Integration Strategy to Improve Competitive Advantage and Marketing Performance of Culinary MSMEs in Ambon City
DOI:
https://doi.org/10.59890/ijaeam.v2i5.2536Keywords:
Digital Marketing, Product Innovation, CRM, Competitive Advantage, Marketing PerformanceAbstract
In the dynamic era of globalization, Micro, Small, and Medium Enterprises (MSMEs) in Indonesia face major challenges in achieving competitive advantage. MSMEs, which also play an important role in the national economy, often find it difficult to adapt to the latest trends such as digital marketing. Digital marketing provides great opportunities for MSMEs to expand market reach and increase interaction with consumers, but its effectiveness in increasing competitive advantage is still debated. This study examines how the integration of digital marketing, product innovation, and customer relationship management (CRM) funds can strengthen the competitive advantage of MSMEs, especially in the culinary sector in Ambon City. Using the Partial Least Square Structural Equation Modeling (PLS-SEM) method, this study involved 155 culinary MSME actors to test the three elements against competitive advantage and marketing performance. The results showed that digital marketing, product innovation, and CRM significantly influenced competitive advantage, which also had a positive impact on marketing performance. These findings support the importance of holistic strategy integration to increase the competitiveness of MSMEs in the global market and provide insights for the development of relevant theoretical models
References
Afthanorhan, A., Awang, Z., & Aimran, N. (2020). Five common mistakes for using partial least squares path modeling (PLS-PM) in management research. Contemporary Management Research, 16(4), 255–278. https://doi.org/10.7903/CMR.20247
Ago, G., Bayu, Hierdawati, T., Gani, I. P., Sudha, N. L. K. A., & Sucandrawati. (2023). SELECTION OF MARKETING STRATEGIES THROUGH ONLINEMARKETING PLATFORMS FOR MSMEs. Jurnal Ekonomi, 12(1), 874–878. https://medium.com/@arifwicaksanaa/pengertian-use-case-a7e576e1b6bf
Anshari, M., Almunawar, M. N., Lim, S. A., & Al-Mudimigh, A. (2019). Customer relationship management and big data enabled: Personalization & customization of services. Applied Computing and Informatics, 15(2), 94–101. https://doi.org/10.1016/j.aci.2018.05.004
Asikin, M. Z., Fadilah, M. O., Saputro, W. E., Aditia, O., & Ridzki, M. M. (2024). The Influence Of Digital Marketing On Competitive Advantage And Performance of Micro, Small And Medium Enterprises. International Journal of Social Service and Research, 4(03), 963–970. https://doi.org/10.46799/ijssr.v4i03.749
Athirah Imran, N., Asdar, M., & Muis, M. (2022). the Effect of Customer Relationship Management (Crm) on Customer Loyalty and Customer Satisfaction At Saung Rindu Alam Restaurants in Gowa District South Sulawesi. Scientium Management Review, 1(2), 73–86.
Bayraktar, M., & Algan, N. (2019). The Importance Of SMEs On World Economies. International Conference on Eurasian Economies 2019, June 2019, 56–61. https://doi.org/10.36880/c11.02265
Benitez, J., Henseler, J., Castillo, A., & Schuberth, F. (2020). How to perform and report an impactful analysis using partial least squares: Guidelines for confirmatory and explanatory IS research. Information and Management, 57(2), 103168. https://doi.org/10.1016/j.im.2019.05.003
Bin Khunin, L. K., & Al-Nsour, I. A. A.-F. (2024). Impact of Digital Advertising Strategies on the Competitive Advantage of SMEs in KSA. European Journal of Business and Management Research, 9(2), 91–98. https://doi.org/10.24018/ejbmr.2024.9.2.2285
Danurdara, A. B., Kumalasari, D. A., & Muis, Z. Z. (2024). Digital Marketing Strategy To Increase Brand Awareness in Industry. International Journal of Economic Literature (INJOLE), 2(3), 774–785.
