GREEN AGILITY REVOLUTION VIA INNOVATION: A CASE STUDY

Abstract

The current study emphasized the role of market innovation on pricing, packaging, and promotion in improving marketing performance of the Apparel industry of Indonesia. Also, the mediating effect of green product market agility was examined. The data has been drawn from a sample of 309 respondents with purposive sampling. The statistical relationships between the incorporated variables are examined through Confirmatory factors analysis and Structural equation modeling approach with the application of descriptive analysis, KMO and Bartlett's test, rotated component matrix, convergent and discriminant validity. From the results, it is indicated in the direct effects that marketing innovation on pricing and promotion are the significant drivers of the firm's marketing performance. Whereas, no significant direct relationship between marketing innovation on packaging and marketing performance was found. In the same way, the indirect effects show that green product market agility plays a significant mediating role in the relationship between marketing innovation on price, marketing innovation on promotion, and marketing innovation on packaging and marketing performance. Moreover, various implications in terms of theory, practices, and policy development are suggested by the study for the practitioners of marketing management to assist in the achievement of effective marketing performance. Also, the study provides directions and recommendations for future researchers.