Surya Kurniawan Suhairi, Margono, Siti Aisjah, Wahdiyat Moko
This study seeks to explore how dynamic capabilities and innovation impact competitiveness within the Indonesian manufacturing sector. It specifically investigates how Domestic Component Level (DCL) certification, influenced by government involvement, mediates this relationship. The focus is on how government support shapes the certification process, ultimately affecting competitiveness. Through quantitative methods and surveys conducted among 344 manufacturing firms holding DCL certification in Indonesia, the research finds that while enhanced dynamic capabilities may not directly correlate with increased competitiveness, they play a crucial role in a company's journey toward competitiveness, requiring a gradual process. Additionally, companies with higher DCL values are better positioned to compete for government contracts and services. © 2024 by the authors; licensee Growing Science, Canada.
Faculty of Economics and Business, Brawijaya University, Indonesia