The role of innovation in mediating the relationship between entrepreneurial orientation and digital literacy on sustainability performance: A study of developing tourism villages in Jembrana Regency

Ni Made Rai Christina Kusuma Dewi; Tjokorda Gde Raka Sukawati; I Putu Gde Sukaatmadja; Gede Bayu Rahanatha

doi:10.21744/irjmis.v12n4.2538

Authors

Ni Made Rai Christina Kusuma Dewi
maderai698@gmail.com
Udayana University, Denpasar, Indonesia
Tjokorda Gde Raka Sukawati Udayana University, Denpasar, Indonesia
I Putu Gde Sukaatmadja Udayana University, Denpasar, Indonesia
Gede Bayu Rahanatha Udayana University, Denpasar, Indonesia

Keywords:

digital literacy, entrepreneurial orientation, innovation, sustainability performance

Abstract

This study examines the relationships among entrepreneurial orientation, digital literacy, innovation, and sustainability performance in Jembrana's developing tourist villages. Focusing on how entrepreneurial mindset and digital skills directly influence sustainability, and how innovation mediates these effects, the research addresses the concept of sustainability across economic, social, environmental, and technology dimensions. Conducted in Blimbingsari and Ekasari tourist villages, the study surveyed 170 respondents using a quantitative approach with Structural Equation Modelling–Partial Least Squares (SEM-PLS) analysis. Findings indicate that entrepreneurial orientation, digital literacy, and innovation have a significant and positive impact on sustainability performance. Additionally, both entrepreneurial orientation and digital literacy significantly and positively influence innovation. The findings are expected to contribute to the development of tourism villages in Jembrana Regency through strengthening entrepreneurial orientation, improving digital literacy, and implementing innovation. The practical implications of this research encourage tourism village managers in Jembrana Regency to focus on increasing their willingness to take risks in exploring new development opportunities, enhancing innovation in marketing activities, and improving knowledge in digital content creation.

Downloads

Download data is not yet available.

References

Abu-Rumman, A., Al Shraah, A., Al-Madi, F., dan Alfalah, T. (2021). Entrepreneurial networks, entrepreneurial orientation, and performance of small and medium enterprises: are dynamic capabilities the missing link? Journal of Innovation and Entrepreneurship, 10(1).

Al Mamun, A., and Fazal, S. A. (2018). Effect of entrepreneurial orientation on competency and micro-enterprise performance. Asia Pacific Journal of Innovation and Entrepreneurship, 12(3), 379–398.

Alvarez-Torres, F. J., Lopez-Torres, G. C., and Schiuma, G. (2019). Linking entrepreneurial orientation to SMEs’ performance: Implications for entrepreneurship universities. Management Decision, 57(12), 3364–3386.

Arifudin (2020). Manajemen Desa Wisata Dalam Meningkatkan Pendapatan Desa. Jurnal Al Amar, 1(1), 1–7. h

Ataei, P., Karimi, H., & Zarei, R. (2024). The role of entrepreneurial leadership, intellectual capital, innovativeness culture, and entrepreneurial orientation in entrepreneurial opportunity recognition by students. Journal of Open Innovation: Technology, Market, and Complexity, 10(2), 100265. https://doi.org/10.1016/j.joitmc.2024.100265

Barney, J. (1991). Firm resources and sustained competitive advantage. International Business Strategy: Theory and Practice, 17(1), 99–120.

Basco, R., Hernández-Perlines, F., & Rodríguez-García, M. (2020). The effect of entrepreneurial orientation on firm performance: A multigroup analysis comparing China, Mexico, and Spain. Journal of Business Research, 113, 409-421. https://doi.org/10.1016/j.jbusres.2019.09.020

Bidasari, B., Sahrir, S., Goso, G., dan Hamid, R. S. (2023). Peran Literasi Keuangan dan Literasi Digital dalam Meningkatkan Kinerja UMKM. Owner, 7(2), 1635–1645.

Buchori, A., Sulistyo, A., Yuliandri, T. E., Arifkusuma, M. B., Fakhrul, H., Aguilera, E., and Saputra, I. (2023). Tourist Village Innovation in Creating Management and Sustainable Marketing. Journal of Tourism Destination and Attraction, 11(2), 89–100.

Buli, B. M. (2017). Entrepreneurial orientation, market orientation and performance of SMEs in the manufacturing industry: Evidence from Ethiopian enterprises. Management Research Review, 40(3), 292-309.

Chavez, R., Yu, W., Sadiq Jajja, M. S., Lecuna, A., and Fynes, B. (2020). Can entrepreneurial orientation improve sustainable development through leveraging internal lean practices? Business Strategy and the Environment, 29(6), 2211–2225.

