Golden Ratio of Marketing and Applied Psychology of Business
Vol. 6 No. 2 (2026): February - June

Transforming Market-Driven Strategies in the Indonesian Medical Device Industry: Impact Analysis of Regulatory Compliance, Innovation, and Service Quality on Brand Loyalty

Yudakusuma, Marcell Wijaya (Unknown)



Article Info

Publish Date
12 Feb 2026

Abstract

This study examines how regulatory compliance, product innovation, and service quality contribute to market-driven strategy transformation in the medical device industry and influence customers’ brand loyalty, specifically in the Indonesian medical device industry. Data were collected using self-administered surveys from 120 institutional customers of a medical device manufacturing company in Indonesia as part of a quantitative research design and analyzed using structural equation modeling (SEM). The findings demonstrated that product innovation, service quality, and regulatory compliance all had significant effects on brand image (p < 0.05), with service quality being the most significant predictor (β = 0.503).  Brand loyalty was positively and significantly impacted by brand image (β = 0.587; p < 0.001).  Product innovation was found to have a significant direct impact on loyalty (β = 0.389; p < 0.001), whereas regulatory compliance had an indirect impact through brand image (p < 0.05) but no direct impact on loyalty (p > 0.05). These Findings imply that medical device sector in Indonesia should prioritize market-driven strategies which integrate service quality excellence and continuous product innovation, while also positioning regulatory compliance as credibility foundation to empower brand image and sustain customer loyalty.

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Journal Info

Abbrev

grmapb

Publisher

Subject

Economics, Econometrics & Finance

Description

Golden Ratio of Marketing and Applied Psychology of Business (GRMAPB) with e-ISSN 2776-6349 publishes original research and review articles dealing with the application of psychological theories and techniques to marketing. As an interdisciplinary journal, Golden Ratio of Marketing and Applied ...