The mediating effect of social media marketing in the market orientation and business performance relationship

Abstract

This research aims to analyze the sustainability challenges in small and medium-scale enterprises in Indonesia, focusing on marketing orientation, social media marketing, and three domains of business performance, namely economic, social and environmental aspects. Data from 238 respondents in Pekalongan, Central Java Province, Indonesia, were analyzed using the SEM-PLS method. These findings support six hypotheses revealing the impact of marketing orientation on various aspects of business performance (economic/social/environmental) and the influence of social media marketing on economic, environmental, and social dimensions. The results have significant implications for SMEs in Indonesia. The findings highlight the need for improvement in sustainability practices, such as increasing alignment between marketing orientation and social media marketing strategies.