The Role of E-Marketing in Enhancing MSME Business Performance Satisfaction

MSME, or micro, small, and medium-sized enterprise, are crucial to the Indonesian economy, particularly in Central Java. Despite their importance, MSMEs face various challenges, such as limited market access, inadequate technological adoption, lack of competent human resources, and suboptimal access to financing. This study uses e-marketing as a mediating variable to examine how entrepreneurial competency and e-Customer Relationship Management (eCRM) affect MSME firm performance satisfaction in Central Java. Using data from the Central Java Cooperative and MSME Office, a purposive sampling method was employed to select 121 MSMEs that met specific criteria, such as adopting e-CRM, being active on social media, and operating within Central Java. The sample size was determined based on MSME classification and prior research recommendations for structural equation modeling (SEM) analysis, ensuring its adequacy for statistical validity. The results showed that entrepreneurial competence significantly increased business performance satisfaction, and emarketing mediated this relationship. These findings have important implications for developing strategies to improve MSME performance in the digital era, emphasizing the role of entrepreneurial competence and effective social media engagement.