Business Environment and Innovation Strategy in Improving Business Performance of Business Units of Fixed Broadband Based Multiplay Provider in Indonesia
The penetration of mobile broadband in Indonesia outperforms fixed broadband. Since 2012 mobile broadband
services have shown an increasing trend, nevertheless fixed broadband has declined since 2011. It shows that Fixed Broadband
has not been able to attract customers compared to mobile broadband. There are several aspects that are expected to affect the
condition, including innovation strategy and business environment. So this study aims to examine the influence of business
environment and innovation strategy on business performance of business units of fixed broadband based on multiplay
provider in Indonesia. This research uses explanatory quantitative method. Observation using time horizon that is cross section
/ one shot in 2017. The unit of analysis is business units of fixed broadband based multiplay provider in Indonesia, focus on
internet and television service with observation unit is leader of each Business Unit. Altogether there are 64 business units as a
population of national analysis units. Given the small size of the population, it will be taken all members of the population to be
examined (census).The results show that the business environment and innovation strategy play a role in developing business
performance, where innovation strategy have a greater impact than business environment. The findings of this study have
implications for the management of business units of fixed broadband based mutiplay provider in Indonesia, that the effort to
improve the superior business performance needs to be supported by the development of innovation strategy supported by the
development of business environment adaptation..
Keyword - Business Environment, Innovation Strategy, Business Performance, Multiplay.