Medium Entreprises Research Articles

Business Disruptions, Financial Fragility and Resilience Strategy: Exploration of Impact of The Covid-19 on Micro, Small and Medium Entreprises

The Covid-19 pandemic has impacted the world economy, including Micro, Small, and Medium Enterprises (MSMEs). This study aims to find out how the conditions of MSMEs during the Covid-19 pandemic, which led to business disruptions and financial fragility in most of the MSMEs in Indonesia. Are MSMEs able to survive in an uncertain economic situation, or will they give up by closing their business forever or looking for new business strategies? This research was conducted with a qualitative approach and data obtained from semi-structured interviews with MSMEs in Padang City, Indonesia. Data was analyzed with Content Analysis. The findings reveal several main themes related to business disruptions, financial fragility, and resilience strategy. The central theme related to business disruption is the creation of obstacles resulting from the Covid-19 pandemic. Meanwhile, the central theme of financial fragility is about the adequacy of cash to run a business. Finally, a theme related to the resilience strategy is the importance of adaptation. Although most of these MSME businesses experienced a decline in business, several sectors experienced increased demand and sales, especially those related to necessities, health and hygiene products. &nbsp

Barriers to innovation: experience of Ecuadorian small and medium entreprises

The innovation barriers to small and medium-sized enterprises affect their innovative process and influence their company development. In this empirical work, we analyze the cost, market, and knowledge barriers that impede or delay the development of innovative activities and projects in Ecuadorian SMEs. A logit estimation model uses fixed-effects panel data on a sample of 5,205 SMEs during the period from 2009–2014. The results show that small and young companies are more vulnerable to the perceived barriers of cost and knowledge. This is mainly due to high innovation costs and a lack of skilled staff that restricts organizational growth and market competitiveness.

DETERMINAN KEPATUHAN PAJAK UMKM: LINGKUNGAN SEBAGAI VARIABEL MODERASI

This research aims to examine the effect of tax information and modernization of the tax administration system on tax compliance to the entrepreneur of micro, small, medium entreprise in Pekanbaru city with environment as moderating variable. The data in this study is the primary data. The population in this study were all the Micro, Small, Medium Entreprises in the culinary industry in Pekanbaru City. The sampling method used in this study incidental method. The sample used in this study were 83 respondents. The method of data analysisused to test of hypothesis is SEM-PLS using WarpPLS 6.0 Version. The result of this study showed that tax information and modernization of the tax administration system had influence on the tax compliance. The environment could moderate the influence of tax information on tax compliance and the influence of modernization of the tax administration system on tax compliance

Determining Strategy to Improve Human Resources Performance by Identifying Tourism Condition SMEs

This study aims to identify the internal and external conditions of the small and medium entreprises tourism sector in cities in East Java. Also, this study aims to determine the most appropriate strategy to improve the performance of small and medium entreprises human resources in the tourism sector. Respondents used as research samples of 100 respondents divided from 20 small and medium entreprises taken in each city. Furthermore, in each small and medium entreprises, five employees were selected as respondents. The data were analyzed using the strengths, weaknesses, opportunities, and threats method. The results of the study showed that the tourism small and medium entreprises in the City of Blitar, Malang, Batu, and Kediri were in healthy condition and had great opportunities to grow and develop. Besides, the tourism sector small and medium entreprises in Pasuruan City is in a healthy condition but faces enormous threats. Eventually, the originality of this research focuses on the tourism sector in East Java, Indonesia, which has not been much study before.

