Social Media Integration in SMEs: A Study on Business Performance Enhancement in Indonesia
##plugins.themes.EpsilonTheme.article.main##
Andhi Sukma*
Keni Kaniawati
Desy Oktaviani
The background of this article emphasizes the significance of social media adoption and innovation for small and medium-sized enterprises (SMEs) in Indonesia, with a view to enhancing business performance in the context of technological and competitive challenges. This study explores what web-based entertainment reception and innovation similarity mean for presenting little and medium-sized endeavors (SMEs) in Indonesia. It analyzes how SMEs utilize virtual entertainment to support business execution amid mechanical difficulties and rivalry. Information was gathered from 450 SMEs across four help enterprises — cafés and inns, medical care, discount and retail, and schooling — using an online overview led through Google Structures from December 2023 to February 2024. The information was examined utilizing halfway least squares primary condition displaying (PLS-SEM) to investigate the connections between web-based entertainment reception, innovation similarity, and SME execution. Results show a critical positive connection between virtual entertainment reception, innovation similarity, and SME execution. SMEs that integrate online entertainment into their procedures show improved brand permeability, client commitment, and execution. The study suggests that Indonesian SMEs can gain a competitive edge by adopting social media platforms. Investing in technology training and infrastructure is recommended for seamless social media integration. Encouraging innovation and digital literacy among employees can further enhance SME success in the digital age. This exploration adds to the writing by showing the advantages of virtual entertainment reception on SME execution in Indonesia. It offers functional experiences for SME proprietors and supervisors to utilize web-based entertainment decisively for business development and maintainability.
Abed, S. S. (2020). Social commerce adoption using TOE framework: An empirical investigation of Saudi Arabian SMEs. International Journal of Information Management, 53, 102118.
Aditya Suryawirawan, O. (2021). BISMA (Bisnis dan Manajemen) The effect of college students’ technology acceptance on e-commerce adoption. 14(1), 46–62. https://doi.org/10.26740/bisma.v12n1.p46-62
Ahani, A., Rahim, N. Z. A., & Nilashi, M. (2017). Forecasting social CRM adoption in SMEs: A combined SEM-neural network method. Computers in Human Behavior, 75, 560–578.
Ahmad, S. Z., Abu Bakar, A. R., & Ahmad, N. (2019). Social media adoption and its impact on firm performance: the case of the UAE. International Journal of Entrepreneurial Behavior & Research, 25(1), 84–111.
Ainin, S., Parveen, F., Moghavvemi, S., Jaafar, N. I., & Mohd Shuib, N. L. (2015). Factors influencing the use of social media by SMEs and its performance outcomes. Industrial Management & Data Systems, 115(3), 570–588.
Al Rahbi, H. S. A. (2017). Factors influencing social media adoption in small and medium enterprises (SMEs). Brunel University London.
Ali, M., Yaacob, R. A. I. B. R., Endut, M. N. A.-A. Bin, & Langove, N. U. (2017). Strengthening the academic usage of social media: An exploratory study. Journal of King Saud University-Computer and Information Sciences, 29(4), 553–561.
Alraja, M. N., Khan, S. F., Khashab, B., & Aldaas, R. (2020). Does Facebook commerce enhance SMEs performance? A structural equation analysis of Omani SMEs. Sage Open, 10(1), 2158244019900186.
Ariel, Y., & Avidar, R. (2015). Information, interactivity, and social media. Atlantic Journal of Communication, 23(1), 19–30.
Azzuhra, A., & Adlina, H. (2023). the Effects of Brand Ambassador, Social Media Marketing, and Advertising Campaign of Somethinc Product on Purchase Intention. Journal of Humanities Social Sciences and Business (Jhssb), 3(1), 231–244. https://doi.org/10.55047/jhssb.v3i1.872
Bakri, A. A. Al. (2017). The impact of social media adoption on competitive advantage in the small and medium enterprises. International Journal of Business Innovation and Research, 13(2), 255–269.
Chatterjee, S., & Kar, A. K. (2020). Why do small and medium enterprises use social media marketing and what is the impact: Empirical insights from India. International Journal of Information Management, 53, 102103.
