STRENGTHENING PRODUCT INNOVATION, QUALITY STRATEGY AND EXCELLENCE COMPETING IN IMPROVING MARKETING PERFORMANCE (CASE STUDY IN SMEs RATTAN HANDICRAFTS IN MEDAN CITY)

Small and medium enterprises are now the government's attention because it is an important part in the national and regional economy, small and medium enterprises must be able to optimize its potential by increasing competitiveness. However, small and medium enterprises, especially in Medan, still have many problems, especially human resources, resulting in weak competitive advantage and marketing performance.The research was conducted on several small and medium rattan handicraft businesses located in Medan city using research innovation variables, quality strategy, competitive advantage, and marketing performance. The research method used in the form of quantitative method.The population in this study are the managers and owners as well as managers of small and medium enterprises of rattan handicraft as primary data source and Disperindagkop and UKM Medan city as secondary data source. Total sample were 56 respondents.From the results of hypothesis testing proven product innovation significantly influence marketing performance. The quality of strategy has a significant effect on marketing performance. Competitive advantage significantly influence marketing performance