The Role and Importance of Marketing in South African Township SMMEs

Small, Micro and Medium Entreprises (SMMEs) in South African townships, as in many countries worldwide, has a high failure rate. Effective use of marketing and other initiatives made available by the South African government, can help to decrease the number of failures. In order to assist SMMEs effectively, it is necessary to know how they approach marketing, what their training needs are and if they are aware of the initiatives available to assist them with various business functions. A survey was conducted in this regard with small business owners across South African townships. It can be concluded from the research that marketing plays a vital role in the growth and sustainability of a SMME. SMMEs that experienced a decline in growth in the previous year required more marketing training. The growth decline ratio is 1:1.08. It is furthermore clear from the marketing approach in relation to turnover ratios, that SMMEs that grew in turnover over the past three years are almost twice as active in performing marketing functions as the SMMEs that experienced a decline in turnover in the past three years. The need for marketing training was also pointed out as the most poignant training required by SMMEs. It can thus be deduced that the role and importance thereof cannot be overstated since the need expressed warrants the importance. The majority of respondents also indicated that they are not aware of any governmental programmes to assist SMMEs with their marketing.

Peran Financial Technology pada UMKM: Peningkatan Literasi Keuangan Berbasis Payment Gateway

The purpose of this studi was to understand the financial techology in Micro Small and Medium Entreprises in Buleleng Regency, especially in increased financial literacy based on payment gateway. This research used qualitative approach with the type of descriptive approach and also used primary data and secondary data in the form of interviews observations and documentations. The result showing that the role of financial technology could increase financial literacy and made it easier for Micro Small and Medium Entrepreneurs to manage and understans their finances because the technology provided convenience in digital payments. Therefore, it automatically recorded the income of transsaction that occur.

ANALISIS KINERJA OPERASIONAL DEWAN PENGAWAS SYARIAH (DPS) PADA KSPPS BMT SRI SEJAHTERA JAWA TIMUR

Shariah Supervisory Board (DPS) is the most important part in Islamic financial institutions and is the guarator of the implementation of shariah principles in accordance with Minister of Cooperatives and Small Medium Entreprises Regulation No.11/PER/M.KUKM/XII/2017 concerning the Implementation of Sharia Loan Savings and Loan Business Activities which requires the Sharia Supervisory Board (DPS). In addition there are requirements specified in Minister of Cooperatives Regulation No.16/PER/M.KUKM/IX/2015 concerning the Implementatuon of Savings and Loan Business Activities Financing bu Cooperatives that must be met so that there are no irregularities in any sharia cooperatives activities. This study uses descriptive qualitative methods that aim to determine the performance of the Sharia Supervisory Board (DPS) in operational activities at KSPPS BMT Sri Sejahtera Jawa Timur. From the results if the research conducted that supervision activities carried out by the Sharia Supervisory Board (DPS) with direct supervision through reports from managers can be said to be less that optimal because supervision activities carried out are flexible and not only carried out on one Islamic financial institutions. In addition, public insight about the importance of the Sharia Supervisory Board (DPS) is less than optimal.

Strategic consensus on organizational performance: A contingency approach of organizational culture and isomorphic pressure

