The Influence of Technology Orientation and Human Resource Capital (Human Capital) On Business Performance Through Innovation in Culinary Msmes in Makassar City

Abstract

This study aims to analyze and prove the influence of Technology Orientation and Human Capital on Business Performance through Innovation in Culinary MSMEs in Makassar City. This research involved 140 samples, the research sample was taken using a purposive sampling technique whose magnitude was determined through the Hair method. The data was analyzed using a structural equation model (SEM) with the Smart-PLS4 analysis tool. The results of this study prove that (1) Technology Orientation has no effect on business performance (2) Human resource capital has an effect on business performance (3) Technology Orientation has no effect on innovation (4) Human resource capital has an effect on innovation (5) Innovation has an effect on business performance (6) Technology orientation has no effect on business performance through innovation (7) HR capital has an effect on business performance through innovation. This study found that technology orientation has no direct effect on performance and also does not affect indirectly through innovation, this proves that the technology orientation in this study is proven to still not be implemented as an innovation support by Culinary MSME actors in Makassar City so that this does not affect business achievements significantly.