Strategic policies for small and medium businesses in marketing through e-commerce

Junianto Tjahjo Darsono (), Erni Susana (), Eko Yuni Prihantono () and Eley Suzana Kasim ()
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Junianto Tjahjo Darsono: University of Merdeka Malang, Indonesia
Erni Susana: University of Merdeka Malang, Indonesia
Eko Yuni Prihantono: University of Merdeka Malang, Indonesia
Eley Suzana Kasim: Universiti Teknologi MARA, Malaysia

Entrepreneurship and Sustainability Issues, 2019, vol. 7, issue 2, 1230-1245

Abstract: Previous literature on the Theory of Planned Behavior suggests that attitudes, subjective norms and behavioral control have a significant effect on behavioural intention including the e-commerce marketing intention by small and medium businesses. More recent studies noted that behavioral control, spiritual intelligence, and intentions have a significant effect on behavior in marketing through e-commerce. In this study, a model developed by Darsono (2018) was further refined based on the results of the model trials carried out using data collected in Malang City, Indonesia. The objectives of this study are: (1) to determine the strategic policies of small and medium businesses in e-commerce marketing by using the Exponential Comparison Method (ECM), and (2) to analyze policy profiling for several types of e-commerce marketing by using correspondence analysis. The Exponential Comparison Method (ECM) is a data analysis techniques based on a decision support system that describes a complex multi-factor problem into a hierarchy where each level of the hierarchy is composed by several specific elements. By using the hierarchy, a complex and unstructured problem is broken down into groups which are then organized into a hierarchical form. Based on the results of ECM analysis, this study recommends the strategic policies of SMEs in the selection of e-commerce marketing related to attitudes towards e-commerce marketing, subjective norms, behavioral control, spiritual intelligence, and the intention to buy and sell online in the market with each attribute. The results of the correspondence analysis further explain the existence of special characteristics in each choice. In particular, (1) online buying and selling in the marketplace has been ranked as the first option based on two considerations, i.e., how to receive orders and shipping methods; (2) internet banking and SMS banking was ranked second based on place to sell products and payment methods; (3) cable TV and internet provider was chosen as the last option based on customer sevice; and finally (4) product considerations are noted in all options.

Keywords: strategic policy; marketing; e-commerce; small and medium businesses (search for similar items in EconPapers)
Date: 2019
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

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Persistent link: https://EconPapers.repec.org/RePEc:ssi:jouesi:v:7:y:2019:i:2:p:1230-1245

DOI: 10.9770/jesi.2019.7.2(30)

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