MSMEs MARKETING STRATEGIES IN INCREASING COMPETITIVENESS IN MODERN RETAIL MARKETS CASE STUDIES IN MEDAN CITY INDONESIA AND KOTA BHARU MALAYSIA

Abstract

One of the biggest challenges that MSMEs has to face is market competition while the opportunity for development is through increased market share, at home and abroad. Therefore this research is appropriate in order to analyze marketing strategies of MSMEs to win the opportunities as well as challenges and to estimate Consumer Satisfaction Index for product improvement. In this study, the focus regions are Medan, Indonesia and Kota Bharu, Malaysia for modern retail market sector. The methodology used were both quantitative and qualitative methods using survey tool and interview sessions. ABC Kue Basah in Medan and Izzara Cookies in Kota Bharu outlets were used as MSMEs in this study to measure Importance Performance Analysis (IPA) and Consumer Satisfaction Index (CSI). Attributes chosen for data collection were product, price, promotion, place, people, process and physical evidence. The consumers of these two MSMEs were involved as respondents and the results showed that ABC Kue Basah was encouraged to make ‘Process’ and ‘Promotion’ as first and second priority in marketing strategy for Process, and Promotion while Izzara Cookies was encouraged to consider ‘Promotion’ as top priority for marketing strategy. CSI value for both companies were good, though Izzara Cookies has higher CSI than ABC Kue Basah.