MKT730 Case Study of Homegrown Platter in India Literature Review Answer

Entrepreneurial Marketing Theory

The integrative areas of knowledge around marketing and entrepreneurship are frequently referred to in most literature as Entrepreneurial Marketing. Amjad et al. (2020) point out that EM has been particularly important for SMEs, especially during start-up and their early phases of growth. Most of the SMEs that have been successful in different markets have embraced high levels of EM activities (Amjad et al., 2020). Similarly, a statistical study conducted by Sari et al. (2023) on MSMEs during the pandemic revealed that EM and innovation capability had a significant impact on the performance of the companies. The variables for performance considered in the study included competitiveness, profit margin, profitability, domestic market share, and productivity, while for EM, the 7 Dimensions of Entrepreneurial Marketing were considered (Sari et al., 2023). The study by Amjad et al. (2020) suggests that EM is more flexible than the formal marketing mix because it mainly relies on word-of-mouth to create a concrete client base. Therefore, EM theories are highly instrumental in dictating the success of MSMEs in different markets.

The Marketing Entrepreneurship Interface (MEI) and Entrepreneurial Marketing (EM)

Different scholars have had an interest in the intersection between entrepreneurship and marketing. Research by Collinson (2002) confirms that there are areas where marketing aspects overlap entrepreneurship and vice-versa. According to Collinson’s (2002) research, the three areas of the interface include the fact that the two concepts are innovative in their perception of management, opportunistic, and all based on change. Collinson (2002) appreciates EM as an emerging paradigm which attempts to explain the interaction between marketing and entrepreneurship. Other scholars have gone a step forward to examine the interface’s impact on MSMEs created in the age of globalization. Some interface-related factors contributing to the growth and development of global SMEs include entrepreneurial orientation, marketing orientation, entrepreneurial capital, and innovation (Hills 2009).

Similarly, studies support using EM in various environments in which MSMEs operate. Research by Hadiyati and Hendrasto (2021) confirms that even during the COVID-19 pandemic, EM was still an appropriate paradigm for entrepreneurs operating as MSMEs. Hongal and Ramanjaneyalu (2023) also confirm the importance of EM to MSMEs, claiming that they enhance the growth and sustainability of companies, especially in emerging markets.

Dimensions of Entrepreneurial Marketing

Sari et al. (2023) categorically characterize EM as a form of organizational orientation with various dimensions, including value creation, resource leveraging, customer intensity, innovativeness, measured risks, opportunity focus, and proactiveness. Proactiveness as a dimension is critical because it positively correlates with the growth of MSMEs. According to studies conducted by Hongal and Ramanjaneyalu (2023), the proactiveness of an organization increases as it moves from micro to small and, ultimately, to a medium enterprise. Proactiveness also positively impacts the organization’s competitive advantage (Hanaysha and Al-Shaikh, 2022). Most of the MSEMs focusing on proactiveness pay great attention to identifying business opportunities and pursuing them.

Hongal and Ramanjaneyalu (2023) also established that calculated risk-taking behaviour directly affects the organisation’s growth. Although Hongal and Ramanjaneyalu (2023) justify their position on the relationship between calculated risk-taking and performance, not all researchers agree with their assertions. For instance, Ejiroghene (2020) argues that while all the other six dimensions have a positive relationship with market performance, risk-making has a negative relationship among SMEs.

A study by Hanaysha and Al-Shaikh (2022) illuminates the importance of opportunity focus as a dimension of EM because it directly links with the company’s innovative performance. The authors claim that opportunity focus for MSEMs can contribute to enhanced performance when there is knowledge of exploiting the opportunities seamlessly. Similarly, customer intensity has been established to positively correlate with the firm’s performance since it is among the most important pillars of marketing. 

Leveraging on resources is an important aspect for any organization since resources are key assets that steer performance outcomes and competitive advantage for the firm. Research reveals that leveraging resources is simply using fewer resources to achieve more (Hanaysha and Al-Shaikh, 2022). Resources can be leveraged through frequently outsourcing fundamental functions and sharing of resources. Resource leveraging through the mentioned strategies may improve the MSEMs’ competitiveness (Hanaysha and Al-Shaikh 2022). Hendijani Fard and Seyyed Amiri (2018) posit that 4 out of the seven dimensions, that is, resource leveraging, customer intensity, opportunity-focused, and value creation, positively impact the financial performance of the organization.

