Supply Chain Partnerships and Competitive Advantage of the Beef Cattle Industry: Evidence from Indonesia

Abstract

Background: In developing countries such as Indonesia, the increasing demand for beef has not been matched by domestic beef production. The gap between beef demand and supply highlights the low competitive advantage of the beef industry, primarily due to partnership issues within the supply chain. The objective of this study is to examine the relationship between supply chain partnerships and competitive advantage in the beef cattle industry. Methods: The research was conducted in key beef cattle regions of Indonesia, specifically in South Sulawesi, as the regencies of Bulukumba, Sinjai and Bone. A survey questionnaire was administered to 100 respondents. Spearman’s correlation coefficient analysis was utilized to test the hypotheses. Result: The results indicated that strategic supplier partnerships had a significant and positive relationship with the competitive advantage of beef cattle. However, the sharing of market information and technological knowledge in beef cattle production was not significantly associated with the competitive advantage of the industry. Based on these findings, the study presents several theoretical and policy implications.

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