The Effect of Halal Certification and Entrepreneurial Marketing on the Successful Small and Medium-sized Enterprises of Food Products
DOI:
https://doi.org/10.14414/jebav.v26i1.3216Keywords:
Entrepreneurial marketing, Food product, Halal certification, Small and medium-sized enterprises (SMEs)Abstract
This research aims to examine the effect of halal certification and entrepreneurial marketing on the successful small and medium-sized enterprises (SMEs) of processed food products and investigate the dominant factors affecting the successful business of food products. A quantitative method supported by Structural Equation Modeling Partial Least Square (SEM-PLS) is employed to conduct this research. Seventy-one respondents from SMEs actors of food products registered in the Institute for the Study of Food, Drugs, and Cosmetics of the Indonesian Ulema Council (LPPOM MUI) of Riau Province and had the halal certification became the research sample. They are selected using a purposive sampling technique. This research reveals that halal certification positively affects a successful enterprise, while entrepreneurial marketing, directly and indirectly, positively affect a successful business. In addition, entrepreneurial marketing positively affects halal certification. It interprets that halal certification and entrepreneurial marketing are the significant factors determining the successful enterprise of food products. Furthermore, the dominant factors affecting the successful business of processed food products are the certainty of material quality based on the halal concept and consumer preference (halal certification), the level of ability to weave the relation with government (entrepreneurial marketing), and marketing performance (successful business). So, halal certification and entrepreneurial marketing are the essential factors that have to be considered by entrepreneurs to achieve a successful enterprise of food products. ÂReferences
Adel, H. M., Mahrous, A. A., & Hammad, R. (2020). Entrepreneurial marketing strategy, institutional envi-ronment, and business performance of SMEs in Egypt. Journal of Entrepreneurship in Emerging Economies, 12(5), 727-746. https://doi.org/10.1108/JEEE-11-2019-0171
Al-Ghazali I. (2007). Rahasia halal-haram: Hakikat batin perintah dan larangan Allah. Bandung (ID): Mizan Media Utama.
Alqahtani, N., & Uslay, C. (2020). Entrepreneurial marketing and firm performance: Synthesis and conceptu-al development. Journal of Business Research, 113, 62-71. https://doi.org/10.1016/j.jbusres.2018.12.035
Alqahtani, N., Uslay, C., & Yeniyurt, S. (2022). Entrepreneurial marketing and firm performance: Scale devel-opment, validation, and empirical test. Journal of Strategic Marketing, 1-22. https://doi.org/10.1080/0965254X.2022.2059773
Bakhri, S. (2020). Analisis kepemilikan sertifikat halal terhadap tingkat pendapatan usaha pelaku industri kecil dan menengah. Al-Mustashfa: Jurnal Penelitian Hukum Ekonomi Islam, 5(1), 54-65. https://doi.org/10.24235/jm.v5i1.6789
Boone, H. N., & Boone, D. A. (2012). Analyzing Likert data. Journal of Extension, 50(2), 1456-1466.
Buccieri, D., Javalgi, R. (Raj) G., & Gross, A. (2021). Innovation and differentiation of emerging market interna-tional new ventures the role of entrepreneurial marketing. Journal of Strategic Marketing, 1-29. https://doi.org/10.1080/0965254X.2021.1952293
Buccieri, D., & Park, J. (2022). Entrepreneurial marketing and reconfiguration towards post-entry perfor-mance: Moderating effects of market dynamism and entry mode. Journal of Business Research, 148, 89-100. https://doi.org/10.1016/j.jbusres.2022.04.053
Burhanuddin. (2011). Pemikiran hukum perlindungan konsumen dan sertifikasi halal. Malang (ID): UIN-MALIKI Press.
Calder, R. (2020). Halalization: Religious Product Certification in Secular Markets. Sociological Theory, 38(4), 334-361. https://doi.org/10.1177/0735275120973248
Chairunnisyah, S. (2017). Peran Majelis Ulama Indonesia Dalam Menerbitkan Sertifikat Halal Pada Produk Makanan Dan Kosmetika. EduTech: Jurnal Ilmu Pendidikan Dan Ilmu Sosial, 3(2), 177766.
