Driving Competitive Advantage In Food And Beverage MSMEs: A Resource-Based View On Entrepreneurial Marketing Competencies And Innovation

Abstract

The digital era has significantly transformed the global business landscape, necessitating continuous innovation and strategic adaptation. Grounded in the Resource-Based View (RBV) theory, this study investigates how Micro, Small, and Medium Enterprises (MSMEs) achieve sustainable competitive advantage through internal resources and capabilities. Using an explanatory quantitative design, data were collected from 166 food and beverage (F&B) MSMEs in Surabaya registered on the e-Peken platform. Data were analyzed using Structural Equation Modeling based on Partial Least Squares (SEM-PLS). The results of the study show that 1) Entrepreneurial Marketing Competencies have been proven to have a positive and significant effect on Innovation . This indicates that strengthening the entrepreneurial marketing capabilities of MSMEs, such as the sharpness in identifying business opportunities and the accuracy of formulating market strategies, directly triggers an increase in their internal innovation capacity; 2) Innovation proven to have a positive and significant influence on Competitive Advantage . This finding confirms that every innovation capability will lead to an increase in the competitive advantage of MSME products in the market ; 3) Entrepreneurial Marketing Competencies proven to have a positive and significant impact on Competitive Advantage . This means that mastering adaptive marketing competencies provides MSMEs with a strong strategic foundation to secure a superior market position amidst a dynamic competitive landscape; 4) Entrepreneurial Marketing Competencies proven to have a positive and significant impact on Competitive Advantage through Innovation