The Effect of Digital Marketing on Organizational Performance Through Intellectual Capital and Perceived Quality in Micro, Small and Medium Enterprises
Keywords: Digital Marketing, Organizational Performance, Intellectual Capital, Perceived Quality, MSMEs
Abstract
Digital marketing is one of marketing media taken as an opportunity to expand the marketing area with the help of digital technology for Small, Micro and Medium Enterprises (MSMEs) which have a limited average background in terms of capital. These issues encourage the researchers to conduct the study entitled the effect of digital marketing on organizational performance through intellectual capital and perceived quality in Micro, Small and Medium Enterprises (MSMEs) in East Java. This is explanatory research that uses a survey method by distributing questionnaires through a quantitative approach and using PLS as data analysis. Findings. The results showed that there are weaknesses of MSMEs in Perceived Quality, so it is needed training especifically related to digital marketing which involves intellectual capital and perceived quality to improve organizational performance. MSME as one of the informal sectors that plays a role in supporting the community's economy in order to survive and develop.
Downloads
References
Aaker, D. (2003). The power of the branded differentiator. Sloan Management Review, Fall, pp. 83-87.
Afifah, A. N., Najib. M., and Sarma, M. (2018). Digial Marketing Adoption andthe Influences Towards Business Successes of MSMEs Creative Sector in Indonesiaand Malaysia. Journal of Applied Management (JAM), 16(3), September 2018. (DOI: http://dx.doi.org/ 10.21776/ub.jam.2018. 016.03.01)
Baltes, L. P. (2015). Content marketing - the fundamental tool of digital marketing. Bulletin of the Transilvania University of Braşov Series V: Economic Sciences, 8(57) No. 2 – 20.
Bernardin& Russel. (1993). Human Resource Management. New Jersey. International Editions Upper Saddle River, Prentice Hall.
Bontis, N. (2008). Intellectual capital and business performance in the Portuguese banking industry. Maria do Rosário Cabrita, 43, 212–237.
Cuevas-Vargas, H., Estrada, S., & Larios-Gómez, E. (2016). The effects of ICTs as innovation facilitators for a greater business performance. Evidence from Mexico. Information Technology and Quantitative Management (ITQM 2016). Procedia Computer Science, 91, 47 – 56.
Delima, Zuliyati, & Mirah, Z. (2018). Analysis of Intellectual Capital Management Success Through The Improvement Of Micro, Small, And Medium Enterprise (MSME) Performance On Food And Beverages In Kudus Regency. ICCSET 2018, October 25-26, Kudus, Indonesia Copyright © 2018 EAI DOI 10.4108/eai.24-10-2018.2280528.
Ferdinand, A. (2005). Structural Equation Modelling dalam Penelitian Manajemen (Edisi 3). Semarang: BP UNDIP.
Hermawan, A. (2012). Komunikasi Pemasaran. Jakarta: Erlangga.
Hurley, C. O. (2018). MSME competitiveness in small island economies: a comparative systematic review of the literature from the past 24 years. Entrepreneurship & Regional Development An International Journal, 30(9-10). 1027-1068. (https://doi.org/10.1080/08985626.2018.1515822)
Royle, J., & Laing, A. (2014). The digital marketing skills gap: Developing a Digital Marketer Model for the communication industries. International Journal of Information Management, 34(2), 65-73.
Kim, E. Y., & Kim, Y. (2011). Predicting online purchase intentions for clothing productsnull. European Journal of Marketing, 38(7), 883–897.
Kotler, P., & Armstrong, G. (2008). Prinsip-Prinsip Pemasaran. Edisi12. Jilid 1. Jakarta: Erlangga.
Pelsmacker, P., Tilburg, S., & Holthof, C. (2018). Digital marketing strategies, online reviews and hotel performance. International Journal of Hospitality Management,72, Pages 47-55.
Prakasa, Y. (2018). Influence of Intellectual Capital toward Micro Small and Medium Enterprises’ (MSMEs’) Performance in Malang City. Advances in Economics, Business and Management Research, volume 93. Annual International Conference of Business and Public Administration (AICoBPA 2018). This is an open access article under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).
Riveong, D. J., & Rachmad, S. H. (2018). Internet Users, Market Target and Digital Trading of MSMEs in Indonesia. 35th IARIW General Conference, Copenhagen, Denmark, August 20-25, 2018. JEL Codes: E22, J11, O14, O38, O47.
Rizal, Suhadak, & Kholid, M. M. (2017). Analysis of the Influence of External and Internal Environmental Factors on Business Performance: A Study on Micro, Small and Medium Enterprises (MSMES) of Food and Beverage. RJOAS, 6(66), June 2017. DOI https://doi.org/10.18551/rjoas.2017-06.05.
Sanchez-Guerrero, M., Arellano-Gonzalez, A., & Rios-Vazquez, N. J. (2017). Strategic Management in the Relationship between Competitiveness and Organizational Performance in MSMES of the Service Sector in Mexico. International Journal of Business and Management, 12(4).
Setiawan, S. R. D. (2019). Mengapa Masih Banyak UMKM Indonesia yang Belum "Go Digital?. https://ekonomi.kompas.com/read/2019/02/12/152246426/mengapa-masih-banyak-umkm-indonesia-yang-belum-go-digital.
Simanjuntak, P. J. (2005). Manajemen dan Evaluasi Kinerja. Jakarta: FE UI.
Singh, G. (2015). A Study On Digital Marketing adoption among MSMEs In Western Uttar Pradesh. Faculty of Social Sciences Dayalbagh Educational Institute (Deemed University) Dayalbagh Agra – 282005 (U.P.)
Stewart, T. (1997). Intellectual Capital: The New Wealth of Organizations. Nicholas Brealey Publishing, Business Digest, New York.
Ratnadianti, S. A., Fahmi, I., & Hannan, S. (2020). Digital Marketing Strategy of Small and Medium Enterprises for Snack in Bogor City. Jurnal Manajemen & Agribisnis, 17(1), March 2020. Permalink/DOI: http://dx.doi.org/10.17358/jma.17.1.74 Available online at http://journal.ipb.ac.id/index.php/jmagr
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.