Purpose: This research aims to test and analyze the consensus of organizational strategy with the contingency of organizational culture and isomorphism pressure which have an impact on organizational performance moderated by human capital. The survey is conducted to the owners/managers of Batik Micro Small Medium Entreprises (MSMEs) in 18 villages in Pekalongan, Indonesia.Design/methodology/approach: The data collecting is using questionnaire and interview to some owner/managers and leader of the Batik group. Pekalongan is a city of Batik that has Batik MSMEs spread in every area of the villages. Therefore, the sampling technique used in this research includes two stages: proportional area random sampling and purposive sampling. 17 MSMEs were taken as samples in each village. Furthermore, after selecting 17 MSMEs, the study used purposive sampling technique with a sample size of 170 MSMEs. This research uses three variables: isomorphism, organizational culture, and organizational strategy measured by semantic scale and use two bipolar typologies. As for organizational performance, it is measured using Likert scale. The data analysis technique is using Euclidience Distance Simple Regression with contingency approach and moderation of Euclidience Distance Simple Regression.Findings: These results provide are; (1) The higher the alignment degree between imitation strategy and hierarchy culture, the higher the organizational performance will be; (2) The higher the alignment degree between innovation strategy and adhocracy culture, the higher the organizational performance will be; (3) Human capital strengthens the consensus of imitation strategy with the contingency of hierarchy culture and benign isomorphism, so that the organizational performance is higher; (4) Human capital does not strengthen the consensus of innovation strategy with the contingency of adhocracy culture and hostile isomorphism, so that the organizational performance is higher.Research limitations/implications: The sampling technique of this research is done using purposive sampling, so it is feared that it cannot generalize to the existing population. The data collection also uses primary data with measurement approach based on the owner/manager perceptions, which sometimes still requires assistance and good understanding for the respondents. Organizational performance will be increase if the condition of hierarchy culture, benign isomorphism, and imitation strategy are supported by the moderation role of human capital that can strengthen the relationship with organizational performance.Practical implications: The higher the alignment degree between imitation strategy and hierarchy culture, the higher the organizational performance will be. If the organization tend to choose imitation strategy, it is more emphasizes on low market pressure, support from government regulation, low public and media pressure, and stable politic and safety, and vice versa.Originality/value: This research wants to fill the research gap by examining the importance of having an alignment of organization strategy (Imitation vs Innovation) related with the contingency of organizational culture (Hierarchy vs Adhocracy) and isomorphism pressure (Benign vs Hostile) so that Batik MSMEs entrepreneurs can further improve their organizational performance (operational performance and environmental performance).

The Effectiveness Model of Knowledge Sharing in Business Innovation to Improve the Performance of Micro Small and Medium Enterprises

Innovation performance can be an important indicator for organizations because it can enhance competitive advantage. In the organizational context, the results of innovation can be drawn by increasing efficiency, productivity, quality, competitive advantage, and market development. Micro, small, and medium entreprises (MSMEs) generally have to face challenges such as limited financial resources, sub-optimal operations, inefficient supply chains, limitations in technology application, and unpreparedness in facing competition and market changes. To be able to face this challenge, MSMEs need to take an innovative approach in business operationsThis study aims to improve understanding of the effectiveness of knowledge sharing in organizations. An understanding of knowedge sharing activities through the business innovation process is expected to be able to produce a mechanism to improve MSME performance. Research data were obtained by distributing questionnaires directly and online to SMEs Data processing is done by testing the conceptual model using PLS-SEM. The conceptual model was tested with 137 samples obtained directly and online from MSME actors. From the test results, it can be seen the factors that encourage knowledge sharing activities so that they can influence business innovation and encourage the performance of MSMEs namely trust, organizational culture, organizational structure, employee attitudes, and motivational methods.

Akuntabilitas koperasi simpan pinjam di Jawa Tengah

Cooperatives’ executives rely on audited financial statements as a form of accountability to their members. The number of savings and loan cooperatives (KSP – Koperasi Simpan Pinjam) in Indonesia is growing rapidly. However, the issue of audit demands by cooperatives in Indonesia is still relatively understudied. Thus, this study seeks to empirically investigate the effects of cooperatives’ size (number of members and total assets) and financial indicators (liquidity and liabilities) on audit demands. The research sample is 108 primary cooperatives in Central Java Province generated from the Provincial Office of Cooperatives and Small and Medium Entreprises (SMEs) of Central Java that have savings and loans units. The logistic regression analysis demonstrates that number of members, total assets, and liabilities positively affect audit demand. However, liquidity ratio does not affect audit demand.

