The Effect of Price Competitiveness and Operational Flexibility on Competitive Advantage and Ordering Decision at Duta Collection Convection
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6138-6157
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10.58578/mikailalsys.v4i3.11978
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Authors:Fatimah Nayyiratus Sadiyah1*, Nuraeni2
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Abstract
Intensifying competition in the garment industry, coupled with fluctuating and declining order volumes, requires garment businesses to strengthen their ability to retain customers and encourage ordering decisions. This study examines the direct effects of price competitiveness and operational flexibility on competitive advantage and ordering decisions, as well as their indirect effects through competitive advantage. A quantitative explanatory design was employed, involving all 60 customers who placed orders with Duta Collection Convection between January 2023 and December 2025, selected through saturated sampling. Data were collected using a structured questionnaire and analyzed through path analysis using SPSS version 26.0. The findings indicate that price competitiveness and operational flexibility have positive and significant effects on competitive advantage. Both factors also have positive and significant direct effects on ordering decisions, while competitive advantage positively and significantly influences ordering decisions. Competitive advantage does not mediate the relationship between price competitiveness and ordering decisions but partially mediates the relationship between operational flexibility and ordering decisions. The study demonstrates that competitive pricing directly encourages customer orders, whereas operational flexibility strengthens ordering decisions both directly and by enhancing competitive advantage. These findings contribute to the literature on competitive strategy and customer decision-making in garment businesses and imply that managers should integrate competitive pricing with flexible operational practices to strengthen market competitiveness and sustain customer orders.
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