Sustainability of the cassava processed agro industry business after covid-19 pandemic

Abstract

Cassava is a food plant that has many advantages and can be processed into various kinds of processed foods. Salatiga City is one of the areas that has the potential to develop the sustainability of cassava processing businesses. At the start of the Covid-19 pandemic, sales of processed cassava experienced a decline. Business sustainability starts from the increase in income and sales volume after Covid-19. This research aims to find out (1) a portrait of the success of cassava processing businesses after the Covid-19 pandemic; (2) analyse the stage of managerial ability and entrepreneurial behaviour of processed cassava agro-industry entrepreneurs;(3) the impact of managerial ability and entrepreneurial behaviour on the achievement of cassava processing businesses in Salatiga City. Purposive sampling is the sample strategy employed in this study. This research uses analysis of partial least squares (PLS) with the help of the app SmartPLS4.0. The results show (1) Currently, the average cassava agro-industry business has experienced an increase in income and sales volume of 41% since the Covid-19 pandemic period; (2) Forming managerial skills are implementation, organization, and supervision. Entrepreneurial behaviour is risk-taking, and creative and innovative; (3) Managerial ability and entrepreneurial behaviour have a significant influence on business success.