Strengthening MSME Sustainability in Sumatra: The Roles of Sustainable Marketing, Financial Sustainability, and Government Policy

Sabda Aji Kurniawan (Universitas Pattimura, Indonesia)
Martha Racwel Patty (Universitas Pattimura, Indonesia)
Walter Tabelessy (Universitas Pattimura, Indonesia)
Cheryl Marlitta Stefia (Universitas Kristen Duta Wacana, Indonesia)
Eni Munarsih (Universitas Mahakarya Asia, Indonesia)
Budhi Haryanto (Universitas Sebelas Maret, Indonesia)

Journal of Management and Entrepreneurship Research
Vol. 7 No. 3 (2026)

Objective: Existing studies have largely examined sustainable marketing, financial sustainability, and MSME performance separately, with most evidence originating from developed economies, manufacturing industries, or highly developed regions. Limited research has integrated these factors within a Resource-Based View (RBV) framework to explain MSME sustainable growth in emerging regional contexts. This study therefore analyzes the influence of sustainable marketing and financial sustainability on MSME competitiveness and MSME sustainable growth in Sumatra, Indonesia, while examining the moderating role of government policy. Research Design & Methods: The study applied a quantitative design using Partial Least Squares Structural Equation Modeling (PLS-SEM). Data were obtained from 158 MSME owners and managers across several provinces in Sumatra through purposive sampling. Findings: Sustainable marketing and financial sustainability positively influence MSME competitiveness and MSME sustainable growth. MSME competitiveness also contributes positively to sustainable growth. Government policy strengthens the relationship between MSME competitiveness and MSME sustainable growth, whereas its moderating effects on sustainable marketing and financial sustainability are not significant. Implications & Recommendations: MSMEs should strengthen sustainability-oriented marketing practices and financial resilience to enhance competitiveness and long-term growth. Policymakers should prioritize interventions that reinforce MSME competitiveness, as policy support is most effective when complementing internal organizational capabilities. Contribution & Value Added: This study extends RBV by integrating sustainable marketing, financial sustainability, MSME competitiveness, and government policy into unified framework. It also contributes empirical evidence from Sumatra, an underexplored context with distinct economic and institutional characteristics, thereby advancing understanding of MSME sustainable growth in emerging economies.