Abstract
This study aimed to describe the level of dynamic capability models in Village Unit Cooperatives in all Village Unit Cooperatives consisting of ten districts/cities in the districts of Kediri and Madiun, East Java Province. Data collection through direct observation and surveys. The measurement uses seven Likert scales as a basis for describing dynamic capability characteristics. The results showed a dynamic capability models in Village Unit Cooperatives are still not optimal. A measurement model on specific dynamic capabilities (acquiring, developing, creating, and combining knowledge) in Village Unit Cooperatives. Managers with regard to dynamic capabilities are the right choice to understand the fast changing business environment. The limitations of this study are only two of the seven residencies in the province of East Java, Indonesia. Keywords: dynamic capabilities, village unit cooperatives
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