Social Media Adoption and Business Performance: A Study of Student Entrepreneurial Small Businesses
DOI:
https://doi.org/10.33005/mebis.v10i2.761Keywords:
Social Media Adoption, Business Performance, Student Entrepreneurial, Small BusinessesAbstract
SMEs managed by students as entrepreneurs play a role in pushing innovation, growing economy, and creating fieldwork in the community. Students often have a better understanding of technology and trends, which allows them to utilise opportunities overlooked by older generations. One of the method, students use technology and trends through social media adoption in businesses. Research aims to study the influence of social media adoption on the performance of student entrepreneurial small businesses. The research method used is Structural Equation Modelling (SEM) with the help of AMOS statistics to test the connection between the independent and dependent, supporting the hypothesis proposed. Data were collected through a questionnaire with 220 respondents consisting of student entrepreneurs who have been operating a business for at least 1 year and adopting social media. The results show that social media adoption is influential and significant to the performance of student entrepreneurial small businesses.
Downloads
References
Ahmed, N. and Kim, S. (2020). Developing small and medium-sized enterprises in Islamic developing countries: exploring the influential factors for Egypt. Asian Economic and Financial Review, 10(6), 670-679. https://doi.org/10.18488/journal.aefr.2020.106.670.679
Alhakimi, W. (2023). Social media adoption by women entrepreneurial small businesses. Asia Pacific Journal of Innovation and Entrepreneurship, 17(3/4), 158-175. https://doi.org/10.1108/apjie-03-2023-0060
Aloysius, N., Abeynayake, N., & Wijeyewardena, H. (2017). An index-based approach to assess the development of small and medium enterprises: a case from 32 asian countries. Applied Economics & Business, 1(1), 53-63. https://doi.org/10.4038/aeb.v1i1.73
AlQershi , N., Abas, Z., & Mokhtar, S. (2018). Strategic innovation as a driver for SME performance in Yemen. Journal of Technology and Operations Management, 13(Number 1), 30-41. https://doi.org/10.32890/jtom2018.13.1.4
Annisa, L. and Er, M. (2019). Impact of alignment between social media and business processes on smes' business process performance: a conceptual model. Procedia Computer Science, 161, 1106-1113. https://doi.org/10.1016/j.procs.2019.11.222
Appel, G., Grewal, L., Hadi, R., & Stephen, A. (2019). The future of social media in marketing. Journal of the Academy of Marketing Science, 48(1), 79-95. https://doi.org/10.1007/s11747-019-00695-1
Arinda, A. (2021). The impact of social media on performance UMKM in Bandar Lampung City. E- Journal of Economics and Business, Udayana University, 491. https://doi.org/10.24843/eeb.2021.v10.i05.p06
Bakri, A. and Kisswani, N. (2015). Social media: adoption and legal issues impact on business innovation. International Journal of Business Innovation and Research, 9(4), 486. https://doi.org/10.1504/ijbir.2015.070213
Beck, T. and Demirgüç -Kunt, A. (2006). Small and medium-size enterprises: access to finance as a growth constraint. Journal of Banking & Finance, 30(11), 2931-2943. https://doi.org/10.1016/j.jbankfin.2006.05.009
Central Bureau of Statistics. (2023). Statistics entrepreneurship in Indonesia [Data]. Retrieved from https://www.jawapos.com/bisnis/015264674/data-bps-buat-only-ada-61-juta-entrepreneur-muda-di-indonesia-prudential-gelar-nextgen-fest
Cao, Y., Ajjan, H., Hong, P., & Le, T. (2018). Using social media for competitive business outcomes. Journal of Advances in Management Research, 15(2), 211-235. https://doi.org/10.1108/jamr-05-2017-0060
Djatnika, T. and Gunawan, A. (2021). Perspective social media adoption as implementation technology management connection Customer (CRM) in MSMEs. Bhakti Persada, 7(2), 78-87. https://doi.org/10.31940/bp.v7i2.78-87
Elvina, E. (2024). Strategy for improving performance through adoption of social media in UMKM food light. Journal of Business & Applied Management, 17(1), 055. https://doi.org/10.30813/jbam.v17i1.5149
