ENVIRONMENTAL TURBULENCE, ENTREPRENEURIAL ORIENTATION AND BUSINESS UNIT PERFORMANCE: EFFECTS ON DYNAMIC CAPABILITIE AND STRATEGIC ALLIANCE FORMATION AND ITS ROLE TO BUILD SUSTAINABLE COMPETITIVE ADVANTAGE A STUDY ON ONLINE STORE BUSINESS IN WEST JAVA, INDONESIA
This study aimed to confirm and test the effect of three independent variables i.e. environmental turbulence, entrepreneurial orientation and business performance towards dynamic capability and the strategic alliances formation and its role to build sustainable competitive advantage. This study was conducted on e commerce retail business, known as an online store in West (c) Sihotang, Kartini, Rufaidah Sutisna Licensed under Creative Common Page 318 Java. Total sample was 50 managers of online store representing 5 categories of products, namely: Computer, Electronics Office Supplies; Fashion, Sport Health Beauty; Home Garden; Kids Baby Toys; and Automotive. Research method used is quantitative survey methods, and the sampling technique used was cluster random sampling and stratified random sampling. The data analysis technique used in this research was a variants based SEM (Structural Equation Modeling) technique with Smart PLS Ver.3. To analyze the influences of the three independent variable (environmental turbulence, entrepreneurial orientation and business performance) on the dependent variable (sustainable competitive advantage) through two intervening variables( dynamic capability and the formation of strategic alliances) were built 11 partial hypotheses. The results of the verification test found that there are only 4 hypotheses which are not supported i.e. the influence of business performance towards dynamic capability and the influence of environmental turbulence, entrepreneurial orientation and business performance towards sustainable competitive advantage and the 7 remaining are supported.