THE EFFECT OF MARKET ORIENTATION AND PRODUCT INNOVATION ON MSME BUSINESS PERFORMANCE MEDIATED BY DIGITAL TECHNOLOGY IN MSME CAFES AND RESTAURANTS IN SOUTH SULAWESI

Authors

  • Asrijal Bintang
  • Masdar Mas'ud
  • Niniek F. Lantara
  • Syamsu Alam

DOI:

https://doi.org/10.18623/rvd.v23.5030

Keywords:

Market Orientation, Product Innovation, Digital Technology, BSNIS Performance

Abstract

This study aims to analyze and describe: 1) the influence of market orientation on business performance: 2) the influence of product innovation on business performance; 3) the influence of market orientation on digital technology; 4) the influence of innovation on digital technology; 5) the influence of digital technology on business performance; 6) the influence of market orientation on business performance through digital technology; 7) the effect of product innovation on business performance through digital technology in MSMEs Cafes and Restaurants in South Sulawesi. This research is an ex post facto quantitative research with an exploratory approach carried out on MSME Café and Resto in South Sulawesi in July - September 2024 with a sample of 200 from 400 people. Data collection techniques are through observation, questionnaires, and interviews. The collected data were then analyzed using descriptive analysis to describe the research variables, and inferential analysis through Structural Equation Modeling (SEM) to explain the contribution between exogenous variables to endogenous variables through hypothesis testing. The results of this study show that: (1) Market Orientation has a direct effect on Business Performance; (2) Product Innovation does not have a direct effect on Business Performance; (3) Market Orientation has a direct effect on Digital Technology, with very significant results; (4) Product Innovation has a direct effect on Digital Technology; (5) Digital Technology has a direct effect on Business Performance; (6) Market Orientation affects Business Performance through Digital Technology; and (7) Product Innovation affects Business Performance through Digital Technology.

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Published

2026-05-14

How to Cite

Bintang, A., Mas'ud, M., Lantara, N. F., & Alam, S. (2026). THE EFFECT OF MARKET ORIENTATION AND PRODUCT INNOVATION ON MSME BUSINESS PERFORMANCE MEDIATED BY DIGITAL TECHNOLOGY IN MSME CAFES AND RESTAURANTS IN SOUTH SULAWESI. Veredas Do Direito, 23(8), e235030. https://doi.org/10.18623/rvd.v23.5030