Cho, Y. H., & Lee, J.-H. (2018). Entrepreneurial orientation, entrepreneurial education and performance. Asia Pacific Journal of Innovation and Entrepreneurship, 12(2), 124–134.

Christa, U. R., and Kristinae, V. (2021). The effect of product innovation on business performance during covid 19 pandemic. Uncertain Supply Chain Management, 9(1), 151–158.

Dahman, Y., Goso, G., Sahrir, S., dan Salju, S. (2023). Peran Literasi Digital, Motivasi Kerja, Kemampuan Kerja dalam Meningkatkan Kinerja Karyawan UMKM. Jesya, 6(2), 1784–1793.

Donkor, J., Donkor, G. N. A., Kankam-Kwarteng, C., and Aidoo, E. (2018). Innovative capability, strategic goals and financial performance of SMEs in Ghana. Asia Pacific Journal of Innovation and Entrepreneurship, 12(2), 238–254.

Fadda, N. (2018). The effects of entrepreneurial orientation dimensions on performance in the tourism sector. New England Journal of Entrepreneurship, 21(1), 22–44.

Fan, M., Qalati, S. A., Khan, M. A. S., Shah, S. M. M., Ramzan, M., and Khan, R. S. (2021). Effects of entrepreneurial orientation on social media adoption and SME performance: The moderating role of innovation capabilities. PLoS ONE, 16(4 April 2021), 1–24.

Ferreira, J. J., Fernandes, C. I., Kraus, S., and McDowell, W. C. (2021a). Moderating influences on the entrepreneurial orientation-business performance relationship in SMEs. International Journal of Entrepreneurship and Innovation, 22(4), 240–250.

Firmansyah, D., dan Dede. (2022). Kinerja Kewirausahaan: Literasi Ekonomi, Literasi Digital dan Peran Mediasi Inovasi. Formosa Journal of Applied Sciences, 1(5), 745–762.

Gomes, G., Seman, L. O., Berndt, A. C., and Bogoni, N. (2022). The role of entrepreneurial orientation, organizational learning capability and service innovation in organizational performance. Revista de Gestao, 29(1), 39–54.

Hair, J. F., Risher, J. J., Sarstedt, M., and Ringle, C. M. (2019). When to use and how to report the results of PLS-SEM. European Business Review, 31(1), 2–24.

Handayani, S. M., Rahayu, E. S., Irianto, H., Sundari, M. T., Setyowati, dan Widadie, F. (2023). Analisis kinerja desa wisata berbasis pertanian pada berbagai kategori desa wisata di Kabupaten Bantul. Agromix, 14(1), 67–76.

Hidayat, Y. A., Siregar, L. S., dan Kurniani, K. (2023). Pengaruh Orientasi Kewirausahaan dan Inovasi Produk Pada Kinerja Bisnis UMKM Kopi Temanggung. Jurnal Agribisnis Indonesia, 11(1), 190–204.

Humas Kemendes, P. (2023). Desa Wisata Jadi Program Prioritas Kemendes PDTT Tahun 2024. Kementerian Desa Dan Pembanguan Daerah Tertinggal. https://kemendesa.go.id/berita/view/detil/4898/desa-wisata-jadi-program-prioritas-kemendes-pdtt-tahun-2024

Hussain, S., Ahonen, V., Karasu, T., & Leviäkangas, P. (2023). Sustainability of smart rural mobility and tourism: A key performance indicators-based approach. Technology in Society, 74, 102287. https://doi.org/10.1016/j.techsoc.2023.102287

Imjai, N., Meesook, K., Somwethee, P., Usman, B., & Aujirapongpan, S. (2025). Exploring the impact of digital financial literacy to effective financial planning and control: Perspectives on competitiveness of Thai micropreneurs. Social Sciences & Humanities Open, 11, 101307. https://doi.org/10.1016/j.ssaho.2025.101307

Indah, F. R., Dahmiri, & Kurniawan, D. (2023). Pengaruh Orientasi Kewirausahaan Terhadap Kinerja Usaha Dengan Strategi Pertumbuhan Usaha Sebagai Variabel Intervening. Jurnal Dinamika Manajemen, 11(2), 65–75.

Iordache, C., Mariën, I., and Baelden, D. (2017). Developing digital skills and competences: A quick-scan analysis of 13 digital literacy models. Italian Journal of Sociology of Education, 9(1), 6–30.

Iqbal, S., Martins, J. M., Mata, M. N., Naz, S., Akhtar, S., and Abreu, A. (2021). Linking entrepreneurial orientation with innovation performance in smes; the role of organizational commitment and transformational leadership using smart pls-sem. Sustainability (Switzerland), 13(8).