Value Creations Through Co-Creation and Collaboration Strategy in SMEs Creative Industry

The study focuses on fashion Small Medium Entreprises (SMEs) in Indonesia utilizing strategies and efforts to develop value creations. It is generated by co-creation and collaboration strategy which are supported by market attractiveness and dynamic capabilities. The objectives of this study are to perform analysis on co-creation, collaboration strategy and value creations of SMEs in fashion industry. The research method is descriptive and explanatory survey. The sample size are thirty one SMEs in Bandung and Partial Least Square (PLS) technique was used to test the hypothesis model. The unique findings is co-creation and collaboration strategy have influence on value creations. Market attractiveness or potential profitability be a major input in formulating and implementing both strategies. The phenomena depicted that optimizing market attractiveness and dynamic input capabilities can help SMEs formulate and implement co-creation and collaboration strategy more effectively to create value for customers (value creations). This research gave theoritical recommendation for fashion industry to enhance their value creations process and to develop co-creation and collaborations strategy.

Sustainability as a driver for value creation: A business model analysis of small and medium entreprises in the Italian wine sector

This research explores the role of sustainability in the business models (BMs) of small and medium enterprises (SMEs) that are operating in the wine sector in Italy, thus addressing recent calls in the literature on BMs. Consequently, this empirical paper offers a contextualized two-step analysis of the BMs of those firms, with a focus on their economic, environmental, and societal indicators. First, a study of a large set of firms all over the country points out the better profitability of some companies, in particular, family-owned companies. Second, a questionnaire survey identifies the key elements that contribute to that higher performance. The companies in this set are small and medium in size, as the Italian wine sector is mostly composed of these kinds of firms. Our data cast new light on the role of sustainability in BMs and its relationship to economic performance. Furthermore, our results point to the difference in performance between family and non-family firms. This latter focus leads us to propose two different BMs for SMEs in the wine sector in Italy, based on their type of governance, i.e., family or non-family. Our findings also suggest that sustainability can create value by achieving innovation in BMs in the long run. However, we found that the studied firms have not yet fully integrated sustainability into their own BMs.

Exploring E-leadership Behaviour of Sri Lankan Small and Medium Enterprises

This paper explores the e-leadership behaviours of Sri Lankan Small and Medium Entreprises and the barriers to e-leadership in SME sector. To explore these research objectives a qualitative method was used with 23 semi-structured face-to-face interviews with owners of fast-growing SMEs in Sri Lanka. To understand the effective e-leadership behaviours the study used Gary Yukl’s Hierarchical Taxonomy of Leadership Behaviours model. Findings confirmed that most SME leaders use ‘Internet of things’ in performing their leadership roles. Among the four effective e-leadership behaviours described by Gary Yukl, most SME leaders use e-leadership for change-oriented decision making while relationship-oriented leadership behaviours became the least important. Theoretical contributions, limitations and future research directions are discussed in the concluding section of the paper.

Emotional Intelligence in Small and Medium Entreprises: Exploring its Effect on Ambidextrous Behaviours and Firm Performance

Emotional Intelligence in Small and Medium Entreprises: Exploring its Effect on Ambidextrous Behaviours and Firm Performance

PENGARUH TEKNOLOGI INFORMASI DAN HASIL USAHA TERHADAP PERKEMBANGAN BISNIS UKM PADA PASAR SEGAR PENGAYOMAN KOTA MAKASSAR

This study aims to determine whether the development of small medium entreprises is affected by information technology. The population in this study were business owners who used information technology at Pasar Segar Pengayoman, Makassar around 100 small medium entreprises. By using the Slovin formula, the number of samples was 50 respondents. This study uses multiple linear regression analysis by using IBM SPSS V 20 Statistics. The results of this study indicate that information technology and business results have a positive and significant partial effect toward business development.

The Role of Creativity and Innovation in Business Competition: A Phenomenology of Micro Small and Medium Entreprises in East Indonesia

The Role of Creativity and Innovation in Business Competition: A Phenomenology of Micro Small and Medium Entreprises in East Indonesia

Analysis of the competitiveness of the sector of small and medium enterprises and entrepreneurs in the Republic of Serbia

The sector of small, medium companies and entrepreneurs (SMEs) has an important role in the economic development of countries around the world. The advantage of this sector lies in its flexibility, quick adaptation to change and the quality of satisfying the modern, increasingly demanding market. Through the sector of small, medium entreprises and entrepreneurs it is possible to develop a competitive economy based on innovations, knowledge and new technologies and influence the competitiveness of the Republic of Serbia. The aim of this paper is to point out the importance of improving the competitiveness and innovation of the SMEs sector for the future economic development of the national economy.

