Volume 5, Issue 6, June – 2020 International Journal of Innovative Science and Research Technology

ISSN No:-2456-2165

The Effect of Work Culture and Competitive

Advantage on the Performance of Culinary and
Service Companies During the COVID-19 Pandemic
Badzlina Balqis Setyo Riyanto
Master of Management Student, Mercu Buana University Associate Professor, Mercu Buana University
Jakarta, Indonesia Jakarta, Indonesia

Abstract:- This study aims to analyze the influence of In addition to a change in work culture, during the
work culture and competitive advantage on service and COVID-19 outbreaks continued to look for ways to achieve
culinary companies during the COVID-19 pandemic. competitive advantage compared to other products and
The research method used is the quantitative descriptive companies that compete in the market. Companies offer
method and using a questionnaire with 65 respondents higher value to consumers, either by offering lower prices or
who have businesses in the service and culinary fields. by providing more benefits to consumer services at higher
The data obtained were processed using multiple linear prices. Based on the statement above, the author wants to
regression methods with SPSS 16.0 application. The analyze how much influence the work culture and
results showed that the variables of work culture and competitive advantage has on the performance of the service
competitive advantage had significant importance on the and culinary companies during the COVID-19 pandemic.
performance of culinary and service companies during
the COVID-19 pandemic. II. LITERATURE REVIEW

Keywords:- Business Performance, Competitive Advantage, A. Work Culture

COVID-19, Work Culture. Work culture is a habit that is repeated by employees
in an organization. Violation of the habit does not have strict
I. INTRODUCTION sanctions. However, morally the organization's actors have
agreed that the habit is a habit that must be obeyed in order
The COVID-19 outbreak to date has spread in various to carry out the work to achieve the goals (Nawawi, 2003).
countries, including Indonesia. This virus first appeared in Work culture affects the organization in various ways, which
Wuhan, Hubei Province, China in December 2019 with a means that with an increase in work culture, it will affect
very rapid transmission rate and spread to almost all employee performance (Nugroho, 2011).
countries, including Indonesia, in just a few months.
Increasing spread causes the World Health Organization B. Competitive Advantage
(WHO) to set this outbreak to become a global pandemic Competitive advantage is a set of factors that
after the number of infections worldwide reaches more than distinguish a company from its competitors. The key to
121,000. The Indonesian government has also set this business success is the development of unique competitive
outbreak to be a national disaster, so it is recommended to advantages where excellence produces results that are
the public to conduct social distancing in order to slow the difficult for competitors to imitate and value for customers
spread of the virus. Besides, the government also (Adiputra, 2017). Competitive advantage is the core of
recommends doing all activities from home. performance in market competition because the competition
is the core of success or failure of a company (Lasalewo,
The wide spread of the coronavirus has an impact on 2016). According to Respatya (2001), companies that
companies in Indonesia, including the service, F&B, and produce products or services must pay attention to the
retail segments. Impacts experienced by the company such concept of competitive advantage so that companies can
as a decrease in revenue, a decrease in sales, difficulty in survive that will ultimately make a profit. The competitive
obtaining raw materials, hampered distribution, hampered advantage consists of three dimensions, namely durability,
production, changes in business strategy, and others. Many the level of difficulty to be imitated, and the level of ease to
companies affected by the COVID-19 pandemic must match (Hall, 1990).
reduce the number of employees to bankruptcy. The
COVID-19 pandemic also caused companies in Indonesia to C. Business Performance
change their work culture. Several companies apply for Business performance is the result of organizational
work from home for their employees in completing their goals achieved through the effectiveness of strategies and
work. Some companies implement shifts in their working techniques (Fairoz, 2010). In the global era and during the
hours. Not a few employees were given additional work COVID-19 pandemic, business performance has become an
during the COVID-19 pandemic. essential element for survival. Some factors that can
determine business performance in an organization are
creating customers by marketing, innovating, and economic

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Volume 5, Issue 6, June – 2020 International Journal of Innovative Science and Research Technology
ISSN No:-2456-2165
productivity consisting of human resources, capital
resources and physical resources. According to Wibowo
(2008), performance as a result of work or work
performance and how the work process takes place.
Meanwhile, according to Armstrong and Baron in Wibowo
(2008), performance is the result of work that has a
relationship with the strategic objectives of the organization,
customer satisfaction, and contribute to the economy.

