The strategic role of digital innovation in leveraging entrepreneurial training for business performance

Abstract

This study addresses the access paradox within Indonesia's creative economy, where the availability of digital tools does not automatically correlate with superior business performance. It seeks to examine an integrated model explaining how human capital investment and technological resources relate to business performance. Adopting a dual theoretical lens of the Resource-Based View (RBV) and Dynamic Capabilities (DC) Theory, this study analyzes quantitative data from 616 creative economy actors in Indonesia using PLS-SEM. The results indicate that while entrepreneurship training and digital platforms are positively associated with business performance, their primary strategic value is observed through indirect pathways. Digital innovation is identified as a central dynamic capability, facilitating the link between investments in training, platform use, and financial outcomes. This study bridges the RBV and DC theories by empirically illustrating the associative mechanisms of resource orchestration in the creative sector. The findings suggest that success in the digital age is linked to the dynamic capability to innovate, offering implications for policymakers to shift from providing passive access to fostering active innovation environments.

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