The Social Sciences

Year: 2018
Volume: 13
Issue: 1
Page No. 105 - 117

Corporate Sustainability Performance on Service Industries: A Study of Factors That Encourages Competitive Advantage for Industry Performance

Authors : Mombang Sihite

Abstract: The review relates to correlation between reputation and corporate sustainability performance, become one of studies focuses on service industries. Another study about innovation, diversification and competitive advantage and also correlation with corporate sustainability performance also becomes the important attention. But the whole study relates to the correlation of reputation, innovation, diversification and competitive advantage with corporate sustainability performance in particular for service industry has not became the study focus yet. The aim of study is to get the best model from correlation of reputation and corporate sustainability performance in overall, by including variable of innovation, diversification and competitive advantage. Through a case study on building automation system industries in Indonesia as one of service industries that needs corporate sustainability performance. This study uses 43 directors of building automation system company as respondent. By using mixed method research approach and also structural equation model, through analysis tools of SmartPLS. The finding of study states that corporate sustainability performance can be reached well through the strategy on competitive advantage and also supporting from innovation and diversification. But directly, supporting from reputation on the achievement of corporate sustainability performance has no a good impact. This finding is useful to encourage Indonesia government program in facing issue of “Saving Energy”. And also it is as reference for company in improving corporate sustainability performance through innovation, diversification and competitive advantage.

How to cite this article:

Mombang Sihite , 2018. Corporate Sustainability Performance on Service Industries: A Study of Factors That Encourages Competitive Advantage for Industry Performance. The Social Sciences, 13: 105-117.

Design and power by Medwell Web Development Team. © Medwell Publishing 2022 All Rights Reserved