Cheng, E. W. L. (2019). Choosing between the theory of planned behavior (TPB) and the technology acceptance model (TAM). Educational Technology Research and Development, 67, 21–37.
Chiu, C.-Y., Chen, S., & Chen, C.-L. (2017). An integrated perspective of TOE framework and innovation diffusion in broadband mobile applications adoption by enterprises. International Journal of Management, Economics and Social Sciences (IJMESS), 6(1), 14–39.
Dutot, V., & Bergeron, F. (2016). From strategic orientation to social media orientation. Journal of Small Business and Enterprise Development, 23(4), 1165–1190. https://doi.org/10.1108/JSBED-11-2015-0160
Effendi, M. I., Sugandini, D., & Istanto, Y. (2020). Social media adoption in SMEs impacted by COVID-19: The TOE model. The Journal of Asian Finance, Economics and Business, 7(11), 915–925.
Erum, H., Rafique, H., & Ali, A. (2017). Effect of E-Marketing Adoption Strategy on Export Performance of SMEs. International Journal of Management Excellence, 7(2), 1103–1112.
Eze, S. C., Chinedu-Eze, V. C. A., & Awa, H. O. (2021). Key Success Factors (KSFs) Underlying the Adoption of Social Media Marketing Technology. SAGE Open, 11(2). https://doi.org/10.1177/21582440211006695
Fan, M., Qalati, S. A., Khan, M. A. S., Shah, S. M. M., Ramzan, M., & Khan, R. S. (2021). Effects of entrepreneurial orientation on social media adoption and SME performance: The moderating role of innovation capabilities. PLoS ONE, 16(4 April 2021). https://doi.org/10.1371/journal.pone.0247320
Fang, G. G., Qalati, S. A., Ostic, D., Shah, S. M. M., & Mirani, M. A. (2022). Effects of entrepreneurial orientation, social media, and innovation capabilities on SME performance in emerging countries: a mediated–moderated model. Technology Analysis & Strategic Management, 34(11), 1326–1338.
Gutierrez, A., Boukrami, E., & Lumsden, R. (2015). Technological, organisational and environmental factors influencing managers’ decision to adopt cloud computing in the UK. Journal of Enterprise Information Management, 28(6), 788–807. https://doi.org/10.1108/JEIM-01-2015-0001
Hair, J. F., Risher, J. J., Sarstedt, M., & Ringle, C. M. (2019). When to use and how to report the results of PLS-SEM. European Business Review, 31(1), 2–24.
Hair Jr, J. F., Hult, G. T. M., Ringle, C. M., Sarstedt, M., Danks, N. P., & Ray, S. (2021). Partial least squares structural equation modeling (PLS-SEM) using R: A workbook. Springer Nature. https://doi.org/10.1007/978-3-030-80519-7
Hamad, H., Elbeltagi, I., & El‐Gohary, H. (2018). An empirical investigation of business‐to‐business e‐commerce adoption and its impact on SMEs competitive advantage: The case of Egyptian manufacturing SMEs. Strategic Change, 27(3), 209–229.
Kaplan, A. M. (2015). Social media, the digital revolution, and the business of media. International Journal on Media Management, 17(4), 197–199.
Kholifaturrohmah, R., Widiastuti, E., Mulasiwi, C. M., & Wakhidati, Y. N. (2023). The Role Of Improving Entrepreneur Competency, Innovation And Use Of Social Media In The Sustainability Of Msmes In Banyumas District. MARGINAL JOURNAL OF MANAGEMENT ACCOUNTING GENERAL FINANCE AND INTERNATIONAL ECONOMIC ISSUES, 3(1), 107–117. https://doi.org/10.55047/marginal.v3i1.873
Leonardi, P. M., & Vaast, E. (2017). Social media and their affordances for organizing: A review and agenda for research. In Academy of Management Annals (Vol. 11, Issue 1, pp. 150–188). https://doi.org/10.5465/annals.2015.0144
Maduku, D. K., Mpinganjira, M., & Duh, H. (2016). Understanding mobile marketing adoption intention by South African SMEs: A multi-perspective framework. International Journal of Information Management, 36(5), 711–723.
