Purpose – This study aims to examine the effects of Porter’s generic strategies, namely differentiation, cost leadership, and focus strategies, on firm performance among bakery businesses in Jakarta. The research seeks to identify effective competitive strategies that can help small and medium-sized bakery enterprises improve competitiveness and achieve sustainable performance in an increasingly competitive food and beverage industry. Design/Methodology/Approach – This study aims to examine the effects of Porter’s generic strategies, namely differentiation, cost leadership, and focus strategies, on firm performance among bakery businesses in Jakarta. The research seeks to identify effective competitive strategies that can help small and medium-sized bakery enterprises improve competitiveness and achieve sustainable performance in an increasingly competitive food and beverage industry. Findings – The findings indicate that differentiation strategy and focus strategy have significant positive effects on firm performance. However, the study provides empirical evidence regarding the effectiveness of Porter’s generic strategies within the urban bakery MSME context in Indonesia. The results suggest that bakery businesses can improve competitiveness by prioritizing unique product offerings, targeted market strategies, and customer-specific value creation. Originality/Value – Porter’s Generic Strategies; Differentiation Strategy; Cost Leadership Strategy; Focus Strategy; Firm Performance; Bakery MSMEs; Competitive Strategy.
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