Isichei, E. E., Emmanuel Agbaeze, K., and Odiba, M. O. (2020). Entrepreneurial orientation and performance in SMEs: The mediating role of structural infrastructure capability. International Journal of Emerging Markets, 15(6), 1219–1241.

Kemenparekraf. (2024). Siaran Pers: Menparekraf Luncurkan Paket Wisata Banyuwangi-Bali Barat dan Bali Utara (3B). Kementerian Pariwiwsata Dan Ekonomi Kreatif. https://kemenparekraf.go.id/berita/siaran-pers-menparekraf-luncurkan-paket-wisata-banyuwangi-bali-barat-dan-bali-utara-3b

Kementerian Pariwisata Republik Indonesia. (2019). Pedoman Desa Wisata. 1–96.

Kristinae, V., Sambung, R., Meitiana, Mering, L., Dwiatmadja, C., and Tunjang, H. (2023). Application of RBV theory in entrepreneurial orientation, dynamic capability and customer relationship management. Uncertain Supply Chain Management, 11(2), 707–712.

Mcmullan, W., and Kenworthy, T. (2015). Creativity and Entrepreneurial Performance: A General Scientific Theory. In Creativity and Entrepreneurial Performance: A General Scientific Theory.

Meekaewkunchorn, N., Szczepańska-Woszczyna, K., Muangmee, C., Kassakorn, N., and Khalid, B. (2021). Entrepreneurial orientation and sme performance: The mediating role of learning orientation. Economics and Sociology, 14(2), 294–312.

Mentzer, K., Frydenberg, M., and Patterson, A. (2024). Are Tech Savvy Students Tech Literate? Digital and Data Literacy Skills of First-Year College Students. Information Systems Education Journal, 22(3), 4–24.

Metris, D., & Priambodo, A. (2023). Literasi Digital dan Lingkungan Kerja Terhadap Kinerja Pegawai dengan Perilaku Kerja Inovatif Sebagai Variabel Intervening. 6(3), 719–735.

Muhammadiah, M., Pattiasina, P. J., Khasanah, K., & Pirdaus, A. (2021). The relevance of speaking skills with improving digital literacy skills. International Research Journal of Management, IT and Social Sciences, 8(6), 669–678. https://doi.org/10.21744/irjmis.v8n6.1975

Muraleedharan, N. V., & Velmurugan, V. P. (2025). A Review Study on the Influence and Effect of Knowledge Management in Small and Medium Enterprises. J. Manag. World, 2025(1), 223-239.

Novitasari, Y., and Fauziddin, M. (2022). Analisis Literasi Digital Tenaga Pendidik pada Pendidikan Anak Usia Dini. Jurnal Obsesi : Jurnal Pendidikan Anak Usia Dini, 6(4), 3570–3577.

Nursal, M. F., Rianto, M. R., & Bukhari, E. (2022). The Influence of Market Orientation, Entrepreneurial Orientation, Knowledge Management and Learning Organization on Performance Mediated by Innovation in Culinary SME’s in Bekasi. East Asian Journal of Multidisciplinary Research, 1(8), 1691–170 2.

Pangrazio, L., Godhe, A. L., and Ledesma, A. G. L. (2020). What is digital literacy? A comparative review of publications across three language contexts. E-Learning and Digital Media, 17(6), 442–459.

Parlyna, R., Susanto, P., dan Abror, A. (2022). Orientasi Kewirausahaan Dan Kinerja Ikm Sektor Pariwisata: a Systematic Literature Review. Jurnal Ilmu Manajemen, 10, 2022.

Ramadhani, dan Hidayati. (2024). Penerapan Triple Bottom Line Pada PT Bank Rakyat Indonesia Tbk. Akuntansi, 3(2), 156–162.

Razak, I. S. A., Masud, M., Wahid, M., dan Rahman, W. (2022). Pengaruh Karakter, Kompetensi dan Literasi Digital Terhadap Kinerja Pegawai Pada Universitas Muhammadiyah Luwuk. 6(2), 220–233.

Rodríguez-De-dios, I., Igartua, J. J., and González-Vázquez, A. (2016). Development and Validation of a Digital Literacy Scale for Teenagers. ACM International Conference Proceeding Series, 02-04-Nove, 1067–1072.

Rosalina, P. D., Dupre, K., Wang, Y., Putra, I. N. D., & Jin, X. (2023). Rural tourism resource management strategies: A case study of two tourism villages in Bali. Tourism Management Perspectives, 49, 101194. https://doi.org/10.1016/j.tmp.2023.101194

Salsabila, M. S., & Fauzi, A. M. (2021). Partisipasi Masyarakat Dalam Pengembangan Desa Wisata (Studi Kasus Desa Menang Kecamatan Pagu Kabupaten Kediri). Jurnal Pariwisata Terapan, 5(1), 38.

