Evaluating the relationship between entrepreneurial marketing, competitive advantage, and Islamic banks performance

Abstract

The purpose of this paper is to analyze the effect of entrepreneurial marketing on competitive advantage and Islamic bank performance in Indonesia with the moderating role of vigilant leadership. We used a convenience sampling method to collect data from 204 Islamic bank branches in Indonesia. To test the hypotheses, we employed Smart-Partial Least Square (Smart-PLS) software. The findings indicate that entrepreneurial marketing directly or indirectly (through competitive advantage) influences bank performance. Vigilant leadership does not moderate the influence of entrepreneurial marketing on bank performance. Therefore, Islamic banks in Indonesia need to develop entrepreneurial marketing practices to increase their competitive advantage and bank performance. This study is the first to examine the effect of entrepreneurial marketing on organizational outcomes in Islamic banking and among the first to use vigilant leadership as a research variable in the banking context.