Competitive Strategy and Information Technology in Mediating Factors Affecting Marketing Performance of Publishing Companies in East Java

Abstract

Introduction: The publishing industry in Indonesia is experiencing significant challenges in the digital era, with a decline in print-based media sales due to the rise of digital formats. Despite the growing literacy rate and the expansive potential of the digital economy, many publishers struggle to adapt. Understanding the factors that influence marketing performance, including market orientation, entrepreneurial orientation, and the role of social media, is crucial for the survival and competitiveness of publishing businesses.

Objectives: This study aims to analyze the influence of market orientation, entrepreneurial orientation, and social media on competitive strategy and information technology, and to examine their subsequent impact on the marketing performance of publishing companies in East Java.

Methods: This research employs a quantitative explanatory design using Structural Equation Modeling (SEM) with AMOS 26. Data were collected from 143 publishers, members of IKAPI East Java, via an online questionnaire. The classical assumption tests included normality, outlier, and multicollinearity tests, all of which were fulfilled. Confirmatory Factor Analysis (CFA) was applied to validate the measurement model​.

Results: The results show that market orientation, entrepreneurial orientation, and social media significantly influence both competitive strategy and information technology. However, none of these three factors have a direct significant effect on marketing performance. Competitive strategy and information technology significantly mediate the relationship between market orientation, entrepreneurial orientation, social media, and marketing performance​.

Conclusions: Market orientation, entrepreneurial orientation, and social media indirectly impact marketing performance through competitive strategy and information technology. The findings highlight the need for publishing companies to strengthen their competitive strategies and optimize information technology usage to improve marketing outcomes in the face of digital transformation challenges​.