McCann, M., & Barlow, A. (2015). Use and measurement of social media for SMEs. Journal of Small Business and Enterprise Development, 22(2), 273–287.
Muninger, M.-I., Hammedi, W., & Mahr, D. (2019). The value of social media for innovation: A capability perspective. Journal of Business Research, 95, 116–127.
Odoom, R., Anning-Dorson, T., & Acheampong, G. (2017). Antecedents of social media usage and performance benefits in small- and medium-sized enterprises (SMEs). Journal of Enterprise Information Management, 30(3), 383–399. https://doi.org/10.1108/JEIM-04-2016-0088
Olanrewaju, A.-S. T., Hossain, M. A., Whiteside, N., & Mercieca, P. (2020). Social media and entrepreneurship research: A literature review. International Journal of Information Management, 50, 90–110.
Panahi, S., Watson, J., & Partridge, H. (2016). Social media and physicians: exploring the benefits and challenges. Health Informatics Journal, 22(2), 99–112.
Penni, J. (2017). The future of online social networks (OSN): A measurement analysis using social media tools and application. Telematics and Informatics, 34(5), 498–517.
Qalati, S. A., Ostic, D., Shuibin, G., & Mingyue, F. (2022). A mediated–moderated model for social media adoption and small and medium‐sized enterprise performance in emerging countries. Managerial and Decision Economics, 43(3), 846–861.
Rahayu, R., & Day, J. (2015). Determinant factors of e-commerce adoption by SMEs in developing country: evidence from Indonesia. Procedia-Social and Behavioral Sciences, 195, 142–150.
Sahaym, A., (Avi) Datta, A., & Brooks, S. (2021). Crowdfunding success through social media: Going beyond entrepreneurial orientation in the context of small and medium-sized enterprises. Journal of Business Research, 125, 483–494. https://doi.org/https://doi.org/10.1016/j.jbusres.2019.09.026
Sahoo, S., & Yadav, S. (2017). Entrepreneurial orientation of SMEs, total quality management and firm performance. Journal of Manufacturing Technology Management, 28(7), 892–912. https://doi.org/10.1108/JMTM-04-2017-0064
Salem, S. F., & Salem, S. O. (2021). Effects of social media marketing and selected marketing constructs on stages of brand loyalty. Global Business Review, 22(3), 650–673.
Shinozaki, S. (2022). Informal micro, small, and medium-sized enterprises and digitalization: Evidence from surveys in Indonesia.
Skafi, M., Yunis, M. M., & Zekri, A. (2020). Factors influencing SMEs’ adoption of cloud computing services in Lebanon: An empirical analysis using TOE and contextual theory. IEEE Access, 8, 79169–79181.
Tajudeen, F., Jaafar, N. I., & Sulaiman, A. (2016). Social media’s impact on organizational performance and entrepreneurial orientation in organizations. Management Decision, 54, 2208–2234. https://doi.org/10.1108/MD-08-2015-0336
Tajudeen, F. P., Jaafar, N. I., & Ainin, S. (2018). Understanding the impact of social media usage among organizations. Information & Management, 55(3), 308–321.
Toker, A., Seraj, M., Kuscu, A., Yavuz, R., Koch, S., & Bisson, C. (2016). Social media adoption: A process-based approach. Journal of Organizational Computing and Electronic Commerce, 26(4), 344–363. https://doi.org/10.1080/10919392.2016.1228361
Tripopsakul, S. (2018). Social media adoption as a business platform: An integrated tam-toe framework. Polish Journal of Management Studies, 18(2), 350–362. https://doi.org/10.17512/pjms.2018.18.2.28
Wong, L.-W., Leong, L.-Y., Hew, J.-J., Tan, G. W.-H., & Ooi, K.-B. (2020). Time to seize the digital evolution: Adoption of blockchain in operations and supply chain management among Malaysian SMEs. International Journal of Information Management, 52, 101997.
