Competency Marketing in SME Sector: A Mixed Method Approach

Abstract

Small and medium-sized enterprises (SMEs) are essential to most economies in emerging nations. The economy of Sri Lanka is mainly composed of small and medium sized firms. Small and medium-sized enterprises face strong competition from both domestic and foreign companies. To survive in the cutthroat market, they must simultaneously innovate every system. SME's must urgently build adequate and proper marketing competencies in order to meet the challenges. This study investigates the elements of competency marketing for Sri Lanka's SME sector. For the purpose of this investigation, a mixed technique is used. The study's target audience is the SMEs in Northern Province. Initially, utilizing snow ball sampling, 25 SMEs were chosen for this research project. In depth discussions were conducted with the interviewees. The competencies of SMEs were determined using thematic analysis. Using thematic analysis, nineteen factors were found, and they were divided into six dimensions: knowledge itself, accumulated knowledge, communication competency, judgmental competence, joint innovation competence, and absorption competence. The questionnaire was created using the quantitative approach to discover the dimensions of competency marketing. Out of 450 questionnaires, 436 were returned. The result of the study revealed four dimensions of loading structures of competence marketing, viz experiential knowledge, joint innovation competence, absorption competence and judgmental competence. When it comes to SMEs' marketing competencies, experiential knowledge competence has a significant impact whereas judging knowledge competence has a low impact. SME owners need to consider accomplishments, capabilities, interactions, two-way communications, and qualifications. The focus of joint innovation competence should be on innovative products and production processes. Adopting a new technology would be better for all SMEs in this current technological era. The constantly shifting business environment will force the company to put more emphasis on judgmental capability.