West Science Journal Economic and Entrepreneurship
Vol. 4 No. 03 (2026): West Science Journal Economic and Entrepreneurship

Analysis of Strategic Agility and Digital Transformation on Innovation Capability and Competitive Advantage in Technology Startups in Bandung

Heny Fitriani (Politeknik PGRI Banten)
Siska Mayratih (Universitas Muhammadiyah Tangerang)
Lena Erdawati (Universitas Muhammadiyah Tangerang)
Eko Sudarmanto (Universitas Muhammadiyah Tangerang)



Article Info

Publish Date
29 Aug 2026

Abstract

This study examines the effects of strategic agility and digital transformation on innovation capability and competitive advantage among technology startups in Bandung, Indonesia. A quantitative research design was employed using a cross-sectional survey involving 190 respondents who were directly engaged in technology startup activities. Data were collected through a structured questionnaire using a five-point Likert scale and analyzed through Partial Least Squares Structural Equation Modeling using SmartPLS 3. The findings show that strategic agility has a positive and significant effect on innovation capability and competitive advantage. Digital transformation also has a positive and significant effect on innovation capability and competitive advantage. Innovation capability has a strong positive and significant effect on competitive advantage. Furthermore, innovation capability significantly mediates the relationships between strategic agility and competitive advantage and between digital transformation and competitive advantage. The model explains 68.4% of the variance in innovation capability and 75.6% of the variance in competitive advantage. These findings indicate that technology startups can strengthen their competitive position by combining strategic responsiveness, digital integration, and continuous innovation. The study contributes to the Resource-Based View and Dynamic Capabilities perspective by demonstrating that innovation capability functions as a key mechanism through which strategic agility and digital transformation generate competitive value.

Copyrights © 2026






Journal Info

Abbrev

wsee

Publisher

Subject

Economics, Econometrics & Finance

Description

Journal of Economics and Entrepreneurship published since 2023 by Westscience Press. Editors receive scientific articles from research results, surveys, and literature reviews closely related to the Economics and Entrepreneurship sectors. WSJEE is a peer-reviewed and open-access scientific magazine. ...