Extended Brand Value Competitiveness Chain Model: Building Brand Competitiveness on SMEs in Indonesia Through Digital Brand Learning
DOI:
https://doi.org/10.20069/9xq5qq16Keywords:
Brand Value Competitiveness Chain, Brand Differentiation, Brand Value, Brand Competitiveness, Digital Brand LearningAbstract
This study develops and empirically tests the Extended Brand Value Competitiveness Chain (BVCC) model in the context of Indonesian SMEs, particularly batik enterprises in Pekalongan. The model integrates the concepts of brand differentiation, brand value, and brand competitiveness, while introducing SMEs Digital Brand Learning as a moderating variable grounded in learning theory, organizational knowledge creation theory, and Nonaka’s SECI model. Using a quantitative explanatory design with survey data from 273 SMEs, the study applies Structural Equation Modeling (SEM) to examine direct and moderating effects. The findings confirm that brand differentiation significantly enhances both brand value and brand competitiveness, while brand value positively influences competitiveness. Furthermore, SMEs Digital Brand Learning strengthens the impact of brand differentiation and brand value on competitiveness, underscoring the importance of continuous knowledge acquisition and application in the digital era. This research extends the applicability of the BVCC model to SMEs, highlights the role of digital learning in overcoming knowledge gaps, and provides practical insights for SME managers to build sustainable competitiveness through branding in Industry 4.0.
Downloads
References
Abimbola, T. (2010). Brand strategy as a paradigm for marketing competitiveness. Journal of Brand Management, 18 (3), 177-179.
Abimbola, T., & Vallaster, C. (2007). Brand, organisational identity and reputation in SMEs: an overview. Qualitative Market Research: An International Journal, 10(4), 341–348.
Agostini, L., Filippini, R., & Nosella, A. (2015). Brand‐building efforts and their association with SME sales performance. Journal of Small Business Management, 53(S1), 161-173.
Ahonen, M. (2008). Branding-does it even exist among SMEs. In Proceedings of the 16th Nordic Conference on Small Business Research, 202
Amit, R.; Zott, C. (2015). Business models. In International Encyclopedia of the Social & Behavioral Sciences, 2nd ed.; Wright, J.D., Ed.. Amsterdam: Elsevier, 33–36.
Anggara, A. A., Aryoko, Y. P., Dewandaru, R. O., Kharismasyah, A. Y., & Fatchan, I. N. (2025). Does maintaining resources, diversification, and internationalization matter for achieving high firm performance? A sustainable competitiveness strategy for China Taipei firms. Sustainability, 17(4), 1576.
Asamoah, E. S. (2014). Customer based brand equity (CBBE) and the competitive performance of SMEs in Ghana. Journal of Small Business and Enterprise Development, 21(1), 117-131.
Baumann, C. and Winzar, H. (2017). Confucianism and work ethic – introducing the ReVaMB model”, in Oh, I. and Park, G.S. (Eds), The Political Economy of Business Ethics in East Asia: A Historical and Comparative Perspective. Oxford: Elsevier, 33-60.
Baumann, C., Hoadley, S., Hamin, H. and Nugraha, A. (2017). Competitiveness vis-à-vis service quality as drivers of customer loyalty mediated by perceptions of regulation and stability in steady and volatile markets. Journal of Retailing and Consumer Services, 36, 62-74.
Berthon, P., Ewing, M. T., & Napoli, J. (2008). Brand management in small to medium‐sized enterprises. Journal of Small Business Management, 46(1), 27-45.
Boyle, E. (2003). A study of entrepreneurial brand building in the manufacturing sector in the UK. Journal of Product & Brand Management, 12(2), 79-93.
Brodie, R.J., Whittome, J.R.M. and Brush, G.J. (2008). Investigating the service brand: A customer value perspective. Journal of Business Research, 62 (3), 345-355.
Centeno, E., Hart, S., & Dinnie, K. (2013). The five phases of SME brand-building. Journal of Brand Management, 20(6), 445-457.
Chang, Y., Wang, X., & Arnett, D. B. (2018). Enhancing firm performance: The role of brand orientation in business-to-business marketing. Industrial Marketing Management, 72, 17-25.