Eva, N., Sugiono, S., & Anas, M. (2023). The influence of entrepreneurship learning experience, self-efficacy, social media and family environment on interest in becoming a young entrepreneur in students of the economics education study program at nusantara university pgri kediri. International Journal of Humanities Education and Social Sciences (Ijhess), 2(4). https://doi.org/10.55227/ijhess.v2i4.360
Floris, M. and Dettori, A. (2020). Is social media adoption a powerful means to achieve high performance in small- and medium-sized firms? an empirical investigation. International Journal of Marketing Studies, 12(2), 50. https://doi.org/10.5539/ijms.v12n2p50
Gavino, M., Williams, D., Jacobson, D., & Smith, I. (2019). Latino entrepreneurs and social media adoption: personal and business social network platforms. Management Research Review, 42(4), 469-494. https://doi.org/10.1108/mrr-02-2018-0095
Gunawardane, S., Dulanjana , K., Siriwardana, D., & Mel, D. (2022). Impact of social media on business performance: with reference to small and medium enterprises, western province, sri lanka . Sri Lanka Journal of Social Sciences, 45(1), 19. https://doi.org/10.4038/sljss.v45i1.8310
Hailla, N. and Leon, F. (2022). Determinants of capital structure of small and medium enterprises in Indonesia. International Journal of Social Science and Human Research, 05(12). https://doi.org/10.47191/ijsshr/v5-i12-59
Haule, S. and Swallehe, O. (2021). The effects of social media marketing on business performance of supermarkets intanzania . Turkish Turism Arastirmalari Dergisi, 3(4), 234-249. https://doi.org/10.26677/tr1010.2021.906
Hernita, H., Surya, B., Perwira, I., Abubakar, H., & Idris, M. (2021). Economic business sustainability and strengthening human resource capacity based on increasing the productivity of small and medium enterprises (SMES) in Makassar City, Indonesia. Sustainability, 13(6), 3177. https://doi.org/10.3390/su13063177
Holdsworth, C. and Mendonça, M. (2019). Young entrepreneurs and non-teleological temporality in portugal and the uk. Time & Society, 29(1), 103-123. https://doi.org/10.1177/0961463x19873783
Hoque, N., Mamun, A., & Mamun, A. (2014). Dynamics and traits of entrepreneurship: an Islamic approach. World Journal of Entrepreneurship Management and Sustainable Development, 10(2), 128-142. https://doi.org/10.1108/wjemsd-04-2013-0027
Humaid, A. and Ibrahim, Y. (2019). The examination of factors influencing Saudi small businesses' social media adoption, by using utaut model. International Journal of Business Administration, 10(2), 96. https://doi.org/10.5430/ijba.v10n2p96
Hussain, A. (2015). Impact of entrepreneurial education on entrepreneurial intentions of Pakistani students. Journal of Entrepreneurship and Business Innovation, 2(1), 43. https://doi.org/10.5296/jebi.v2i1.7534
Ihemebiri , C., Ukwandu , E., Ofusori , L., & Olebara , C. (2022). The role of social media on selected businesses in Nigeria in the era of Covid-19 pandemic. Journal of Social Media Marketing, 1(1), 1-17. https://doi.org/10.33422/jsmm.v1i1.744
Izakova, N., Kapustina, L., & Drevalev, A. (2021). Performance of social media marketing communications of industrial companies. SHS Web of Conferences, 93, 03027. https://doi.org/10.1051/shsconf/20219303027
Jalil, Z. (2024). Social media adoption and business performance among bumiputera micro-entrepreneurs in Malaysia: is entrepreneurial orientation a missing link?. International Journal of Religion, 5(1), 100-109. https://doi.org/10.61707/70wt9747
Kazungu, I., Matto, G., & Massawe, H. (2017). Social media and performance of micro enterprises in moshi Tanzania. International Journal of Academic Research in Business and Social Sciences, 7(5). https://doi.org/10.6007/ijarbss/v7-i5/2883
Knatko, D., Shirokova, G., & Bogatyreva , K. (2016). Industry choice by young entrepreneurs in different country settings: the role of human and financial capital. Journal of Business Economics and Management, 17(4), 613-627. https://doi.org/10.3846/16111699.2015.1113199