III. METHODOLOGY OF RESEARCH

In this study, a quantitative approach is used to explain Fig 1:- Framework Model
the influence between work culture variables (X1) and
competitive advantage (X2) on business performance (Y). E. Hypothesis
The questionnaire was distributed to 65 respondents who H1: Work culture affects business performance.
had businesses in the service and culinary fields. Data H2: Competitive advantage affects business performance.
analysis techniques used are as follows: H3: Work culture and competitive advantage affect business
performance.
A. Validity Test
Validity test is used to test which question items are IV. RESULT AND DISCUSSION
valid and which are invalid (Maida, 2017). Validity test in
this study was conducted by comparing the value of r This research was conducted by distributing
arithmetic with r table. If the value of r count is higher than r questionnaires to 65 respondents who have businesses in the
table, then the questionnaire items are valid. service and culinary fields. The results obtained are
processed using the SPSS 16.0 application for Windows.
B. Reliability Test Characteristics of respondents are those who have
Reliability test is used to find out the question items businesses in the service and culinary fields and are seen
used are reliable as a measurement tool. The method used in from their age, gender, length of business, and also
measuring the reliability of the questionnaire is by using education. Descriptive analysis results showed that the
Cronbach's Alpha method for each variable measured majority of respondents were male and aged 21-30 years,
(Setiawan, 2016). Variables can be categorized as reliable if with a percentage of 52%. Respondents aged 31-40 years
they have an alpha value higher than 0.60 (Riyanto, 2019). had a percentage of 23%. Respondents aged 41-50 have a
percentage of 12%. Respondents who are more than 50 years
C. Multiple Linear Regression Analysis old have a percentage of 11%. The rest are respondents who
This analysis is used to determine the direction of the are less than 20 years old. Besides, the majority of
relationship between the dependent and independent respondents have a minimum education level of S1 and have
variables, whether each independent variable is positive or been in business for two years. The questionnaire distributed
negative. Besides this analysis is also used to predict the consisted of 17 question items which were divided into three
value of the dependent variable when there is an increase or variables, namely work culture (X1), competitive advantage
decrease in the independent variable (Maida, 2017). The (X2) and business performance (Y).
form of the multiple linear regression equation used is as
follows: A. Validity Test
Validity test is used to test valid and invalid question
Y = a + b1X1 + b2X2 + e items (Maida, 2017). In this study, the validity test is done
Y = Business Performance by comparing the value of r arithmetic with r table. If the
a = Constant calculated r-value is higher than the r table value, the
b1… b2 = Regression Coefficients questionnaire items are considered valid. The results of the
X1 = Work Culture validity test can be seen in the table below.
X2 = Competitive Advantage
e = Error Variable rcount rtable Information
0.495
Work Culture
D. Descriptive Analysis – 0.2441 Valid
(X1)
Descriptive analysis is used to analyze data by 0.728
describing or describing data that has been collected so that 0.694
Competitive
the data presented can be easily understood and informative – 0.2441 Valid
(Sholikhah, 2016). Descriptive hypotheses and statistical Advantage (X2)
0.837
hypotheses can be arranged as follows. Business 0.762
Performance – 0.2441 Valid
(Y) 0.809
Table 1:- Validity Test On Work Culture (X1), Competitive
Advantage (X2), And Business Performance (Y)

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Volume 5, Issue 6, June – 2020 International Journal of Innovative Science and Research Technology
ISSN No:-2456-2165
Based on the above table, it can be seen that with a
significance level of 5% the r table value of 0.2441 is
obtained. In the table, the validity test for the X1 variable
which is a work culture variable shows that the variable has
a calculated r-value of 0.495 - 0.728 where the value is
higher than the r table value, so the X1 variable is considered
valid. Validity test for variable X2 which is a competitive
advantage shows that the variable has a calculated r value of
0.694 - 0.837 where the value is higher than the value of r
table, so the X2 variable is considered valid. Likewise, the Table 3:- The Result Of Multiple Linear Regression
validity test for the Y variable which is a business Analysis
performance variable has a calculated r-value of 0.762 -
0.809 where the value is higher than the r table value, so the Based on the table above can be written into the form
Y variable is considered valid. of multiple linear regression equations as follows:

