Value Added: Majalah Ekonomi & Bisnis
Vol 22, No 2 (2026): VALUE ADDED : MAJALAH EKONOMI DAN BISNIS (Periode Oktober)

Linking Market Orientation to Competitive Advantage: The Role of Value Creation and Operational Capability in an Automotive Service SME

Trenggono Pujo Sakti (Universitas Bandar Lampung)
Dora Rinova (Universitas Bandar Lampung)
Niki Agus Santoso (Universitas Bandar Lampung)



Article Info

Publish Date
04 Oct 2026

Abstract

This study examines how market orientation is translated into competitive advantage through value creation and operational capability in an automotive service SME located in Bandar Lampung, Indonesia. While prior research has largely adopted a linear perspective, the underlying mechanisms remain insufficiently explored, particularly in service-based SMEs. Using a qualitative case study design, this study captures the process linking strategic orientation to competitive outcomes.The findings show that market orientation functions as a strategic driver for selective B2B customer targeting and relationship-based engagement. However, competitive advantage is not generated directly, but mediated by value creation through competitive pricing, service quality, and customer trust. Operational capability plays a dual role as both an enabler and a constraint in executing this value proposition.This study contributes by proposing a process-based model and highlights that SME competitiveness depends not only on strategy, but on the ability to execute it consistently.

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Journal Info

Abbrev

VAMEB

Publisher

Subject

Economics, Econometrics & Finance Social Sciences

Description

Value Added: Majalah Ekonomi dan Bisnis strives to publish scientific research articles reporting empirical results as well as conceptual ideas in the field of management, such as strategic management, marketing management, human resources management, technology management, finance management, ...