INFLUENCE OFSOCIAL MEDIA ANDINNOVATION SPIRIT OF ENTREPRENEURS ONAGRITOURISM BUSINESSIN INDONESIA

In the 21st century, businesses utilize social media (SM) more
frequently as a tool. This may be because social media platforms allow
firms to improve their competitive position in unique and exciting ways.
Consequently, the primary purpose of this study is to investigate the effect
of social media marketing capabilities on the performance of Indonesian
agritourism businesses. In addition, the study explored the moderating
influence of entrepreneurs’ innovative capabilities in agritourism businesses.
To ensure the validity of the sample, respondents were questioned whether
they did business using SM channels or utilized SM marketing tools at the time
of data collection. Only companies who indicated they conducted business
via SM were taken into account. For data gathering, 450 entrepreneurs were
chosen as a representative sample. A self-administered survey questionnaire
was utilized to collect the data. The response rate was 51.11 percent, with
233 out of 450 questionnaires returned and appropriate for analysis. PLS
software was used to analyze data. Before testing hypotheses, the outer
model was examined to determine the reliability and validity of the data,
and then SEM was employed to investigate the hypothesized correlations
between the variables. SM marketing has shown to be an effective strategy
for businesses wanting to boost their competitiveness. The results are
consistent with RBV, which stresses the significance of a company’s vital
resources and competencies, and are as expected.