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Is There Mediation Role Of Corporate Social Responsibility On relationship of Competitive Pressure and Business Performance in Batik Industry in Central Java?
Noorlalie Soewarno, Bambang Tjahjadi, Mawar Fitriyah

Building: Parallel Session 2
Room: H
Date: 2020-10-27 02:45 PM – 04:00 PM
Last modified: 2020-10-19

Abstract


This study aims to discuss the mediating role of CSR on the influence of competitive pressure toward business performance on Batik Industry in Central Java. This study used an explanatory quantitative approach. Data was collected through online and offline questionnaires with a random sampling method. Samples of 254 MSMEs in Batik Industry have been successfully collected. Hypothesis tested by using the Structural Equation Modeling - Partial Least Square (SEM-PLS) with the help of Warp-PLS 6.0 software. The results of this study indicate that the direct effect of competitive pressure has a positive and significant effect on Batik MSMEs business performance in Central Java. Competitive pressure also has a positive effect on Corporate Social Responsibility (CSR), and CSR has a significant and positive effect on Business performance. In addition, the results of this study also show that the indirect effect of CSR fully mediates the influence of competitive pressure on Batik MSMEs business performance in Central Java.