Emrizal Emrizal
Department of Digital Business, Politeknik Negeri Padang, Limau Manis, Pauh, Padang 25164, West Sumatra, Indonesia

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The Influence of Customer Engagement and Hybrid Digital Entrepreneurship on Business Turnover Emrizal Emrizal; Primadona Primadona
Fundamental and Applied Management Journal Vol. 4 No. 3 (2026): September
Publisher : Global Research Collaboration

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.66314/famj.v4i3.1347

Abstract

Digital transformation enables micro, small, and medium-sized enterprises (MSMEs) to combine offline and online business activities; however, the relationships of these practices and customer engagement with business turnover remain insufficiently understood. This study examined the associations of owner-perceived customer engagement and hybrid digital entrepreneurship with perceived business turnover among 100 MSME owners in West Sumatra, Indonesia. A cross-sectional quantitative survey was conducted using a 27-item, five-point Likert-scale questionnaire. Data were analysed using partial least squares structural equation modelling (PLS-SEM) in SmartPLS 4. The final measurement model retained 20 indicators and met the reported criteria for convergent validity, discriminant validity, and internal reliability. Hybrid digital entrepreneurship was positively associated with perceived business turnover (β = .607, p = .031), whereas customer engagement was negatively associated with turnover after hybrid digital entrepreneurship was included in the model (β = −.590, p = .029). The model explained 16.4% of the variance in turnover, indicating limited explanatory power. Given the cross-sectional, single-source design and the empirical closeness of the predictors, the negative coefficient should be interpreted cautiously. The findings suggest that digital integration, technology use, and adaptive practices may be associated with higher perceived turnover, while the economic role of customer engagement requires further investigation using stronger conversion and performance measures.