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The purpose of this study is to analyze and provide empirical evidence on; - To examine the relationship between product innovation and sustainable competitive advantage, - To examine the relationship between product innovation and market driving and - To examine the relationship between market driving and sustainable competitive advantage. The population of this study is rabbit meat merchants with a total 110 people in the district of Ngablak Magelang. Techniques of data collection a done by distributing a questionnaire to the respondent and made documentation or records of the sources of the requires data. The analysis used in this study is by using the concept of Structural Equation Model (SEM) with Partial Least Square (PLS) program. The results of the study show that the effect of Product innovation (PI) on sustainable competitive advantage (SCA) is positive significant, The effect of Product innovation (PI) on Market Driving (MD) is positive significant, The effect of Market driving (MD) on sustainable competitive advantage (SCA) is positive significant. The implication of this study found that product innovation, market driving significantly affects sustainable competitive advantage.
Kuncoro et al. (Sun,) studied this question.