Optimizing Market Penetration and Development Using the Ansoff Matrix: A Case Study on Business Sustainability at the Nila Crispy Sarmila MSME

Afifah Qurotulaini; Afra Dhia Khansa; Isnayati Aena; Yoiz Shofwa Shafrani

doi:10.62731/rgjeb.v2i1.18

Authors

Afifah Qurotulaini UIN Saizu Purwokerto Author
Afra Dhia Khansa UIN Saizu Purwokerto Author
Isnayati Aena UIN Saizu Purwokerto Author
Yoiz Shofwa Shafrani UIN Saizu Purwokerto Author

DOI:

https://doi.org/10.62731/rgjeb.v2i1.18

Keywords:

Ansoff Matrix, Business Sustainability, Market Development, Market Penetration, MSME

Abstract

This study aims to analyze the effect of market penetration and market development on business sustainability at Nila Crispy Sarmila MSME using the Ansoff Matrix as the main strategic framework. The research addresses the problem of limited market reach and the need for sustainable growth among food-based MSMEs. This study used a quantitative explanatory design with primary data collected through closed-ended questionnaires. The sample consisted of 120 respondents who knew, purchased, or had experience with Nila Crispy Sarmila products. The instrument used a five-point Likert scale to measure market penetration, market development, and business sustainability. Data were analyzed using descriptive statistics and Partial Least Squares Structural Equation Modeling with SmartPLS 4. The results show that market penetration has a positive and significant effect on business sustainability, with a path coefficient of 0.458 and a p-value of 0.000. Market development also has a positive and significant effect, with a path coefficient of 0.374 and a p-value of 0.000. The R-square value of 0.612 indicates that both variables explain 61.2% of business sustainability. The study concludes that strengthening existing markets and expanding new markets are complementary strategies for improving MSME sustainability. These findings contribute to the development of Ansoff Matrix-based MSME strategy and provide practical guidance for food-based MSMEs in designing sustainable market growth strategies.

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