THE EFFECT OF INNOVATION AND ORGANIZATIONAL CULTURE ON THE PERFORMANCE OF SEBLAK MSMEs IN SOUTH CIKARANG

Abstract

This study aims to examine the influence of innovation and organizational culture on the performance of seblak MSMEs in South Cikarang. MSMEs play an essential role in supporting local economic growth, yet they continue to face challenges related to competition, limited resources, and changing consumer preferences. Innovation is considered an important strategy for improving products, processes, and marketing practices, while organizational culture can shape work behavior, cooperation, and business sustainability. This research employed a quantitative approach by distributing questionnaires to 60 respondents who were consumers of seblak MSMEs in South Cikarang. The sample was determined using non-probability sampling and the Hair formula. The collected data were analyzed using SPSS version 26 through validity testing, reliability testing, classical assumption testing, multiple linear regression analysis, t-test, F-test, and coefficient of determination analysis. The results show that innovation has a positive and significant effect on MSME performance. Organizational culture also has a positive and significant effect on MSME performance. Simultaneously, innovation and organizational culture significantly influence the performance of seblak MSMEs in South Cikarang. These findings indicate that MSME actors need to continuously develop creative ideas, improve business processes, and strengthen organizational values to enhance competitiveness and business performance.