The Influence of Differentiation Strategy, Market-Driven and Artificial Intelligence Marketing on Sustainable Competitive Advantage With School Image as an Intervening Variable Moderate by Vocational School Culture In the City of Balikpapan
Authors: Sahrul  , Mujanah Siti , Budiarti Endah 
Published: June 2024

Objective: This research aims to investigate the impact of differentiation strategies, market-based approaches, and artificial intelligence marketing on sustainable competitive advantage, with school image as an intervening variable moderated by school culture at Balikpapan Private Vocational Schools.

Theoretical Framework: Differentiation Strategy and Sustainable Competitive Advantage; Market Driven and Sustainable Competitive Advantage; Artificial Intelligence Marketing and Sustainable Competitive Advantage; School Image as an Intervening Variable; School Culture as a Moderating Variable By using these theoretical approaches, this research aims to explore how differentiation strategies, market orientation, and artificial intelligence-based marketing can influence sustainable competitive advantage in private vocational schools in Balikpapan City, with school image as an intervention variable and school culture as a moderating variable.

Method: This research was designed as research using a quantitative descriptive approach. The data analysis technique uses SEM (Structural Equation Modeling) using AMOS software. This research can also be said to be research with an inductive paradigm, namely testing from a sample which will then be generalized to the parent population. The population in this study were 12th-grade students at Balikpapan Private Vocational School. Researchers chose class 12 because students at that class level can be said to have lived for quite a long time and experienced the learning process at school since entering (class 10) and have made adjustments until they reach the final level (class 12). So, grade 12 students are students who already have self-confidence towards various components of school, be it towards teachers, friends, or the applicable rules. The population and samples were taken through school clusters with the criteria for schools that have been accredited B.

Results and Discussion: The results of multivariate outlier detection based on Table 5.14 show that fourteen observations have a mahalonobis d-squared value greater than the table chi-square limit of 58.30, namely respondents number 4, 5, 8, 9, 10, 12, 13, 14, 17, 18, 21, 22, 23, and 28 so that these fourteen observations (respondents) were indicated as outliers, and were excluded from the analysis. Next, the data will be reanalyzed without including outliers, so the sample size will be 223 (237-14=223). This size of 223 still meets the sample size criteria explained in the previous subchapter. this research confirms the importance of differentiation, market orientation and artificial intelligence-based marketing strategies in building sustainable competitive advantages for private vocational schools in Balikpapan City, with school image as a key factor that mediates this influence. An integrated and responsive approach to market needs and the application of innovative technology will increase the school's competitiveness and reputation sustainably.

Research Implications: Practical Implications: Differentiation Strategy Development: 1. Schools: Educational institutions can implement effective differentiation strategies to increase sustainable competitiveness. This includes offering unique programs, innovative teaching methods, and extracurricular activities that are different from other schools 2. Education Policy: Policymakers can encourage schools to develop their special strengths, by providing support in the form of training and resources.
Improved School Image: 1. School Management: School managers must focus on efforts to strengthen the school's image, such as improving facilities, achieving high academic achievement, and building good relationships with the local community. 2. Marketing Communications: School marketing teams should leverage this positive image in their communications strategies to attract more potential students. Market-Based Approach: 1. Curriculum Strategy: Schools must continually adapt to market and industry needs, ensuring that their curriculum is relevant to today's work demands. 2. Collaboration with Industry: Partnerships with local companies and industry can help adapt educational programs to the real needs of the world of work. Application of Artificial Intelligence Based Marketing: 1. Technology Implementation: Schools should adopt AI technology in their marketing efforts to increase personalization and efficiency of communication with prospective students and parents. 2. Training and Development: Specialized training is required for marketing staff to optimize the use of AI tools.

Theoretical Implications: Development of Educational Marketing Theory: This research enriches the literature on marketing strategies in vocational education, especially regarding how differentiation and market-based approaches influence sustainable competitive advantage. The Role of School Image as a Mediating Variable: The results of this study confirm the importance of school image as a significant mediating variable between differentiation strategies, market-based approaches, AI marketing, and sustainable competitive advantage. This adds to the theoretical understanding of influence mechanisms in educational contexts. School Culture as Moderator: This study also highlights the important role of school culture in moderating the relationship between AI marketing and sustainable competitive advantage, providing new insights into how cultural factors influence the effectiveness of technology marketing strategies. Affected Areas or Sectors: 1. Vocational Education Sector: Provides practical guidance for vocational schools to increase competitiveness through technology-based differentiation and marketing strategies. 2. Education Policy Development: Offers recommendations for policymakers to support differentiation and innovation initiatives in the curriculum. 3. School Management: Provides implementation strategies that can assist school management in improving the image and attractiveness of their schools. 4. Educational Marketing and Technology: Informing educational marketing practitioners about the benefits and challenges of using AI in their marketing strategies. This research, therefore, makes a significant practical and theoretical contribution, supporting the development of more effective and innovative educational policies and practices.

Originality/Value: This research contributes to the literature by highlighting originality through an innovative approach in combining differentiation strategies, market-based approaches, and artificial intelligence marketing to enhance sustainable competitive advantage in the vocational education sector. The relevance and value of this research are evidenced by how the results can have a significant impact on school management practices, strengthen the image of institutions, and guide educational policies to be more responsive to market and technological needs.