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This study scrutinizes the overlooked role of indigenous value as the prime constituent of product attractiveness and demonstrate how the indigenous products’ value adds to its market performance in the highly dynamic work environment. Data was collected by a mean of questionaires which was distributed to 176 Small and Medium Enterprises producing indigenous products. The tool of analysis used was partial least square (PLS). The findings showed that indigenous product attractiveness mediates the relationship between market sensing capability and marketing performance. Nonetheless, the relationship between innovative capability and product attractiveness was not supported.

MAKING LOCAL PRODUCT ATTRACTIVE: THE ROLE OF INDIGENOUS VALUE IN IMPROVING MARKET PERFORMANCE