Dašić, D., Vučić, V., Turčinović, Ž., & Tošić, M. (2023). Digital Marketing - Marketing Opportunities and the Power of Digital Consumers. Ekonomika Poljoprivrede, 70(4), 1187–1199. https://doi.org/10.59267/ekopolj23041187d
Desai, D. M. V. (2019). Digital Marketing: A Review. International Journal of Trend in Scientific Research and Development, Special Is(Special Issue-FIIIIPM2019), 196–200. https://doi.org/10.31142/ijtsrd23100
Ezeugwa, B., Farid Talukder, M., Ruhul Amin, M., Iqbal Hossain, S., & Arslan, F. (2022). Minimum sample size estimation in SEM: Contrasting results for models using composites and factors. Data Analysis Perspectives Journal, 3(1), 1–7.
Fauziah, R. D., Arisman, A., & Pauzy, D. M. (2022). The Effect of Product Innovation and Product Quality on Competitive Advantage. Jurnal Fokus Manajemen, 2(1), 966–978. https://doi.org/10.37676/jfm.v2i1.2257
Gil-Gomez, H., Guerola-Navarro, V., Oltra-Badenes, R., & Lozano-Quilis, J. A. (2020). Customer relationship management: digital transformation and sustainable business model innovation. Economic Research-Ekonomska Istrazivanja , 33(1), 2733–2750. https://doi.org/10.1080/1331677X.2019.1676283
Graciafernandy, M. A., Usriyono, E., & Istiyawari, L. (2024). Enhancing Marketing Performance of SMEs through Competitive Advantage. Proceeding International Conference on Religion, Science and Education, 3, 587–596.
Gutiérrez-Broncano, S., Linuesa-Langreo, J., Rubio-Andrés, M., & Sastre-Castillo, M. Á. (2024). Can hybrid strategy improve SME performance? The role of innovation and adaptive capacity. European Journal of Innovation Management, 27(9), 173–197. https://doi.org/10.1108/EJIM-07-2023-0566
Hakim, A. (2024). The Human Resource Development and Product Innovation of MSMEs in Kendari City. 12(4), 913–924. https://doi.org/10.37641/jimkes.v12i4.2639
Handoyo, A. S. (2015). The effect of marketing innovation, market orientation, and social capital on competitive advantage and marketing performance: A study in MSMEs of embroidery Central Java Province. Journal of Economics, Business & Accountancy Ventura, 18(3), 351. https://doi.org/10.14414/jebav.v18i3.506
Hat, N. D., Tan, K. L., Ngoc Vi, N. L., Phu, N. A., & Ting, H. (2024). The Influence of Customer Relationship Management in Enhancing Hospitality Business Performance: The Conditional Mediation of Digital Marketing Capabilities. International Journal of Hospitality and Tourism Administration, 00(00), 1–27. https://doi.org/10.1080/15256480.2024.2346142
Henseler, J. (2017). ADANCO 2.0.1 User Manual. February, 1–53.
Henseler, J., Hubona, G., & Ray, P. A. (2016). Using PLS path modeling in new technology research: Updated guidelines. Industrial Management and Data Systems, 116(1), 2–20. https://doi.org/10.1108/IMDS-09-2015-0382
Jusuf, D. I. (2022). Product Innovation: Maintaining Competitiveness in a Competitive Market. Jurnal Ekonomi, 11(02), 2022. http://ejournal.seaninstitute.or.id/index.php/Ekonomi
Kuncoro, W., & Suriani, W. O. (2018). Achieving sustainable competitive advantage through product innovation and market driving. Asia Pacific Management Review, 23(3), 186–192. https://doi.org/10.1016/j.apmrv.2017.07.006
Musonnafa, M. A., Sumiati, S., & Djazuli, A. (2022). The Effect of Customer Relationship Management on Marketing Performance Mediated by Competitive Advantage and Innovation (Study on Area Managers of Pharmaceutical Companies in East Java during the COVID-19 Pandemic). Asia Pacific Journal of Management and Education, 5(2), 111–121. https://doi.org/10.32535/apjme.v5i2.1642
Nadanyiova, M., Majerova, J., & Gajanova, L. (2021). Digital Marketing As a Source of Competitive Advantage: Case Study of Slovak Republic. Marketing and Management of Innovations, 2(4), 92–103. https://doi.org/10.21272/mmi.2021.4-08.This
