ICTIM 2025 (2)

The culinary subsector is a key driver of Indonesia’s creative economy, yet long-term sustainability of culinary MSMEs remains limited. This study examines how Marketing Capability, Innovation Capability, Resource Capability, and dual-source Reputation (personal and brand-based) influence Sustainable Competitive Advantage, using Ambidexterity Theory as the theoretical lens. A quantitative survey was conducted with 301 culinary MSME owners and managers selected via purposive sampling. Data were analyzed using Structural Equation Modeling–Partial Least Squares (SEM-PLS), following rigorous validity and reliability assessment. Findings reveal that Marketing and Innovation Capabilities, as exploitation- and exploration-oriented mechanisms, significantly enhance Reputation, which mediates the effect of internal capabilities on Sustainable Competitive Advantage. Resource Capability has both direct and indirect effects, highlighting the importance of efficiently managing tangible and intangible resources. Reputation, encompassing personal and brand-based dimensions, plays a central role in translating ambidextrous capabilities into long-term competitive outcomes. The model explains 77.3% of the variance in Reputation and 63.5% in Sustainable Competitive Advantage, indicating strong explanatory power. The study extends Ambidexterity Theory to emerging-economy SMEs and introduces a dual-source reputation framework as a key mechanism linking internal capabilities with competitive advantage. Practically, culinary entrepreneurs are encouraged to integrate innovation, marketing, and resource management while cultivating both personal and brand-based reputation. Future research should explore moderating variables such as Digital Technology Adoption or Entrepreneurial Orientation to enhance the model’s predictive accuracy