Abstract
AbstractThis study aimed to test capital relational model for conducting management of a company business by increasing customer retention to improve Small and Medium-sized Enterprise (SMEs) marketing performance. The quality of customer networking can improve marketing performance. The population in this study included the owners of SMEs in Bantul, Indonesia. Samples were selected by purposive sampling method covering 80 respondents and the samples were processed using regression analysis. The analysis was conducted by Structural Equation Modeling (SEM) SmartPLS version 3.2.9 computer program. The results showed that Relational Capital, Communication Quality and Customer Retention had a significant effect on Networking Customer Capability. Meanwhile, Networking Consumer Capability and Communication Quality had a significant effect on marketing performance. Moreover, customer retention had no significant effect on Marketing Performance. In addition, data analysis implied that there is a mediation effect of consumer networking and communication quality which has a significant role in improving marketing performance in Small and Medium Enterprises.KeywordsRelational capabilityCustomer networking qualityCommunication QualityRetention customer and marketing performance
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