Seo, R. (2020). Collaborative entrepreneurship for continuous innovation: A strategic alliance perspective. In Entrepreneurship-Contemporary Issues. IntechOpen.

Setyadi, A., Pawirosumarto, S., Damaris, A., & Dharma, R. (2025). Risk management, digital technology literacy, and modern learning environments in enhancing learning innovation performance: A framework for higher education. Education and Information Technologies, 2023(0123456789).

Setyaningsih, R., Abdullah, A., Prihantoro, E., and Hustinawaty, H. (2019). Model of Strengthening Digital Literacy Through Utilization of E-Learning. Journal of ASPIKOM, 3(6), 1200.

Shaher, A. T. H. Q., & Ali, K. A. M. (2020). The effect of entrepreneurial orientation and knowledge management on innovation performance: The mediation role of market orientation. Management Science Letters, 10(15), 3723–3734.

Simanjuntak, E., Mulya, H. C., Engry, A., & Alfian, I. N. (2025). Dataset of digital literacy of university students in Indonesia. Data in Brief, 58, 111227. https://doi.org/10.1016/j.dib.2024.111227

Smith, E. E., & Storrs, H. (2023). Digital literacies, social media, and undergraduate learning: what do students think they need to know? International Journal of Educational Technology in Higher Education, 20(1).

Song, W., Ma, X., & Yu, H. (2019). Entrepreneurial Orientation, Interaction Orientation, and Innovation Performance: A Model of Moderated Mediation. SAGE Open, 9(4).

Suder, M., Kusa, R., Duda, J., & Okręglicka, M. (2025). Mediating or moderating? Innovative approach to the role of flexibility in the relationship between entrepreneurial orientation and firm growth under different market conditions. Journal of Innovation & Knowledge, 10(2), 100658. https://doi.org/10.1016/j.jik.2025.100658

Sugiyarti, G., Ferdinand, A. T., and Nurchayati, T. (2018). Acculturative products uniqueness antecedence for successful marketing performance. DLSU Business and Economics Review, 28(1), 86–96.

Taneja, M., Tandon, U., & Mittal, A. (2025). Exploring the intricacies of social intelligence, entrepreneurial orientation, and organizational resilience: An empirical investigation. Sustainable Futures, 9, 100467. https://doi.org/10.1016/j.sftr.2025.100467

Tresna, P. W., & Raharja, S. J. (2019). Effect of Entrepreneurial Orientation, Product Innovation and Competitive Advantage on Business Performance in Creative Industries in Bandung City, Indonesia. Review of Integrative Business dan Economics Research, 8(3), 51–60.

Wahyudiyono. (2021). Pengaruh Orientasi Kewirausahaan dan Orientasi Pasar Terhadap Kinerja Perusahaan Melalui Keunggulan Bersaing. Optimal, 18(1), 27–40.

Wang, S., Abbas, J., Al-Sulati, K. I., & Shah, S. A. R. (2024). The impact of economic corridor and tourism on local community's quality of life under one belt one road context. Evaluation Review, 48(2), 312-345.

Wattimury, S. M., & Kurniawati, K. (2022). Pembangunan Berkelanjutan pada Kawasan Benteng Nieuw Victoria Menggunakan Konsep Triple Bottom Line (TBL). Panalungtik, 5(2), 73–82.

Wernefelt, B. (1984). The re-source-based view of the firm. Strategic Management Journal, 5, 171–180.

Wijayanti, dan Purwoko. (2022). Identifikasi indikator kinerja pengelolaan desa wisata rintisan, study kasus desa wisata Karang, Trimulyo, Sleman. Journal Of Tourism And Economic, 5(2), 130–146.

Willie, M. M. (2024). Leveraging Digital Resources: A Resource-Based View Perspective Leveraging Digital Resources: A Resource-Based View Perspective. October.

Yaskun, M., Hermawan, A., Rahayu, W. P., Orientation, M., Orientation, E., and Advantage, C. (2023). The Effect Of Market Orientation, Entrepreneurial Orientation, Innovation And Competitive Advantage On Business Performance Of Article history : Keywords : Market Orientation ; Entrepreneurial Orientation ; Innovation ; Competitive Advantage ; MSMEs Bus. International Journal of Profesional, 1–21.

Zahro, E. K. (2019). Kemampuan Literasi Digital Untuk Meningkatkan Keuntungan Usaha Pada Kalangan Pelaku Usaha Skala Kecil di Kota Surabaya. 11(1), 1–14.