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Abstract

The current research examines the central role that internal firm capabilities, which refer to marketing effectiveness, employee productivity, innovation, and ethical conduct, play in promoting the efficiency of the goods market. In the modern, highly dynamic global environment, strategic marketing initiatives have become a requirement to overcome traditional promotional measures and ensure that overall firm performance is maximized. The analysis exploits the Global Competitiveness Index data that was developed by the World Economic Forum using panel data with 20 leading economies and 15 years (2007 to 2022). A stable regulatory environment and a developed market structure characterize these economies, making them suitable for studying the firm-level effects of macroeconomic efficiency. To address both heteroscedasticity and cross-sectional correlation issues, the analysis will be based on the Feasible Generalized Least Squares (FGLS) regression technique, thereby making econometric inference more robust. The results reveal a significant and positive correlation between marketing strategy, fair pay, innovation, ethical practices, and market efficiency of goods. These findings affirm that the integration of strategic internal capabilities not only enhances the performance of a single commodity but also contributes to market efficiency. The works highlight the idea that microeconomic activities within firms have a significant impact on the success of the macroeconomy. Responsiveness, ethical behavior, and innovation within the company, along with aligning internal practices with a customer focus, will enable the company to nurture a more effective and competitive market. The study, therefore, confirms the importance of internal business dynamics in advancing national and international economic performance.