THE EFFECT OF ORIENTATION LEARNING ON COMPETITIVE ADVANTAGE THROUGH INNOVATION: STUDY ON SMALL AND MEDIUM ENTERPRISES

Puposes of this study were to explain the influence of learning orientation on technical innovation and administrative innovation olso to analysis influence of technical innovation and administrative innovation on competitive advantage. To test the empirical models, Structural Equation Modeling (SEM) was used. Sample size of this research were 200 owners and/or managers of Small and Medium Enterprises (SMEs) running food and beverage sector in the residency Banyumas areas.The results showed that learning orientation has a positive effect on technical innovation and administrative innovation, technical innovation has a positive effect on competitive advantage, but administrative innovation has no positive effect on competitive advantage.