The Influence of Entrepreneurial Orientation and Human Capital on Organizational Performance Mediated by Innovation (Study on Quick-Casual Dining in Malang)

The restaurant industry plays a significant role in the economic development of Indonesia, contributing to GDP and job creation. In 2023, this industry is projected to grow due to increasing consumer income and dining-out trends. The phenomenon of quick-casual dining, which rapidly developed during the Covid-19 pandemic, has become a tourist attraction in Malang city. This study aims to examine the influence of Entrepreneurial Orientation and Human Capital on Performance through Innovation in quick-casual dining in Malang City. Using the SEM-PLS method, this study collected data from 150 respondents with a 30-item questionnaire. The results show that Entrepreneurial Orientation and Human Capital significantly influence Innovation. Furthermore, Innovation is proven to mediate the influence of Entrepreneurial Orientation and Human Capital on Performance. This research emphasizes the importance of innovation in improving restaurant performance in Malang city, particularly in facing dynamic challenges and intense competition in this industry.