Journal of Economics, Entrepreneurship, Management Business and Accounting
Vol 4 No 4 (2026): Volume 4, Issue 4, July 2026

Urban Development Management Strategies to Enhance Regional Competitiveness: Evidence from Urban Planning in Medan City

Pretty Naomi Sitompul (Politeknik Unggulan Cipta Mandiri)
Cindy Yolanda (Universitas Tjut Nyak Dhien)



Article Info

Publish Date
31 Jul 2026

Abstract

Purpose – Rapid urbanization and fragmented urban governance have created significant challenges for regional competitiveness in emerging metropolitan cities such as Medan, Indonesia. This study examines how urban development management strategies enhance regional competitiveness, with resource optimization positioned as a mediating mechanism. Design/methodology/approach – This study adopted a quantitative explanatory approach through a cross-sectional survey involving 120 stakeholders engaged in urban planning and development in Medan City, including government officials, academics, planning professionals, and private-sector actors. Data were gathered using structured questionnaires and analyzed through Partial Least Squares Structural Equation Modeling (PLS-SEM). Finding/Results – The findings reveal that urban development management significantly improves resource optimization (β = 0.68) and regional competitiveness (β = 0.31). Resource optimization also positively affects regional competitiveness (β = 0.44) and partially mediates the relationship between urban development management and regional competitiveness (β = 0.30). These findings indicate that governance capability contributes to competitiveness both directly and indirectly through operational efficiency mechanisms. Originality/Value – This study extends the application of the Resource-Based View (RBV) in the urban governance context by demonstrating that resource optimization functions as an operational mechanism linking strategic urban management and competitiveness outcomes. The findings suggest that improving regional competitiveness requires not only integrated governance structures but also stronger operational efficiency in urban resource utilization.

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Journal Info

Abbrev

JEEMBA

Publisher

Subject

Economics, Econometrics & Finance

Description

Journal of Economics, Entreprenurship, Management Business and Accounting (JEEMBA) mencakup bidang ekonomi dan keuangan, manajemen bisnis dan akuntansi khususnya bidang akuntansi, manajemen, pasar modal, hukum bisnis, perpajakan, sistem informasi, serta bidang ekonomi dan keuangan lainnya. JEEMBA ...