PENINGKATAN DAYA SAING UKM MELALUI PERAN MODAL INTELEKTUAL DAN KINERJA KEUANGAN

Abstract

The existence of Small and Medium Enterprises (SMEs) play a role to contribute significantly to the growth of the Indonesian economy. SMEs are required to optimize resources they have especially non-physical resources to be able to compete and evolve any time. Intellectual capital is one of the non-physical resources for the company and is increasingly recognized as a strategic asset is regarded as essential for sustainable profits. Not many SMEs who understand that intellectual capital could affect the financial performance of the company and is able to increase the value and competitiveness of the company's current and future performance. Therefore , this paper aims to explore and discuss the role of intellectual capital on the financial performance of SMEs which leads to an increase sustainable competitiveness. The method used is analysis and integration theory to develop a conceptual model. This paper proposes that the intellectual capital (human capital, structural capital and relational capital), SMEs are able to have the intellectual capacity needed to maintain stability in a competitive and superior performance in achieving corporate goals.