Abstract
The current study emphasized the role of market innovation on pricing, packaging, and promotion in improving marketing performance of the Apparel industry of Indonesia. Also, the mediating effect of green product market agility was examined. The data has been drawn from a sample of 309 respondents with purposive sampling. The statistical relationships between the incorporated variables are examined through Confirmatory factors analysis and Structural equation modeling approach with the application of descriptive analysis, KMO and Bartlett’s test, rotated component matrix, convergent and discriminant validity. From the results, it is indicated in the direct effects that marketing innovation on pricing and promotion are the significant drivers of the firm’s marketing performance. Whereas, no significant direct relationship between marketing innovation on packaging and marketing performance was found. In the same way, the indirect effects show that green product market agility plays a significant mediating role in the relationship between marketing innovation on price, marketing innovation on promotion, and marketing innovation on packaging and marketing performance. Moreover, various implications in terms of theory, practices, and policy development are suggested by the study for the practitioners of marketing management to assist in the achievement of effective marketing performance. Also, the study provides directions and recommendations for future researchers.
Highlights
In Indonesia, responsiveness towards ecological concern is increasing
Online, printed and television ads about green products drag attention of people, but the trick is to communicate green message effectively (Lim, 2016; Nadda, Dadwal, & Rahimi, 2017; Nguyen, Melewar, & Schultz, 2017). If these innovative tactics are used by firms, the attractiveness of their product increase, which increase their demand in the market
Researcher desired to observed role of marketing innovation on pricing, packaging and promotion on marketing performance, in mediating role of green product market agility
Summary
In Indonesia, responsiveness towards ecological concern is increasing. not in fast pace, the sensitivity towards green programs is making space for itself. Green programs refer to making something, like in case of business the products and services that are beneficial to people as well as the surroundings Awareness about this fact is growing due to alarming global warming influence and unsafe and risky living styles of people (Hailegiorgis & Hagos, 2016; Hendrayati & Gaffar, 2016). Online, printed and television ads about green products drag attention of people, but the trick is to communicate green message effectively (Lim, 2016; Nadda, Dadwal, & Rahimi, 2017; Nguyen, Melewar, & Schultz, 2017) If these innovative tactics are used by firms, the attractiveness of their product increase, which increase their demand in the market. Apparel industry is one of growing industry of Indonesia as sales increase showed in figure 1 below, so such innovative changes will multiply the profits
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