Pustaka Ilmiah Universitas Padjadjaran

Abstrak

Measurement Model For Business Performance On Creative Industries In Bandung City

Business performance in a creative industry is a matter to be taken into consideration as one of the indicators hinting whether the business has reached success. This research aims at investigating how business performance on creative industry is and what are the factors which dominantly measures the industries’ business performance. In order to answer the research questions, the method of analysis used is descriptive analysis to be later followed by Structural Equation Modeling. The descriptive analysis is used to attain a general depiction concerning the creative industries’ business performance. Furthermore, each variable will go through an empirical hypothesis testing by using SEM (Structural Equation Modeling) on Lisrel Version 8.3 software. The population in this research includes creative industry companies which comprise 15 business type with the total of 5291 companies, with the sampling of 165 companies. The sampling technique applied is proportional stratified random sampling. All indicators in business performance should be able to be deemed valid both in terms of discriminant validity and convergence validity. The result of convergence validity analysis also reveals that the most dominant indicator in measuring business performance variable is the sales volume. This indicates that business performance variable is highly correlated with sales volume. The higher the sales volume is, the greater the business performance will be.