Innovation, Capabilities and Networking: An Approach to SMEs Marketing Performance
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This research describes innovation capabilities, networking and marketing performance in small and medium enterprises (SMEs) in the Lamongan district. The research was conducted on food and beverage SMEs in Lamongan Regency because one of the development priorities in the 2005-2025 Regional long-term development plan (RPJPD) of Lamongan Regency is to develop and increase the competitiveness of SMEs as drivers of the local economic life of Lamongan Regency residents. This research is survey research using structured questions, and then all answers are obtained, recorded, processed and analyzed. The research population was 182 SMEs food and beverage actors in Lamongan Regency in 27 sub-districts. Meanwhile, the sample for this research was 182 SMEs. The research results show that the ability of SMEs to innovate is determined by product, process, and marketing innovation. The most significant contribution from SMEs is in product innovation, with the resulting products being attractive, with unique packaging and safety. Relationship expertise, relationship skills, network characteristics, and network orientation determine the networking of SME actors. The most significant contribution of SME players is in the formation of networking with network characteristics, such as SMEs supporting each other's success with partners and carrying out initial evaluations of potential partners to build profitable relationships. Furthermore, the marketing performance of SMEs is determined by sales growth, customer growth, and market share growth. It creates marketing performance by selling products that align with sales targets so that sales growth increases yearly. The contribution of this research can provide input for the Lamongan Regency Cooperatives and Micro Enterprises department as a consideration for making strategies to improve performance marketing and input for me about the importance of improving marketing performance through innovation and networking capabilities.
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