THE INFLUENCE OF ENTREPRENEURIAL MARKETING ON BUSINESS PERFORMANCE: A STUDY AMONG INDONESIAN MICRO, SMALL AND MEDIUM ENTERPRISE (MSME) IN BATAM CITY

• Main Author: FEBRIYANTORO, MOHAMAD TRIO
• Format: Thesis
• Language: English; English; English
• Published: 2025
• Subjects: TX341-641 Nutrition. Foods and food supply
• Online Access: http://eprints.uthm.edu.my/12992/

Business performance is crucial for Small and Medium Enterprises (SMEs), particularly in rural areas, as they contribute significantly to job growth and global economic development. This study investigates the relationship between entrepreneurial marketing (EM) and business performance, exploring the mediating role of competitive advantage and the moderating effect of environmental turbulence. Despite numerous studies showing the positive impact of entrepreneurial marketing on MSMEs' business performance, there is a lack of empirical research on the mediating role of competitive advantage and the moderating influence of environmental turbulence. Using a quantitative approach, this study focuses on MSMEs in Batam City, where the population comprises 81,575 MSMEs according to the Online Data System (ODS). A sample of 421 MSME business owners in Batam City was selected using non-probability sampling with a purposive technique. Data analysis was conducted using Structural Equation Modeling with Partial Least Squares (SEM PLS). The results reveal that specific dimensions of entrepreneurial marketing, namely proactiveness, opportunity, and customer intensity, significantly influence business performance. Additionally, the dimensions of entrepreneurial marketing that affect competitive advantage include innovation-focus, proactiveness, opportunity, resource leveraging, and value creation. Competitive advantage, in turn, positively impacts business performance and mediates the relationship between proactiveness, resource leveraging, and value creation with business performance. Contrary to expectations, environmental turbulence was found not to moderate the relationship between entrepreneurial marketing and the business performance of MSMEs in Batam City. Nonetheless, the findings suggest that MSMEs can adapt to environmental changes and capitalize on market opportunities with appropriate marketing strategies, enabling them to survive and grow even in challenging circumstances. This study underscores the importance of entrepreneurial marketing strategies and competitive advantage in enhancing the business performance of MSME