Özet:

Technological developments and high expectations from modern consumers demand the financial industry, especially banking, to be able to compete in facing the challenges of change by utilizing digitalization. Strategy setting, digital leadership, initiatives to innovate, and investing in digital technology are urgent matters for companies to be able to create competitive advantages that ensure good and sustainable company performance.The aim for this research is to determine the impacts of strategy, leadership, and innovation in building competitive advantage towards firm performance on Bank BRI, Indonesia's largest state-owned bank. Data was collected from 280 respondents who were Bank BRI employees using Google forms and taken by purposive sampling technique. The relationship between variables was tested using Smart PLS 3. Results portrayed how sustainable competitive advantage is positively affected by leadership. Innovation was found to be significantly effective toward sustainable competitive advantage, as shown by the results. Meanwhile, strategy was insignificant toward sustainable competitive advantage. Finally, sustainable competitive advantage was shown to have a substantial and positive impact on firm performance.

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