M., Yanggah, M. E., & Churota’ayun, E. (2023). PKM Coaching and Mentoring on Sustainability Reporting for Bakery MSMEs in Surabaya. Guyub Journal of Community Engagement, 4 (3), 381–393. https://doi.org/10.33650/guyub.v4i3.7210
Heryadi, D. Y., Ekowati, D., & Chusumastuti, D. (2023). The Influence of Social Media Presence and Market Orientation on the Performance of MSMEs in West Java. Jurnal Bisnisman Riset Bisnis Dan Manajemen, 5 (1), 94–107. https://doi.org/10.52005/bisnisman.v5i1.137
Kadang, K. W., Said, M., & Jumardin, A. (2025). Analysis of Financial Ratios on the Performance of PT. Menara Indra Utama Kota Makassar. Journal of Economy Business Development, 3 (1), 65–71. https://doi.org/10.56326/jebd.v3i1.3413
Mahendra, A., & Utami, A. R. (2024). The Effectiveness of Digital Promotion Through Social Media Food Influencers on Consumer Purchase Interest. Journal of Creative Industries and Entrepreneurship, 7 (2
Min, H. L., Tambunan, T., Santosa, B., & Sumiyarti, S. (2023). The Drivers of Sustainability Practices in SMEs and the Impact on Business Performance. Journal of Economics Management and Trade, 29 (12), 1–16. https://doi.org/10.9734/jemt/2023/v29i121172
Mohajan, H. K. (2020). Quantitative Research: A Successful Investigation in Natural and Social Sciences. Journal of Economic Development Environment and People, 9 (4). https://doi.org/10.26458/jedep.v9i4.679
Mulawarman, L. (2025). Small Business Survival Strategies in the Online Market Ecosystem: Systematic Literature Review. Economist, 2 (1), 69–79. https://doi.org/10.63545/economist.v2i1.92
Ramlawati, R., S., S. S., H, A. J., & Safar, I. (2024). Operational Management of MSMEs: The Role of Payment Systems, Innovation, and Operational Performance on Competitiveness. Proceedings of the National Seminar of the Indonesian Management Forum - E-Issn 3026-4499, 2, 1773– 1784. https://doi.org/10.47747/snfmi.v2i1.2431
Renaldo, R., & Agustiyani, V. P. (2025). Information Systems in a Sustainable Economy as an Effort to Promote Efficiency and Innovation in the Palm Sugar Business in West Pesisir Regency, Lampung. Journal of Information Systems Management Economics, 6 (4), 2451–2460. https://doi.org/10.38035/jemsi.v6i4.4556
Rosário, A. T., Raimundo, R., & Cruz, S. (2022). Sustainable Entrepreneurship: A Literature Review. Sustainability, 14 (9), 5556. https://doi.org/10.3390/su14095556
Salmiah, S., Susanty, S., & Angratyas, P. A. R. (2025). Pentahelix Partnership in the Development of Bonjeruk Tourism Village. Journal of Responsible Tourism, 5 (1), 355–362. https://doi.org/10.47492/jrt.v5i1.3330
Setiadi, S., Widyastuti, S., Zulkifli, & Darmansyah. (2025). Sustainable nature tourism transformation: The strategic role of green tourism in West Java. Edelweiss Applied Science and Technology, 9 (3), 1544–1569. https://doi.org/10.55214/25768484.v9i3.5599
Siahaya, M. (2024). Green Strategy Integrating Sustainability into Business Plans for the Future. Global Innovation Journal, 2 (9), 1338–1349. https://doi.org/10.58344/jig.v2i9.174
Sindania, S., & Hartono, S. (2022). Improving Marketing Performance Through Disruptive Innovation Based on Intellectual Capital in MSMEs in Sukamara Regency, Central Kalimantan. Journal of Economics and Business, 21 (2), 121. https://doi.org/10.30659/ekobis.21.2.121-134
Sumarsono, S., Mayasari, A., & Afiatna, F. A. N. F. (2022). Confirmation Analysis and Classification of Indicators Driving the Competitiveness of the SME Supply Chain in Rural Areas. Journal of Industrial Engineering, 12 (3), 196–208. https://doi.org/10.25105/jti.v12i3.15647
Suyanto, U. Y., & Purwanti, I. (2020). Development of a Model for Improving the Competitiveness of MSMEs Based on E-Commerce (A Study of MSMEs in Lamongan Regency). Jesya (Journal of Economics & Sharia Economics), 4 (1), 189–198. https://doi.org/10.36778/jesya.v4i1.299
Triwijayati, A., Luciany, Y. P., Novita, Y., Sintesa, N., & Zahruddin, A. (2023). Business Innovation Strategies to Improve Competitiveness and Organizational Growth in the Digital Age. West Science Business and Management Journal, 2 (03), 306–314. https://doi.org/10.58812/jbmws.v2i03.564
Vakira, E., Nemashakwe, P., & C.M., N. (2023). Fostering Healthy Workplace Practices Through Inclusive Leadership Mediated by Perceived Organizational Support in the Mining Industry in Zimbabwe. African Journal of Social Sciences and Humanities Research, 6 (6), 82–86. https://doi.org/10.52589/ajsshr-eqzo53ba
Wahyuni, L., Musdiana, A. D., Lastri, N., & Dewi, E. P. (2025). Collaboration Between Government, Academics, and Communication Through Collaborative Governance to Strengthen Regional Competitiveness. JCS, 4 (9), 2718–2725. https://doi.org/10.59188/jcs.v4i9.3584
Zhang, X., & Ju, S.-Y. (2024). The Relationship Between Individual Social Capital and Life Satisfaction Among University Students in China: The Mediating Role of Resiliency. International Journal of Social Science Research, 12 (1), 151. https://doi.org/10.5296/ijssr.v12i1.21802