Chávez, J. C. R., Gómez, M., & Ortiz, A. L. (2019). Entrepreneurial marketing and business performance: an econometric analysis of SMEs in the tertiary sector of Mexico. Revista nicolaita de estudios económicos, 14(1), 29-48.
de Gois, G., de Oliveira-Júnior, J. F., da Silva Junior, C. A., Sobral, B. S., de Bodas Terassi, P. M., & Junior, A. H. S. L. (2020). Statistical normality and homogeneity of a 71-year rainfall dataset for the state of Rio de Janeiro—Brazil. Theoretical and Applied Climatology, 141, 1573-1591. https://doi.org/10.1002/joc.3370060607
Demirci, M. N., Soon, J. M., & Wallace, C. A. (2016). Positioning food safety in Halal assurance. Food Control, 70, 257-270. https://doi.org/10.1016/j.foodcont.2016.05.059
Dewanti, M. A. (2022). Pengaruh karakteristik wirausaha dan strategi pemasaran terhadap perkembangan UMKM di Kabupaten Buleleng. Bisma: Jurnal Manajemen, 8(1), 236-242.
Dzogbenuku, R. K., & Keelson, S. A. (2019). Marketing and entrepreneurial success in emerging markets: The nexus. Asia Pacific Journal of Innovation and Entrepreneurship, 13(2), 168-187. https://doi.org/10.1108/APJIE-12-2018-0072
Elwisam, E., & Lestari, R. (2019). Penerapan strategi pemasaran, inovasi produk kreatif dan orientasi pasar untuk meningkatkan kinerja pemasaran UMKM. Jurnal Riset Manajemen Dan Bisnis (JRMB) Fakultas Ekonomi UNIAT, 4(2), 277-286. https://doi.org/10.36226/jrmb.v4i2.265
Fard, M. H., & Amiri, N. S. (2018). The effect of entrepreneurial marketing on halal food SMEs performance. Journal of Islamic Marketing, 9(3), 598-620. https://doi.org/10.1108/JIMA-12-2016-0097
Fay, M. P., & Proschan, M. A. (2010). Wilcoxon-Mann-Whitney or t-test? On assumptions for hypothesis tests and multiple interpretations of decision rules. Statistics Surveys, 4, 1-39. https://doi.org/10.1214/09-SS051
Giyanti, I., & Indriastiningsih, E. (2019). Effect of SME food entrepreneurs knowledge on halal certification for certified awareness using Partial Least Square. Jurnal Teknik Industri, 20(2), 140-151. https://doi.org/10.22219/JTIUMM.Vol20.No2.140-151
Hair, J. F., Sarstedt, M., & Ringle, C. M. (2019). Rethinking some of the rethinking of partial least squares. Eu-ropean Journal of Marketing, 53(4), 566-584. https://doi.org/10.1108/EJM-10-2018-0665
Hair Jr, J. F., Hult, G. T. M., Ringle, C. M., & Sarstedt, M. (2021). A primer on partial least squares structural equa-tion modeling (PLS-SEM). Sage publications. https://doi.org/10.1007/978-3-030-80519-7
Haleem, A., Khan, M. I., & Khan, S. (2019). Halal certification, the inadequacy of its adoption, modeling, and strategizing the efforts. Journal of Islamic Marketing, 11(2), 384-404. https://doi.org/10.1108/JIMA-05-2017-0062
Hendijani Fard, M., & Seyyed Amiri, N. (2018). The effect of entrepreneurial marketing on halal food SMEs performance. Journal of Islamic Marketing, 9(3), 598-620. https://doi.org/10.1108/JIMA-03-2021-0098
Hidayat, A. S., & Siradj, M. (2015). Sertifikasi halal dan sertifikasi non halal pada produk pangan industri. AHKAM: Jurnal Ilmu Syariah, 15(2), 199-210. https://doi.org/10.15408/ajis.v15i2.2864
Karim, R. A., Nawi, N. M., Abd Razak, N., Marmaya, N. H., & Ridzuan, A. R. B. (2018). The relationship be-tween food product with the JAKIM halal certification and performance of certified halal food manufac-turers. International Journal of Academic Research in Business and Social Sciences, 8(10), 629-639. https://doi.org/10.6007/IJARBSS/v8-i10/4769