Nurfaizah, N., & Marsasi, E. G. (2024). Application Of Customer Relationship Management Through the Concept of Technology Adoption in the Broiler Jaya Broad Marketing Program. Ekonika : Jurnal Ekonomi Universitas Kadiri, 9(1), 1–23. https://doi.org/10.30737/ekonika.v9i1.4862
Pramuki, N. M. W. A., & Kusumawati, N. P. A. (2021). The Influence of Product Innovation, Digital Marketing and Competitive Advantage in Improving the Marketing Performance of Small and Medium Industries in Bali. Proceedings of the 2nd International Conference on Business and Management of Technology (ICONBMT 2020), 175, 248–254. https://doi.org/10.2991/aebmr.k.210510.040
Purwanti, I., Lailyningsih, D. R. N., & Suyanto, U. Y. (2022). Digital Marketing Capability and MSMEs Performance: Understanding the Moderating Role of Environmental Dynamism. Jurnal Manajemen Teori Dan Terapan | Journal of Theory and Applied Management, 15(3), 433–448. https://doi.org/10.20473/jmtt.v15i3.39238
Ralahallo, F. N., Tubalawony, J., Watumlawar, E., & Tabelessy, W. (2024). Implementasi Total Quality Manajemen (TQM ) Sebagai Strategi Meningkatkan Keunggulan Bersaing Pada UMKM di Negeri Waai. Abdimas Indonesian Journal, 4(1), 187–194. https://doi.org/10.59525/aij.v4i1.3
Reguia, C. (2014). Product Innovatıon And The Competıtıve Advantage. European Scientific Journa, 1(June), 140–157.
Sopyan, A., Suryawan, R. F., Maianto, T., & Haryanto, A. (2018). CRM ( Customer Relationship Management ) Approach to Sustainability through Competitive Advantage. 1(1), 98–109.
Sukaatmadjaa, I. P. G., Kerti, Y. N. N., Henny, R., Made, S., & Dharmanegarab, I. B. A. (2021). Competitive advantage to enhance internationalization and marketing performance woodcraft industry: A perspective of resource-based view theory. Journal of Project Management, 6, 45–56. https://doi.org/10.37479/jsm.v6i1.22551
Tabelessy;, W., Sitaniapessy;, R. H., & Ralahallo, F. N. (2024). Digital Supply Chain Terhadap Kinerja Pemasaran Industri UKM di Kota Ambon. Media Bina Ilmiah, 18(7), 1947–1958.
Tabelessy, W. (2024). Brand Love : Mediating Effect of the Relationship Between Social Media Marketing , Brand Loyalty and Brand Equity iPhone Brand Smartphone in Ambon City. International Journal of Integrative Research (IJIR), 2(5), 439–452.
Tabelessy, W., & Pattiruhu, J. R. (2024). Pelatihan WarpPLS: Aplikasi Alternatif Pengujian Hipotesis SEM-PLS. Communnity Development Journal, 5(2), 2723–2729.
Tabelessy, W., Rehatta, P. N. R., & Saununu, S. (2022). Meningkatkan Pengetahuan Jiwa Kewirausahaan Bagi Kelompok Usaha Mekar Sari Di Desa Laha. Community Development Journal : Jurnal Pengabdian Masyarakat, 3(2), 589–594. https://doi.org/10.31004/cdj.v3i2.4446
Tabelessy, W., & Turukay, E. (2024). Meningkatkan Kinerja Pemasaran UMKM Melalui Sosialisasi E-Market Orientation Supply Chain. Jurnal Pengabdian Multidisiplin, 4(2), 1–12.
Tubalawony;, J., Pelupessy, M. M., Tabelessy, W., & Thenu, C. J. (2023). Peran E-Satisfaction dalam Memediasi Pengaruh E-Service Quality terhadap E-Loyalty pada Pengguna Aplikasi Blibli . Com. Jurnal Pendidikan Tambusai, 7(2), 4491–4498.
Yasa, N. N. K., Ketut Giantari, I. G. A., Setini, M., & Rahmayanti, P. L. D. (2020). The role of competitive advantage in mediating the effect of promotional strategy on marketing performance. Management Science Letters, 10(12), 2845–2848. https://doi.org/10.5267/j.msl.2020.4.024
Yunarti, Munizu, M., Arsyad, M., & Munir, A. R. (2024). Digital Marketing as a Powerful Tool to Improve MSMEs Performance (Issue Icame 2023). Atlantis Press International BV. https://doi.org/10.2991/978-94-6463-400-6_28
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2024 Walter Tabelessy
This work is licensed under a Creative Commons Attribution 4.0 International License.