Empowerment processes, programs, and outputs in increasing self-efficacy and their influence on individual performance

Abstract

After the second wave of the COVID-19 pandemic in Indonesia, the MSME business sector was significantly affected, data from the Ministry of Manpower and BPJS Employment in August 2021 explained that there were 2.8 million workers who were directly affected by COVID-19. They consist of 1.7 million formal workers who have been laid off and 749.4 thousand have been laid off. Based on the results of observations in August 2021, there MSME sectors in Indonesia that have been hardest hit, namely MSMEs in transportation, services, and tourism. To deal with the current pressures of difficult economic conditions, it takes a high level of self-efficacy from MSMEs to rise from adversity, rebuild affected businesses by empowering themselves through programs, processes, and outputs, these three factors are determinants of MSME self-efficacy carried out to improve return market demand. Through explanatory research, 400 samples were taken. The study aimed to determine the role of program empowerment, process, and output on MSME self-efficacy and their effect on increasing market demand using quantitative methods. Results show a positive and significant effect of programs, processes, and empowerment outputs on increasing market demand through MSME self-efficacy and empowerment output to increase market demand through MSME self-efficacy.