Katuk, N., Ku-Mahamud, K. R., Kayat, K., Abdul Hamid, Mohd. N., Zakaria, N. H., & Purbasari, A. (2020). Halal certification for tourism marketing: The attributes and attitudes of food operators in Indonesia. Journal of Islamic Marketing, 12(5), 1043-1062. https://doi.org/10.1108/JIMA-03-2020-0068
Khairunnisa, H., Lubis, D., & Hasanah, Q. (2020). Kenaikan omzet UMKM makanan dan minuman di Kota Bogor pasca sertifikasi halal. Al-Muzara'Ah, 8(2), 109-127. https://doi.org/10.29244/jam.8.2.109-127
Khoerunnisa T. (2016). Pengaruh kepercayaan agama, logo halal, pemaparan, dan alasan kesehatan ter-hadap kesadaran merek dan keputusan pembelian makanan halal pada penduduk Kota Malang. Jurnal Ekonomi Bisnis, 21(1), 36-45.
Khoo, Y. S. K., Ghani, A. A., Navamukundan, A. A., Jahis, R., & Gamil, A. (2020). Unique product quality con-siderations in vaccine development, registration, and new program implementation in Malaysia. Human Vaccines & Immunotherapeutics, 16(3), 530-538. https://doi.org/10.1080/21645515.2019.1667206
Latino, M. E., Corallo, A., Menegoli, M., & Nuzzo, B. (2022). An Integrative conceptual framework of food certi-fications: systematic review, research agenda, and macromarketing implications. Journal of Macromarket-ing, 42(1), 71-99. https://doi.org/10.1177/02761467211049071
Mansur, A. R., Oh, J., Lee, H. S., & Oh, S. Y. (2022). Determination of ethanol in foods and beverages by mag-netic stirring-assisted aqueous extraction coupled with GC-FID: A validated method for halal verification. Food Chemistry, 366, 130526. https://doi.org/10.1016/j.foodchem.2021.130526
Mike, W., & Cheung, L. (2015). Meta-analysis: A structural equation modeling approach. John Willey and Son Ltd. https://doi.org/10.1002/9781118957813
Morrish, S. C., & Jones, R. (2020). Post-disaster business recovery: An entrepreneurial marketing perspective. Journal of Business Research, 113, 83-92. https://doi.org/10.1016/j.jbusres.2019.03.041
Morrish, S. C., Wolf, H., & Meriluoto, L. (2022). Internationalization and the wine industry: An entrepreneuri-al marketing approach. Journal of Wine Research, 33(1), 40-55. https://doi.org/10.1080/09571264.2022.2045922
MUI. (2019). Dokumen pendukung bahan: Tantangan UMKM dalam sertifikasi halal. [Internet]. [Downloaded Sep-tember 2nd, 2019].
Mangla, S. K., Kusi-Sarpong, S., Luthra, S., Bai, C., Jakhar, S. K., & Khan, S. A. (2020). Operational excellence for improving sustainable supply chain performance. Resources, Conservation and Recycling, 162, 105025. https://doi.org/10.1016/j.resconrec.2020.105025
Muneeza, A., & Mustapha, Z. (2020). The halal certification process for fisheries products in the Maldives. Journal of Islamic Marketing, 12(2), 451-466. https://doi.org/10.1108/JIMA-02-2019-0035
Nurani, L. H., Riswanto, F. D. O., Windarsih, A., Edityaningrum, C. A., Guntarti, A., & Rohman, A. (2022). Use of chromatographic-based techniques and chemometrics for halal authentication of food products: A review. International Journal of Food Properties, 25(1), 1399-1416. https://doi.org/10.1080/10942912.2022.2082468
Peterson, M. (2020). Modeling country entrepreneurial activity to inform entrepreneurial-marketing research. Journal of Business Research, 113, 105-116. https://doi.org/10.1016/j.jbusres.2018.11.042
Quoquab, F., Mohamed Sadom, N.Z. and Mohammad, J. (2020). Driving customer loyalty in the Malaysian fast food industry: The role of the halal logo, trust and perceived reputation. Journal of Islamic Marketing, 11(6) 1367-1387. https://doi.org/10.1108/JIMA-01-2019-0010
Ratnasari, A. D. (2017). Analisis Faktor-faktor yang mempengaruhi keberhasilan usaha bisnis online shop di Kota Samarinda. Jurnal Administrasi Bisnis, 5(1), 122-134.
