Strategies to Increase Profitability by Using Digital-Based Sales in Micro, Small and Medium Enterprise (MSMEs) in Medan City
DOI:
https://doi.org/10.37385/msej.v5i1.4071Keywords:
Digital Sales, Msmes, Profitability, StrategyAbstract
Using Internet networks facilitates the distribution, sale, purchase, and promotion of products (goods and services) through digital platforms such as social media and e-commerce. One practical approach to enhancing profitability involves leveraging social media platforms as marketing and sales channels alongside utilizing e-commerce. The selected subject of analysis pertains to the proprietors of MSMEs engaged in Internet commerce inside the city of Medan. The study will involve a sample size of 40 MSMEs selected by the purposive sampling technique. The method employed for data collecting involves the utilization of a questionnaire. Data analysis techniques employed include data quality testing, classical assumption testing, and hypothesis testing using linear and moderation regression analysis. The findings indicate that implementing a Social Media Strategy has a favorable and statistically significant impact on MSMEs profitability in Medan City. Using E-commerce platforms to facilitate digital sales can enhance the relationship between the influence of a Social Media Strategy and the profitability of MSMEs in Medan City. There is an expectation that online business entities will employ methods involving social media and e-commerce while also remaining responsive to technical advancements to enhance and modernize their online business systems, thereby avoiding obsolescence in the face of emerging technologies.
References
Akmese, H., Aras, S., & Akmese, K. (2016). Financial Performance and Social Media: A Research on Tourism Enterprises Quoted in Istanbul Stock Exchange (BIST). Procedia Economics and Finance, 39, 705–710. https://doi.org/10.1016/S2212-5671(16)30281-7
Deegan, C. (2002). The Legitimising Effect of Social and Environmental Disclosures – A Theoretical Foundation. Accounting, Auditing & Accountability Journal, 15(3), 282–311. https://doi.org/10.1108/09513570210435852
Doloksaribu, A., Siahaan, A. M., & Nainggolan, M. S. J. (2023). The Influence of Behavior of SMEs on use of Accounting Information Systems in MSMEs. JASa (Jurnal Akuntansi, Audit Dan Sistem Informasi Akuntansi), 7(2), 268–274. https://doi.org/10.36555/jasa.v7i2.2235
Gradillas, M., & Thomas, L. D. W. (2023). Distinguishing digitization and digitalization: A systematic review and conceptual framework. Journal of Product Innovation Management. https://doi.org/10.1111/jpim.12690
Kaplan, A. M., & Haenlein, M. (2010). Users of the world, unite! The challenges and opportunities of Social Media. Business Horizons, 53(1), 59–68. https://doi.org/10.1016/j.bushor.2009.09.003
Malhotra, P. (2017). Impact of Social Networking Sites on Financial Performance: A Case Study of Indian Banks. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.2965888
Nurlinda, N., Napitupulu, I., Wardayani, W., Azlina, A., Andina, A., Ulfah, A., & Supriyanto, S. (2020). Can E-Commerce Adoption Improve SME’s Performance? (Case Studies on Micro, Small and Medium Enterprises with Gojek Services in Indonesia). Proceedings of the Proceedings of the Third Workshop on Multidisciplinary and Its Applications, WMA-3 2019, 11-14 December 2019, Medan, Indonesia. https://doi.org/10.4108/eai.11-12-2019.2290850
Oliver Gassmann, & Michaela Csik. (2014). The Business Model Navigator: 55 Models That Will Revolutionise Your Business (1st ed.). FT Press.
Parviainen, P., Tihinen, M., Kääriäinen, J., & Teppola, S. (2022). Tackling the digitalization challenge: how to benefit from digitalization in practice. International Journal of Information Systems and Project Management, 5(1), 63–77. https://doi.org/10.12821/ijispm050104
Rahmawati. (2021). Bangkit dari Pandemi, Ini Sederet Terobosan Pemkot Medan Bantu UMKM. Merdeka.Com.
Saragi, D. R. R., & Siahaan, A. M. (2022). Keahlian Mendesain Video Pemasaran Digital Lewat Aplikasi Tiktok Untuk Pelakon Usaha Menjahit Kebaya Di UPTD Balai Latihan Kerja Samosir. Jurnal ABDIMAS PLJ, 2(2), 76–79.
Shahbaznezhad, H., Dolan, R., & Rashidirad, M. (2021). The Role of Social Media Content Format and Platform in Users’ Engagement Behavior. Journal of Interactive Marketing, 53, 47–65. https://doi.org/10.1016/j.intmar.2020.05.001
Siahaan, A. M. (2022). Viewing the influence of accessibility, information technology on competitive action in small-medium micro-businesses. JPPI (Jurnal Penelitian Pendidikan Indonesia), 8(2), 374. https://doi.org/10.29210/020221451
Steinert, S., & Dennis, M. J. (2022). Emotions and Digital Well-Being: on Social Media’s Emotional Affordances. Philosophy & Technology, 35(2), 36. https://doi.org/10.1007/s13347-022-00530-6
Stolterman, E., & Fors, A. C. (2004). Information technology and the good life. IFIP Advances in Information and Communication Technology, 143, 687–692. https://doi.org/10.1007/1-4020-8095-6_45
Vincent, J. (2001). Functionalism in Anthropology. International Encyclopedia of the Social & Behavioral Sciences, 5844–5847. https://doi.org/10.1016/B0-08-043076-7/00874-3
Badan Pusat Statistika. (2021, December 17). Statistik E-Commerce 2021. Badan Pusat Statistika.
Template
