Abstract
This study aims to analyze the improvement of the welfare of cooperative members in a sustainable manner, which is influenced by the development of business strategies and the competence of members. The research was conducted at women's cooperatives in East Java Province, Indonesia. The research design uses a quantitative approach. Respondents in this study are members of active women's cooperatives who have their own businesses from cooperative capital. The questionnaire was distributed by directly meeting respondents or via email among 185 respondents who were members of active cooperatives. SEM analysis was used to determine the effect of competency variables on improving member welfare mediated by business strategies. The results of this study indicate that the welfare of cooperative members was largely determined by the competence of cooperative member business actors, but this welfare improvement will be more effective if business actors understand and implement business strategies even though on a small scale.
Highlights
Until now, cooperatives in Indonesia are still dependent on the helping hand of the government
The results of this study indicate that the welfare of cooperative members was largely determined by the competence of cooperative member business actors, but this welfare improvement will be more effective if business actors understand and implement business strategies even though on a small scale
Based on the results of the analysis in table, it can be concluded that the results of this study support the hypothesis, which states that competence has a significant effect on the welfare of cooperative members through business strategies
Summary
Cooperatives in Indonesia are still dependent on the helping hand of the government. If data collection is carried out carefully, less than a third of the existing cooperatives have received a helping hand from the government or have become part of government programs This means that there is a great desire to cooperate in the midst of their economic limitations. This indicates that community participation in cooperatives still plays a real role in economic life in Indonesia. The most considerable contribution to economic growth in East Java is dominated by the manufacturing industry and other service industries This causes economic growth to be unable to provide a trickling down effect that can push the local economy to a lower level. Optimizing economic improvement through increasing the welfare of cooperative members, it is necessary to conduct in-
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