Enhancing Business Incubator Performances from Knowledge-Based Perspectives

Abstract

The rapid evolution of technology has reshaped the global economy, intensified competition, and prompted industry players to embrace innovation to maintain sustained competitiveness. In Indonesia, business incubators, overseen by universities and provincial/city governments, are pivotal. However, understanding the determinants of business incubator performance remains limited. This study investigates 24 statement items aiming to uncover the factors influencing technology business incubators in Indonesia, focusing on knowledge management as a mediating variable from a knowledge-based perspective. Employing a quantitative approach, structural equation modeling (SEM) is utilized to scrutinize these factors’ impact on business incubator performance. The findings reveal that knowledge management serves as a full and partial mediator among funding support, government assistance, incubator governance, and business incubator technology performance. This research offers valuable insights for entrepreneurs and stakeholders by emphasizing the significance of funding, governmental backing, incubator governance, and knowledge management in enhancing incubator business technology performance in Indonesia.