Innovativeness is another key dimension of EM concerned with establishing new ideas and creating new products. MSMEs have strategically utilized innovation as a strategy for addressing the challenge of limited resources in their markets of operation. Previous studies have illuminated innovativeness’s positive impacts on organisations’ performance (Sadiku-Dushi, Dana and Ramadani, 2019). For MSMEs, innovativeness can foster positive change by enhancing the organization’s performance and position by developing new images, brands, segments, and functional units, among others. Lastly, value creation is an important dimension for MSMEs that needs to be understood. Through value creation, firms can effectively attract clients and maintain significant competitiveness. Research by Sharma (2016) suggests that leveraging current technology is one of the best ways of creating customer value in the organization. Creating and maintaining customer value is critical for organizations because it allows a firm to enjoy high customer retention levels (Hanaysha and Al-Shaikh, 2022). Therefore, it is evident from most of the literature that the seven dimensions of EM are instrumental in directing MSMEs towards better performance. 

Traditional Marketing vs Entrepreneurial Marketing 

Marketing is an important activity for organizations operating in competitive environments. According to research by Nwankwo and Kanyangale (2020), MSMEs that fail to integrate effective marketing in their day-to-day operations are most likely to fail. Literature suggests that organizations can embrace traditional or entrepreneurial marketing based on the firm’s preference for underlying factors. Nwankwo and Kanyangale (2020) suggests that organizations can either embrace traditional marketing or entrepreneurial marketing. However, it is important to appreciate that the two marketing approaches vary significantly based on various factors. The table below illustrates the variations between the two marketing approaches based on different factors.

(Nwankwo and Kanyangale, 2020)

Entrepreneurial Marketing and the Role of the Effectuation Theory

Effectuation is a perception of thinking and decision-making founded on the fact that entrepreneurs make their future by actively considering various actions and engaging in various activities. As a way of thinking, it becomes important when deliberating about EM theory. Reyes-Mercado and Verma (2019) posits that entrepreneurs often utilize effectuated decision-making accompanied by intuition. In recent times, it has MSMEs have been progressively internationalizing. The effectuation theory has been significant in explaining these trends as it complements the studies with the same objective. Effectual logic is more useful in uncertain business environments where most MSMEs operate (Guili and Ferhane, 2018). Therefore, effectuation theory has an important link with EM theory.

Findings and Analysis

Customer Intensity

Research by Hanaysha and Al-Shaikh (2022) posits that customer intensity is mainly concerned with providing essential support for clients through their employees to ensure that the customers maintain a strong relationship with the company. Therefore, by asking how the company finds out about the customers' needs, it was easy to note that UrbanKisaan is customer sensitive. The entrepreneur answered, "As a company, we train our employees on how to make innovations that have the greatest value to our clients." Again, by admitting that "UrbanKisaan loves feedback from the customers because it is through them that we understand what our clients really want", it was possible to deduce that customer intensity has been a pillar for the business's success, which has been recording an upward growth trajectory. Since customer intensity is linked to positive financial performance, it is vivid from the feedback that the company appreciates it as a fundamental growth aspect (Hendijani Fard and Seyyed Amiri, 2018).

Proactiveness

Proactiveness is another critical dimension of EM that affects the performance of the business in terms of growth (Hongal and Ramanjaneyalu, 2023). When asked about the motivation for starting the business, the entrepreneur acknowledged that the idea was always there. However, the desire to do more and contribute to the farming revolution spiked it. From the response, it was clear that the proactiveness of the business was geared towards its growth. When asked about their preference for hydroponics, the entrepreneur replied, "Hydroponics was not only fancy but also a great option to allow me to target potential customers who could not practice agriculture under the traditional methods." The response proved that the business was not only proactive at its inception but maintained the desire to remain proactive as it grows and develops.

Innovativeness

Innovativeness is a dimension concerned with the creation of new ideas, new goods and services for the organization. Research by Sadiku-Dushi, Dana and Ramadani (2019) reveals that the company's innovativeness enables it to enhance its performance by enhancing its brand image. By inquiring about how the entrepreneur differentiates the company from the competitors, it was evident that innovativeness was a key consideration for the company. The interviewee highlighted unique, innovative trends that made the company stand out, such as "Our growing strategies allow us to save 95% of water while growing 30 times more in comparison to traditional farming". Therefore, it was evident that innovativeness is a significant contributor towards the performance of the business in terms of brand establishment. The answer on what makes the company unique was also significant in creating a background understanding of the UrbanKisaan brand. 

Resource Leverage

Hanaysha and Al-Shaikh (2022) argues that organizational resources are critical assets that can be leveraged by the business to improve the performance outcomes and competitiveness of the firm. From the interview, it is vivid that the organization has managed to gain a competitive advantage and positive growth by leveraging its limited resources. The entrepreneur stated, "The business is able to survive and record growth despite having limited resources because of its foundational model of saving on resources. Just the way UrbanKisaan utilizes minimum resources in hydroponic farming, so does it save on resources in all the areas of its operations." It was also possible to learn that UrbanKisaan's understanding of resource leverage is consistent with Sharma'sSharma's (2016) argument that technology is a vital strategy for leveraging resources. When asked about the impact of technology, the business owner replied, "UrbanKisaan prides itself as a technologically oriented organization, and we believe that through technological innovations in farming, we can be able to offer better farming solutions to our esteemed customers." Additionally, the firm believes in value creation from available resources to achieve positive performance outcomes.

