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Determinants of MSME Marketing Performance: The Mediating Role of Marketing Managerial Competence
This study aims to examine the influence of market orientation, marketing
innovation, and product differentiation on MSME marketing performance, with marketing
managerial competence as a mediating variable and digital marketing capability as a moderating
variable. A quantitative approach with an explanatory research design was employed. Data were
collected from MSME owners and managers using a structured questionnaire and analyzed
using SEM-PLS. The findings reveal that market orientation and product differentiation have a
positive and significant effect on marketing managerial competence, while marketing
innovation does not show a significant effect. Product differentiation is identified as the most
dominant factor influencing managerial competence. Furthermore, marketing managerial
competence and digital marketing capability significantly enhance MSME marketing
performance. In terms of indirect effects, marketing managerial competence mediates the
relationship between product differentiation and marketing performance but does not mediate
the effects of market orientation and marketing innovation. The moderating role of digital
marketing capability is not supported, indicating that it functions primarily as a direct
determinant of performance. This study contributes to the integration of competitive strategy
and resource-based perspectives in explaining MSME performance. The findings highlight the
importance of strengthening managerial competence and product differentiation as key drivers
of sustainable marketing performance in MSMEs.
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