dc.description.abstract | The study aimed to investigate the effects of market orientation, market
characteristics, and creativities on the innovation and marketing performances of
the cosmetics Firms in East Java Province. The study was a confirmatory carried
out by testing several hypotheses in order to figure out the causal relationship of
all the above variables. The data were collected from the entire population of 37
cosmetics firms, registered as the members of the Indonesian Association of
Cosmetics Firms or Persatuan Perusahaan Kosmetik Indonesia (PERKOSMI),
East Java Chapter. These companies were also registered in the Food and Drugs
Control Agency of the Republic of Indonesia (BP POM RI). The study employed
complete enumeration or census method, hence, sample and sampling technique
were not required. The validity of the research instrument was ensured by using
construct validity, of which only items with positive correlation coefficient higher
than 0.30 were included. Whereas, the reliability of the research instrument was
determined by using Cronbach Alpha and items were considered reliable only
when their values were higher than 0.60. The obtained data were, then, analyzed
by using path analysis. The results showed that market orientation, market
characteristics, and creativities had direct, positive and significant effects on the
innovation of the cosmetics firms in East Java. Market orientation, market
characteristics and innovation had direct, positive and significant effects on the
marketing performances of the cosmetics firms. Surprisingly, creativities had no
significant direct effects on the marketing performances of the cosmetics firms.
However, through innovation, the indirect effects of creativities were positive and
significant, or in other words, the positive significant effects of creativities on the
marketing performances of cosmetics firms appeared only when mediated by
innovation. | en_US |