Nomico
Vol. 3 No. 2 (2026): Nomico-March

The Influence of Product Innovation and Marketing Strategy on the Competitiveness of MSMEs

Wartini, Sri (Unknown)
Suseno, Dewi Alima Nostalia (Unknown)



Article Info

Publish Date
15 Mar 2026

Abstract

This study aims to analyze the effect of product innovation and marketing strategy on the competitiveness of MSMEs in Indonesia, both partially and simultaneously. A causal quantitative approach was employed, with data collected through an online questionnaire distributed via Google Form to 100 MSME owners selected using purposive sampling. The research instruments were developed using a five-point Likert scale based on Gunday et al. (2011) for product innovation (10 items), Kotler & Keller (2016) for marketing strategy (12 items), and Porter (1990) for MSME competitiveness (10 items). Following validity and reliability testing, data were analyzed using multiple linear regression with R statistical software. The results indicate that: (1) product innovation has a positive and significant effect on MSME competitiveness (β = 0.351; t = 4.807; p < 0.001); (2) marketing strategy has a positive and significant effect on MSME competitiveness (β = 0.538; t = 7.368; p < 0.001); and (3) simultaneously, product innovation and marketing strategy significantly affect MSME competitiveness with F = 58.200 (p < 0.001) and R² = 0.545, indicating that both variables explain 54.5% of the variation in MSME competitiveness. These findings imply that MSMEs in Indonesia need to synergistically integrate product innovation capabilities and digital marketing strategies to achieve sustainable competitiveness.

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Journal Info

Abbrev

NJ

Publisher

Subject

Economics, Econometrics & Finance

Description

The journal publishes original articles on current issues and trends occurring internationally in accounting, financial accounting, public sector accounting, auditing, economics, economics education, development economics, economic statistics, monetary economics, international economics, ...