Value Creation

Value creation is all about the ability of marketers to pinpoint sources of client values which are yet to be exploited and integrate them to make the desirable value (Hanaysha and Al-Shaikh, 2022). From the interview, it is apparent that UrbanKisaan is concerned with value creation as a pivotal strategy for boosting its performance. According to Hendijani Fard and Seyyed Amiri (2018), value creation adds to the contributing factors of a company's financial performance. Therefore, it may be argued that UrbanKisaan understands the contribution of value creation and strives to use it as a stepping stone towards financial success. The entrepreneur stated, "We create value by assessing our customers' challenges and proposing solutions that can help them overcome their objectives amidst the challenges they are experiencing. That is why we are able to grant busy executive members an opportunity to practice agriculture despite their busy schedules." The response implies that by creating value, the organization goes further to widen its customer base, increasing its potential profitability.

Risk Taking

Risk-taking occurs when the investor assigns a certain amount of resources for use in areas where productivity is not guaranteed. Although risks can result in losses, they can also lead to great profits. The interview proved that UrbanKisaan appreciates risks and has benefitted from them. When asked about the contribution of risk in the current business position, the owner replied, "Interesting question, UrbanKisaan has always been a risk taker, and we strongly believe that it is one of the main reasons for the successes that the company has made over the years." The response almost directly proves that risky decisions can enhance positive benefit outcomes when executed correctly (Hongal and Ramanjaneyalu, 2023). UrbanKisaan does not support Ejiroghene's (2020) argument that risky decisions negatively correlate with market performance among MSMEs.

Opportunity Focus

According to Hanaysha and Al-Shaikh (2022), opportunity focus mainly entails the positions in the market that have yet to be tapped into and make potentially good profits from them. Based on the understanding of opportunity focus by Hanaysha and Al-Shaikh (2022), it is clear that UrbanKisaan is founded on the dimension. When asked about their motivation for starting the business, the entrepreneur answered, "… my motivation for starting the business was offering a sustainable form of farming which would encourage more people to embrace farming regardless of the limited resources at their disposal." The idea focused on a niche in the market which was yet to be exhaustively exploited. Therefore, opportunity focus can be considered one of the tenets contributing to better performance.

Reference List

Amjad, T.,, Abdul Rani, S.H., and Sa’atar, S., 2020. Entrepreneurial marketing theory: Current Developments and Future Research Agenda. SEISENSE Journal of Management, 3(1), pp.27–46.

Anon, 2023. Empirical analysis of entrepreneurial marketing dimensions – evidence from Indian msmes. European Economic Letters.

Collinson, E., 2002. The Marketing / Entrepreneurship Interface. Journal of Marketing Management, 18(3–4), pp.337–340.

Hadiyati, E., and Hendrasto, F., 2021. Entrepreneurial marketing strategy of micro, small and medium enterprises in pandemic covid-19 ERA. International Journal of Economics and Business Administration, IX (Issue 2), pp.178–191.

Hanaysha, J.R., and Al-Shaikh, M.E., 2022. An examination of entrepreneurial marketing dimensions and firm performance in small and Medium Enterprises. Sustainability, 14(18), p.11444.

Hendijani Fard, M. and Seyyed Amiri, N., 2018. The effect of entrepreneurial marketing on halal food SMEs performance. Journal of Islamic Marketing, 9(3), pp.598-620.

Hills, G.E., 2009. Research at the Marketing/Entrepreneurship Interface. International Journal of Entrepreneurial Behavior & Research, 10(1/2), pp.164–165.

Hongal, P. and Ramanjaneyalu, N., 2023. Empirical Analysis of Entrepreneurial Marketing Dimensions–Evidence from Indian MSMEs. European Economic Letters (EEL), 13(3), pp.967-976.

Nwankwo, C. and Kanyangale, M.I., 2020. The Strategic Role of Entrepreneurial Marketing in Small and Medium Enterprises. Acta Universitatis Danubius. Œconomica, 16(4).

Sadiku-Dushi, N., Dana, L.P. and Ramadani, V., 2019. Entrepreneurial marketing dimensions and SMEs performance. Journal of Business Research, 100, pp.86-99.

Sari, D.,, Kusuma, B.A.,, Sihotang, J., and Febrianti, T., 2023. The role of Entrepreneurial Marketing & Innovation Capability in the performance of smes during covid-19 pandemic: Evidence of msmes in West Java. Cogent Business & Management, 10(1).

Sharma, D., 2016. Enhancing customer experience using technological innovations: A study of the Indian hotel industry. Worldwide Hospitality and Tourism Themes, 8(4), pp.469-480.

You Might Also Like:- 

Social Media Marketing Dissertation Help

70+ Influencer Marketing Dissertation Topics