ENTREPRENEURIAL ORIENTATION AND CONSUMER ENGAGEMENT: THE IMPACT OF BUSINESS PERFORMANCE ON SMALL AND MEDIUM ENTREPRISES OF HALAL FOOD

Muslim consumers nowadays are aware of the ingredients in foods thus making them more selective in choosing foods that they want to purchase and consume. Currently, there are no profiles of small and medium entreprises (SME) which have halal certificates, especially in Jambi Province. The main purpose of this research is to find the performance model of SME halal certified food. The hypotheses of this study are: (1) Entrepreneurial orientation significantly influences the consumer engagement of SME halal food (2) Entrepreneurial orientation significantly influences the entrepreneurial marketing of SME halal food (3) Entrepreneurial marketing significantly influences consumer engagement of halal food. (4) Consumer engagement significantly influences the business performance of halal food. The data for the study were collected from primary and secondary sources. Technical data collection was done through the survey sample, field observation, and literature study. The research design uses the mixed method. Research samples comprised 250 halal food SMEs in Jambi Province, Indonesia. The data analysis technique was done using the structural equation (SEM) model and the SmartPLS 3.0 programme. The result shows a positive influence between the entrepreneurial orientation and the consumer engagement on halal food SME’s business performance in Jambi Province. This study will have both managerial implications for practitioners in Indonesia as well as those in other countries and academic implications for researchers who are interested in increasing SME’s business performance.

Defining the Integrated Performance Measurement Systems in Small and Medium Enterprises: An Advanced Model

Purpose: The purpose of this paper is to propose an “Integrated Performance Measurement System” (PMS) addressing the measurement and management of the financial and non-financial performance and “Intellectual Capital” (IC) for the “Small and Medium Entreprises” (SMEs). The paper relies on the “Integrated New Model” (INM) by Pirozzi and Ferulano (2016) that deals with the same task applied to a specific sector. Thus, we propose the modification of the INM model to define a “Renewed and Advanced Model” called “INM*” as integrated PMS for SMEs. 
 
 Design/methodology approach: We used a qualitative method with an inductive and deductive approach to obtain an advanced model INM*. Thus, the SMEs characteristics are translated in our advanced INM* model according to the INM* structure and the IC framework. Moreover, we integrated in our proposed model INM* the “Strategic Management Accounting” (SMA) and the “Systems of Innovation” (SI) perspectives.
 
 Findings: We proposed the advanced model INM* as integrated PMS. This is a model supporting entrepreneurial and innovative SME as well as a conceptual framework summarizing the interactions and the knowledge conversions that occur between the IC components within the innovation processes. Thus, the proposed model is a useful tool for SMEs organizations.
 
 Originality/value: The renewed and advanced model INM* is useful in the academic and practical communities. It exhibits the advantages related to the innovative usage of a unique measurement system devoted to accomplish all the measurement tasks activated by SMEs. In addition, two other models are proposed and, in turn, are available for further research.

Peran Kepuasan Konsumen Sebagai Pemediasi Praktek Kualitas dan Kinerja Bisnis UMKM di Kota Banda Aceh

The Purpose of this research is to determine the effect of quality practice on customer satisfaction and business performance of small and medium entreprises in Banda Aceh. In the research, customer satisfaction employeed as intervening variable between quality practice and business performance. The sample of the research are 50 owners of small and medium entreprises, and then model analysis operarationalized by hierarchical linier methods. The research found that quality practice has a significant and positive effect on customer satisfaction and business performance. The existence of customer satisfaction can be an intervening variable between business performance and quality practice. The mediating effect showed by customer satisfaction is partial mediating.