Chaudhuri, A. and Holbrook, M.B. (2001). The chain of effects from brand trust and brand affect to brand performance: the role of brand loyalty. Journal of Marketing, 65 (2), 81-93.
D’aveni, R.A. (2010). Hypercompetition. New York: Simon and Schuster.
Gupta, S., Gallear, D., Rudd, J., & Foroudi, P. (2020). The impact of brand value on brand competitiveness. Journal of Business Research, 112, 210–222.
Hill, C., Schilling, M., & Jones, G. (2017). Strategic Management: Theory & Cases: An Integrated Approach. South-Western College Pub.
Juntunen, M., Saraniemi, S., Halttu, M., & Tähtinen, J. (2010). Corporate brand building in different stages of small business growth. Journal of Brand Management, 18(2), 115-133.
Keller, K.L. and Lehmann, D.R. (2006). Brands and branding: Research findings and future priorities. Marketing Science, 25 (6), 740-759.
Kharismasyah, A. Y., Randikaparsa, I., Anggara, A. A., & Auriel, S. (2024). What influences someone to have compulsive buying behavior? A case of Indonesian migrant workers in Taiwan. South Asian Journal of Social Studies and Economics, 21(7), 88-98.
Leone, R.P., Rao, V.R., Keller, K.L., Luo, A.M., McAlister, L. and Srivastava, R. (2006). Linking Brand Equity to Customer Equity. Journal of Service Research, 9 (2), 125-138.
Merrilees, B., & Miller, D. (2008). Principles of corporate rebranding. European Journal of Marketing, 42(5/6), 537-552.
Merrilees, B., Miller, D., & Herington, C. (2012). Multiple stakeholders and multiple city brand meanings. European Journal of Marketing, 46(7/8), 1032-1047.
Merrilees, B., Rundle-Thiele, S., & Lye, A. (2011). Marketing capabilities: Antecedents and implications for B2B SME performance. Industrial Marketing Management, 40(3), 368-375.
Muniz, A.M. and Guinn, T.C. (2001). Brand community. Journal of Consumer Research, 27 (4), 412-432.
Odoom, R., & Mensah, P. (2019). Brand orientation and brand performance in SMEs: The moderating effects of social media and innovation capabilities. Management Research Review, 42 (1), 155-171.
Reid, M., Luxton, S., & Mavondo, F. (2005). The relationship between integrated marketing communication, market orientation, and brand orientation. Journal of advertising, 34 (4), 11-23.
Reijonen, H., Párdány, S., Tuominen, S., Laukkanen, T., Komppula, R. (2014). Are growth-oriented SMEs more likely to adopt market and brand orientations?. Journal of Small Business and Enterprise Development, 21(2), 250-265.
Sharma, P., Mishra, S. S., & Sengupta, R. N. (2018, May). An Abstract: Brand Orientation as Antecedent to Brand Value: Construct Redefinition and Conceptual Model. In Academy of Marketing Science Annual Conference, 251-251.
Simoes, C., & Dibb, S. (2001). Rethinking the brand concept: new brand orientation. Corporate Communications: An International Journal, 6 (4), 217-224.
Tong, G. J., & Wang, W. (2011). The Comprehensive Evaluation of Regional Agricultural Brand Competitiveness Based on Fuzzy Gray Analysis. In Applied Mechanics and Materials, 44, 3687-3691.
Urde, M. (1999). Brand orientation: A mindset for building brands into strategic resources. Journal of marketing management, 15 (1-3), 117-133.
Webster, F.E. (2000). Understanding the relationship among brand, consumers and resellers. Journal of the Academy of Marketing Science, 28 (1), 17-23.
Winzar, H., Baumann, C., & Chu, W. (2018). Brand competitiveness. International Journal of Contemporary Hospitality Management, 30(1), 637–660.
Wong, H. Y., & Merrilees, B. (2005). A brand orientation typology for SMEs: a case research approach. Journal of Product and Brand Management, 14(3), 155-162.
Wong, H. Y., & Merrilees, B. (2007). Closing the marketing strategy to performance gap: the role of brand orientation. Journal of Strategic Marketing, 15 (5), 387-402.
Downloads
Published
Issue
Section
License
Copyright (c) 2025 Editorial Board of Modern Economic Science

This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.