Imitation Strategies for Sme’s Learning Process Towards Innovation Strategies

Abstract

Imitation as a powerful tool for learning strategies to enter the market and it is important in the innovation processes. Imitation can be a stepping stone for SMEs in underdeveloped countries to innovate and to create a knowledge base to lower the innovation cost.The purpose of this study is to reveal and analyze the innovation strategy learning process by owners of small leather processing industries through experience when running the imitation strategy. This research uses interpretive paradigm with phenomenological design involving 5 key informants in the leather processing industry in Indonesia. The research indicates that the experience of learning to use an imitation strategy covers of stages imitation, research, development and a creation phase. This learning process results in the interaction between personal and behavior factors, as well as the enabler and and creator of barriers. The owners of small leather processing industries who leave the imitation strategy and switch to innovation strategy are craftsmen who have an entrepreneurial spirit. This showed that they are able to balance between entrepreneurial and business aspects.