Ladokun, I. (2019). Exploring social media as a strategy for small and medium enterprises (SMES) performance: evidence from Oyo State, Nigeria. South Asian Journal of Social Studies and Economics, 1-8. https://doi.org/10.9734/sajsse/2019/v3i430110
Lumbanraja , P., Dalimunthe , R., & Hasibuan , B. (2019). Application of porter's five forces to improve competitiveness: case of featured smash in Medan. https://doi.org/10.4108/eai.8-10-2018.2288733
Lupo, C. and Stroman, J. (2020). Social media marketing adoption strategies: an exploratory multiple case study of landscape industry small businesses. Journal of Social Behavioral and Health Sciences, 14(1). https://doi.org/10.5590/jsbhs.2020.14.1.15
Majková , M. (2016). The relationship between the risk of a change of the interest rate and the age of entrepreneurs among Slovaks smash. Journal of Competitiveness, 6(3), 125-138. https://doi.org/10.7441/joc.2016.03.08
Nair, R., Ganatra, V., Sugumaran, H., Kee, D., Heng, S., Mei, H., … & Doshi, V. (2022). How do social media platforms help to improve business performance during the covid-19 pandemic? a study of tiktok. Journal of the Community Development in Asia, 5(1), 41-53. https://doi.org/10.32535/jcda.v5i1.1384
Nawi, N., Mamun, A., Nasir, N., Shokery, N., Raston, N., & Fazal, S. (2017). Acceptance and usage of social media as a platform among student entrepreneurs. Journal of Small Business and Enterprise Development, 24(2), 375-393. https://doi.org/10.1108/jsbed-09-2016-0136
Novandari, W. (2023). Social media adoption and business performance: examining entrepreneurship orientation and government support policies in central java. The Winners, 24(1), 57-67. https://doi.org/10.21512/tw.v24i1.9262
Nurmala, D. (2022). The influence of social media to performance UMKM and capabilities innovation as variable mediation. Blantika Multidisciplinary Journal, 1(1), 16-28. https://doi.org/10.57096/blantika.v1i1.2
Odhiambo, E. and Muriuki, J. (2022). Examination of the influence of social media on performance of bars & restaurants during the crisis in nairobi county, kenya. European Journal of Management and Marketing Studies, 7(3). https://doi.org/10.46827/ejmms.v7i3.1266
Oktaria, S. (2023). Business strategy training small and medium enterprises bengkulu using social media. kenduri, 3(2), 56-64. https://doi.org/10.62159/kenduri.v3i2.970
Oyewobi, L., Adedayo, O., & Jimoh, R. (2021). Social media adoption and business performance: the mediating role of organizational learning capability (OLC). Journal of Facilities Management, 19(4), 413-436. https://doi.org/10.1108/jfm-12-2020-0099
Oyewobi , L., Adedayo, O., & Jimoh, R. (2022). Influence of social media adoption on the performance of construction small and medium-sized enterprises (SMES) in Abuja – Nigeria. Engineering Construction & Architectural Management, 30(9), 4229-4252. https://doi.org/10.1108/ecam-01-2022-0039
Oyewobi , L., Olorunyomi, O., Jimoh, R., & Rotimi, J. (2021). Impact of social media usage on performance of construction businesses (CBS) in Abuja, Nigeria. Journal of Financial Management of Property and Construction, 26(2), 257-278. https://doi.org/10.1108/jfmpc-05-2020-0042
Parveen, F., Jaafar, N., & Sulaiman, A. (2016). Social media's impact on organizational performance and entrepreneurial orientation in organizations. Management Decision, 54(9), 2208-2234. https://doi.org/10.1108/md-08-2015-0336
Pertiwi, N., Setiawan, M., & Rahayu, M. (2022). Social media adoption and innovation on culinary messages performance through competitive advantages during covid-19. Interdisciplinary Social Studies, 2(1). https://doi.org/10.55324/iss.v2i1.301
Prakoso, S., Amalina, N., Erikawati, N., Aisah, N., & Danuari, A. (2023). Management knowledge business in digital transformation as internal synergy process collaboration. Remik (Research and E- Journal) Management Informatics Computer), 7(1), 775-783. https://doi.org/10.33395/remik.v7i1.12156
