The Support of Craft Industry in Developing Creative Economy: How Entrepreneurial Orientation Affects The Marketing Effectiveness (The Case of Small Medium Industry In West Java-Indonesia)

Ginting, Ginta and Mashithoh, Heriyanni (2014) The Support of Craft Industry in Developing Creative Economy: How Entrepreneurial Orientation Affects The Marketing Effectiveness (The Case of Small Medium Industry In West Java-Indonesia). In: 2014 International Conference on Social Sciences and Business, 27-29 Juni 2014, Bali, Indonesia.

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Abstract

Craft industries have an important role to the growth of creative economy through its contribution on domestic output and job creation. Nowadays, craft industries represent a dynamic cluster of emerging creativity and economic activity. Most of the players in this industry arc Small Medium Industries (SMis) which is still fac ing marketing problems such as reluctant to innovate the product design, be proactive to seek market opportun ity, face the business risk. Entrepreneurial orientation is a driving force to influence the SMI entrepreneurs to increase the marketing effectiveness so that it produces a valuable product that will give significant contribution to superior customer value. The study aims to investigate the influence of entrepreneurial orientation towards the marketing effectiveness of the SMI entrepreneurs. Measurement was made to search variables in determining how the relationship of variables. Verification is used as a method of analysis. Hypotheses were tested by multivariate statistics. The sample was chosen by stratified and proportional random sampling. The sample was 84 SME entrepreneurs in West Java, Indonesia. This study is using entrepreneur commitment to moderate the relationship of entrepreneurship orientation and marketing effectiveness. As a result, the entrepreneurial orientation significantly affects the marketing effectiveness. So, the higher the entrepreneurial orientation, the higher the marketing effectiveness. The entrepreneurs' commitment is proved to be positively increase the relationship of entrepreneurial orientation and marketing effectiveness. The present study becomes a direction for craft industry in increasing the West Java creative Industry

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