Exploration on the Perception toward Relational Capability and e-CRM on the Natural Craft Business Actors in Central Java, Indonesia

The natural materials craft industry plays a significant role in the economic and social development of Temanggung and Wonosobo regencies in Central Java. It helps in preserving the environment and empowers the local communities through job creation and traditional culture preservation. This study aims to understand the perceptions of natural craft business owners regarding relational capability and e-CRM (Electronic Customer Relationship Management) and their contributions to enhancing the competitiveness and sustainability of the business. The study used a questionnaire survey. The questionnaire was distributed to the owners of small and medium scale natural craft businesses in Temanggung and Wonosobo. The obtained data was then analyzed using descriptive statistics to depict the perceptions of the owners toward relational capability and e-CRM. The results indicate that the relational capability is categorized as high and the application of e-CRM is moderate. These findings suggest that even though the customer relationships had been well-maintained, but improvement in leveraging e-CRM technology is still possible. For the recommendations, providing and enhancing trainings and technological supports for the business are necessary for optimizing the e-CRM use that will thereby strengthen the competitiveness and contribute to sustainable development. This research provides valuable insights for MSME owners, the government, and other stakeholders in formulating more effective and sustainable development strategies for the environmentally friendly craft industry.