Russell, J., & Willson, C. (2022). Understanding the requirements of halal production. Veterinary Record, 190(4), 165-165. https://doi.org/10.1002/vetr.1513
Sadiku-Dushi, N., Dana, L.-P., & Ramadani, V. (2019). Entrepreneurial marketing dimensions and SMEs per-formance. Journal of Business Research, 100, 86-99. https://doi.org/10.1016/j.jbusres.2019.03.025
Sarwoko, E., & Nurfarida, I. N. (2021). Entrepreneurial marketing: Between entrepreneurial personality traits and business performance. Entrepreneurial Business and Economics Review, 9(2), 105-118. https://doi.org/10.15678/EBER.2021.090207
Secinaro, S., Radwan, M., Calandra, D., & Biancone, P. (2021). Halal certification impact on firms’ corporate social responsibility disclosure: Evidence from the food & beverage sector in Italy. Corporate Social Respon-sibility and Environmental Management, 28(4), 1376-1385. https://doi.org/10.1002/csr.2161
Sigué, S. P., & Biboum, A. D. (2020). Entrepreneurial marketing and social networking in small and medium service enterprises: A case study into business dealings in Cameroon. Journal of African Business, 21(3), 338-354. https://doi.org/10.1080/15228916.2019.1625022
Sudarmiatin, S., Anam, F. K., & Wafaretta, V. (2020). The intention of halal certification by micro business. KnE Social Sciences, 141-155. https://doi.org/10.18502/kss.v4i9.7322
Tseng, M.-L., Ha, H. M., Tran, T. P. T., Bui, T.-D., Lim, M. K., Lin, C.-W., & Helmi Ali, M. (2022). Data-driven on sustainable food supply chain: A comparison on halal and non-halal food system. Journal of Industrial and Production Engineering, 39(4), 1-28. https://doi.org/10.1080/21681015.2022.2040622
Tupamahu, F. A. S., Balik, D., & Tamaela, E. Y. (2021). Karakteristik wirausaha, tingkat pendidikan, dan karakteristik usaha sebagai penentu keberhasilan bisnis pariwisata di wilayah pesisir dan pulau-pulau kecil. Jurnal Maneksi, 10(1), 76-84.
Vijaya, D. P., & Irwansyah, M. R. (2017). Pengaruh modal psikologis, karakteristik wirausaha, modal usaha dan startegi pemasaran terhadap perkembangan usaha UMKM di Kecamatan Buleleng tahun 2017. Ekuitas: Jurnal Pendidikan Ekonomi, 5(1), 45-51. https://doi.org/10.23887/ekuitas.v5i1.15571
Wahyuni S, Astuti D, Bakhric SB. (2020). Pengaruh label halal terhadap peningkatan omset penjualan produk makanan ringan UMKM di Kota Dumai. Jurnal Bisnis Ekonomi Halal, 1(2), 43-47.
Yang, M. (2018). International entrepreneurial marketing strategies of MNCs: Bricolage as practiced by mar-keting managers. International Business Review, 27(5), 1045-1056. https://doi.org/10.1016/j.ibusrev.2018.03.004
Yusuf, A. H., Shukor, S. A., & Bustamam, U.S. A. (2016). Halal certification vs business growth of food indus-try in Malaysia. Journal of Economics, Business, and Management, 4(3), 247-251. https://doi.org/10.7763/JOEBM.2016.V4.399