B. Reliability Test Y = 7.097 + 2.069X1 + 2.463X2

Reliability test is used to show the level of internal
consistency reliability by measuring the coefficient of Based on the above table, it can be seen that the work
Cronbach's Alpha where the variable can be categorized as culture variable (X1) has a calculated t value of 2,069 with a
reliable if it has an alpha value higher than 0.60 (Riyanto, t table value of 1,999. This shows that the variable X1 has a
2019). The reliability test results based on the Cronbach's significant effect on business performance because the
Alpha formula can be seen in the table below. calculated t value is higher than the t table value.
Meanwhile, the competitive advantage variable (X2) has a
Reliability Critical calculated t value of 2,463 with a t table value of 1,999
Variable Information where it shows that the X2 variable has a significant effect
Coefficient Point
Work Culture on business performance because the calculated t value is
0.713 0.6 Reliable higher than the t table value.
(X1)
Competitive
0.871 0.6 Reliable
Advantage (X2)
Business
0.807 0.6 Reliable
Performance (Y)
Table 2:- The Result Of Reliability Test

Based on the above table, it can be seen that the

variables of work culture (X1), competitive advantage (X2),
and business performance (Y) have a coefficient value
higher than 0.60 with the value of each variable of 0.713 for Table 4:- The Result Of F-Test
the work culture variable (X1), 0.871 for the variable
competitive advantage (X2), and 0.807 for business Based on the table above shows that the calculated F
performance variables (Y). From these results, the three value obtained is 9,237 with a F table value of 3.14. This
variables can be said to be reliable. shows that the variables of work culture and competitive
advantage have a significant (simultaneous) effect on
C. Multiple Linear Regression Analysis business performance variables because they have a
This analysis is used to determine the direction of the calculated F value higher than the F table.
relationship between the dependent and independent
variables, whether each independent variable is positive or
negative. Besides this analysis is also used to predict the
value of the dependent variable when there is an increase or
decrease in the independent variable (Maida, 2017). The
results of multiple linear regression analysis can be seen in
the table below.
Table 5:- The Result Of The Coeffiecient Of Determination

From the table above we can get the coefficient of

determination as follows:

KD = R2 x 100%
= (0.520)2 x 100%
= 27%

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Volume 5, Issue 6, June – 2020 International Journal of Innovative Science and Research Technology
ISSN No:-2456-2165
Based on the above calculations, it can be seen that the [10]. Setiawan, Z dan Rusdiansyah. 2016. Peranan Bauran
work culture variable (X1) and competitive advantage (X2) Harga Terhadap Peningkatan Penjualan Alat
have a simultaneous influence of 27% on the business Kesehatan. Jurnal Pilar Nusa Mandiri Vol 12 No 2.
performance variable (Y). In comparison, the remaining [11]. Sholikhah, A. 2016. Statistik Deskriptif Dalam
73% is influenced by other factors not examined in this Penelitian Kualitatif. Komunika Vol. 10 No. 2, Juli-
study. Desember 2016.
[12]. Wibowo, Amin. 2008. The Impact of Organisational
V. CONCLUSION Culture and Internal Corporate Governance on
Organisational Performance in Indonesian Companies.
Based on the results of research and discussion that has Curtin University.
been done, several conclusions can be drawn, including:
1. There is a positive and significant influence on work
culture variables on business performance variables. This
is evidenced by the acquisition of t value of 2.069, which
is higher than the value of t table of 1.999.
2. There is a positive and significant influence on the
variable of competitive advantage on business
performance variables. This is evidenced by the
acquisition of t value of 2,463, which is higher than the
value of t table of 1,999.

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