Pranoto, A. and Lumbantobing, P. (2021). The acceptance technology model for adoption of social media marketing in Jabodetabek. The Winners, 22(1). https://doi.org/10.21512/tw.v22i1.7073
Puriwat, W. and Tripopsakul, S. (2021). Explaining social media adoption for a business purpose: an application of the utaut model. Sustainability, 13(4), 2082. https://doi.org/10.3390/su13042082
Rahman, H. and Hidayat, R. (2019). Influencing factors in the depth-usage of social media as the business platform by student entrepreneurs. Amar (Andalas Management Review), 3(1), 19-54. https://doi.org/10.25077/amar.3.1.19-54.2019
Razak, F. (2023). The role of social media in Indonesia for transformation strategy business. Journal Social Society, 3(1), 39-54. https://doi.org/10.54065/jss.3.1.2023.340
Santy, R., Suryani, E., Itfilarasati, S., Situmorang, R., & Saputra, H. (2021). Impact technology on pattern communication business. Journal of Information Systems Applied Management Accounting and Research, 5(3), 608. https://doi.org/10.52362/jisamar.v5i3.474
Schivinski, B. and Dąbrowski, D. (2014). The effect of social media communication on consumer perceptions of brands. Journal of Marketing Communications, 22(2), 189-214. https://doi.org/10.1080/13527266.2013.871323
Sendawula, K., Kimuli, S., Turyakira, P., & Kibanja, G. (2022). Social media perceptions, readiness and usage in fostering sustainable growth of micro and small enterprises in Uganda. African Journal of Economic and Management Studies, 13(4), 598-613. https://doi.org/10.1108/ajems-08-2021-0378
Setiawan, A., Natalie, C., & Junaidi, J. (2022). Strategy orientation, use of online media – social media, business performance during the covid-19 pandemic. Journal Management, 26(3), 368-384. https://doi.org/10.24912/jm.v26i3.947
Sitharam, S. and Hoque, M. (2016). Factors affecting the performance of small and medium enterprises in Kwazulu-Natal, South Africa. Problems and Perspectives in Management, 14(2), 277-288. https://doi.org/10.21511/ppm.14(2-2).2016.03
Soelaiman, L. (2022). The role of social media in enhancing business performance. https://doi.org/10.2991/aebmr.k.220501.060
Sunuantari, M., Zarkasi, I., Gunawan, I., & Farhan, R. (2021). R-tik digital literacy towards Indonesian msmes (umkm) digital energy of asia. Communicator, 13(2), 175-187. https://doi.org/10.18196/jkm.12380
Tabrani, M. (2022). Digital marketing training in improve branding on the foundation House hope. Journal Progressive Community Service Humanist Brainstorming, 5(2), 242-247. https://doi.org/10.30591/japhb.v5i2.3084
Tambunan, T. (2011). Development of small and medium enterprises in a developing country. Journal of Enterprising Communities People and Places in the Global Economy, 5(1), 68-82. https://doi.org/10.1108/17506201111119626
Tarsakoo, P. and Charoensukmongkol, P. (2019). Dimensions of social media marketing capabilities and their contribution to business performance of firms in Thailand. Journal of Asian Business Studies, 14(4), 441-461. https://doi.org/10.1108/jabs-07-2018-0204
Umar, A., Adawiah, A., Barkatullah, A., Ifrani, I., Mahyuni, M., Amrin, M., … & Farisi, N. (2022). Government policies and regulations, leadership style and employee performance in increasing productivity of Indonesia's small and medium enterprises. Society, 10(1), 182-206. https://doi.org/10.33019/society.v10i1.471
Wahid, N., Hussin, A., Ishak, M., & Aziz, N. (2022). The impact of social media adoption on business performance among homepreneurs: a preliminary study. International Journal of Academic Research in Business and Social Sciences, 12(10). https://doi.org/10.6007/ijarbss/v12-i10/15323
Wang, Z. and Kim, H. (2017). Can social media marketing improve customer relationship capabilities and firm performance? dynamic perspective capability. Journal of Interactive Marketing, 39(1), 15-26. https://doi.org/10.1016/j.intmar.2017.02.004
Zaied, A. (2012). Barriers to e-commerce adoption in Egypt smash. International Journal of Information Engineering and Electronic Business, 4(3), 9-18. https://doi.org/10.5815/ijieeb.2012.03.02






