STRIVING FOR RETAIL COMPETITIVENESS: A STUDY ON WORK ENGAGEMENT AND PERFORMANCE

Abstract

While digital technology has facilitated productivity, the advancements in online gaming may increase potential distractions and alter workers’ behavior. In line with the increasing number of online game users, who are also full-time employees, the impact on work engagement and performance has raised concerns for retail companies. Considering the focus on efficiency and productivity in retail businesses, this study aims to analyze the influence of online game addiction on work engagement and performance, as well as the role of self-efficacy in a bubble tea retail chain in Jakarta. Specifically, work engagement was posited to mediate the relationship between game addiction and performance, whereas self-efficacy was suggested to be the moderating variable. This study employed a quantitative approach, collecting data from 100 employees of XYZ Bubble Tea. Based on a purposive sampling technique, the questionnaire was distributed to the respondents who are actively playing online games, and analyzed using PLS-SEM. The results showed that online game addiction had a significant negative effect on work engagement without a significant relationship with work performance. Work engagement had a significant and positive effect on performance, but did not function as a mediator. Similarly, self-efficacy did not moderate the relationship between work engagement and performance. This study concludes that digital entertainment needs to be managed to minimize the influence on workers’ behavior at work, which affects engagement and performance. Companies should implement policies regarding the use of personal devices during work hours, build time-management skills, as well as motivate employee self-efficacy through training and development.