Product Development Under Information Technological Turbulence: The Role of Marketing Communication for Competitive Advantage in Small Businesses Enterprises

Abstract

This chapterinvestigates the impact of marketing communication capability on sustainable competitive advantage by examining the mediating effect of product development and selling capabilities. It also explores the effect of information technological turbulence on the relationship between marketing communication capability and firm competitive advantage. This chapter proposes a structural equation model to empirically test the relationships between marketing communication, selling capability, product development, and sustainable competitive advantage. Drawing from the SMEs database provided by the Ministry of Cooperative and SMEs in Indonesia, the random sample adopts a self-administered mail survey for data collection. The results indicate that marketing communication capability has a positive impact on product development capability, which in turn strengthens the sales capability to achieve sustainable competitive advantage. However, high information technological turbulence reduces the effectiveness of marketing communication capability on supporting the competitive advantage. This chapter extends the dynamic capability theory by adopting information technological turbulence at various levels to explain the role of marketing communication and product development.

The effect of network capabilities, trust and pricing and selling capabilities on the impact of social enterprise

“…Social enterprises create social value through the sale of products or services that offer a social benefit (Weaver, 2018), and people can access more options because of this (Scarlato, 2013). Selling capability focuses on increasing the customer’s perceived value of what the company offers to the market (Pratono et al , 2022). However, the firm requires intense effort to make this capability work efficiently, as it may involve considerable product/service exposure and possible initial customer resistance (Pratono et al , 2022; Steenburgh and Ahearne, 2018).…”

“…Selling capability focuses on increasing the customer’s perceived value of what the company offers to the market (Pratono et al , 2022). However, the firm requires intense effort to make this capability work efficiently, as it may involve considerable product/service exposure and possible initial customer resistance (Pratono et al , 2022; Steenburgh and Ahearne, 2018).…”

Research on the Development Level, Spatiotemporal Evolution Characteristics, and Sustainable Development Path of the Digital Business Environment

“…Digital economy agglomeration plays a significant role in supporting and leading sustainable economic development [13] through energy consumption, environmental pollution [14], economic growth, human capital, industrial structure, and technological progress [15]. However, the contradiction between the outdated and non-digital business environment and the rapidly developing digital economy at the current stage is irreconcilable [16], thus presenting new requirements for the business environment and making it imperative to construct a sound digital business environment [17].…”