Micro, Small And Medium Enterprises Owners Research Articles

DOES PERFORMANCE IMPROVE SUSTAINABILITY? EMPIRICAL RESEARCH ON INDONESIAN MSMEs

Micro, Small, and Medium Enterprises (MSMEs) are business sectors known to play an essential role in the economic growth of a country, especially in Indonesia. In this context, the creative industry is one of the fastest-growing business sectors and the promotion of sustainable economic development is evident in the government's active support for improving the growth of MSMEs. Therefore, this study analyzes the impact of financial literacy and market orientation on the MSMEs performance and sustainability. The sample includes 95 respondents occupying the roles of owners or managers in the creative industry of Yogyakarta Province. The results show that financial literacy and market orientation positively impact performance and sustainability. The performance of MSMEs influences business sustainability but financial literacy has no significant impact. Therefore, the implications show the indispensable need for governmental assistance in improving the knowledge base of MSMEs owners concerning financial literacy and market orientation.

The impact of corporate social responsibility on the performance of small and medium-sized enterprises can be mediated by innovation ability and learning orientation

Every company will face complexity, change, and increasingly fierce business competition that occurs not only in large companies but also in Micro, Small, and Medium Enterprises (MSMEs). Achieving competitive advantage for MSMEs requires assistance and guidance from external parties, both government and private, through the Corporate Social Responsibility (CSR) program. This study examines the effect of CSR programs on the innovation ability, learning orientation, and performance of MSMEs. The ability of Innovation and learning orientation to mediate the relationship between CSR programs and the performance of MSMEs. This study's population is the MSME owners receiving CSR program assistance from the government (BUMN) and the private sector in Tulungagung, Blitar, Malang, Batu, and Sidoarjo districts, with a research sample of 165 MSME owners. Based on Structural Equation Modeling (SEM), the study results show that companies or governments that provide CSR program assistance to SMEs contribute to increasing innovation capabilities. For companies or governments, it is necessary to have a model of CSR assistance. Assistance is related to providing training on how to improve product quality, providing understanding on compliance with legal standards in business management, providing understanding on the formation of a comprehensive code of ethics in business management, and providing understanding about the contribution of SMEs to charity. MSME owners are expected to maximize innovation by adopting new products and developing new product variations. In addition, SME owners need to find solutions to improve the production process and start adopting other MSME production processes to be better than their competitors.

Strategi Komunikasi Pemasaran UMKM (Studi Kasus Produk Makanan Mille Crepes Palace di Kutabumi Pasarkemis)

This study aims to analyze and develop an effective marketing communication strategy for MSMEs (Micro, Small and Medium Enterprises) with a case study on Mille Creeps food products in Kotabumi Pasarkemis. Mille Creeps is one of the SMEs engaged in the food industry in the region. This research was conducted with the aim of increasing understanding of effective marketing communication strategies to help MSMEs such as Mille Creeps in facing existing marketing challenges. This research uses a qualitative approach with a case study method. Data was collected through in-depth interviews with the owners and managers of Mille Creeps, direct observation, and analysis of documents related to the marketing strategy carried out by these MSMEs. The collected data will be analyzed using qualitative analysis techniques, by identifying the factors that influence MSME marketing communications and formulating appropriate strategies. The results of this study are expected to provide a better understanding of the challenges faced by MSMEs in terms of marketing and offer communication strategies that can assist MSMEs in increasing the success of marketing their products. It is hoped that the results of this study can contribute to other MSME owners and become a reference for further research in this field.

PENGARUH KEPATUHAN PAJAK TERHADAP PENINGKATAN OMZET UMKM TERKURASI DINAS KEBUDAYAAN DAN PARIWISATA KABUPATEN BOGOR

This study aims to analyze the effect of compliance level and tax awareness of Micro, Small and Medium Enterprises (MSMEs) on increasing turnover. This study used quantitative methods. Primary data collection through questionnaires and structured interviews with 102 MSME owners. Data processing using Structural Equalling Modeling (SEM) and hypothesis testing using Smart PLS (Partial Least Square). The results of the research conducted have proven that there is a significant positive relationship between tax compliance, MSME awareness, and an increase in business turnover of curated actors of the Culture and Tourism Office in Bogor Regency in the last 5 years. Implications in efforts to extensify the business, good and regular tax report records are needed. Removing tax stigma reduces operating profits, but the reality is the opposite. The more compliant the tax obligations of a business entity, the better management has been applied in its business processes. This provides an increase in investor confidence to want to invest. This research has significance to provide a better understanding of the relationship between tax compliance, MSME awareness, and local economic growth. It is hoped that the results of this study can provide a foundation for the formulation of policies that support MSME tax compliance as a strategy to increase the contribution of this business sector to the country's economic development.

Innovation capability and risk attitude mediate the effects of knowledge management and financial literacy on MSME performance

Halal micro, small and medium enterprises (MSMEs) play an important role in the economy, supporting the rapid development of the world's halal industry. The performance of halal MSMEs is influenced by knowledge management and financial literacy. Based on knowledge-based theory, which focuses on internal factors to explain business strategies, innovation capabilities and risk attitudes can mediate the influence of knowledge management and financial literacy on the performance of halal MSMEs. Data collected using quantitative proximity from a sample of 195 owners of halal MSMEs in Malang Raya, Indonesia, was analyzed using structural equation modeling (SEM). The findings showed that knowledge management and financial literacy affect the performance of MSMEs. The innovation ability and risk attitude of MSME owners mediate the effects of knowledge management and financial literacy on the performance of MSMEs. When knowledge is managed effectively, it creates unique capabilities that contribute to improved performance through innovation, realized through innovative products, and risk attitude, realized through optimized opportunities.

Implementasi Alat Pelindung Diri Sebagai Esensi K3 Pada Pekerja Las Konstruksi di UMKM

Occupational safety and health (K3) is very important. There are various types and levels of employment sectors in Indonesia, one of which is in the MSME (Micro, Small and Medium Enterprises) sector which is engaged in the welding service sector. Based on observations made at UMKM "Bintang Jaya Steel", there are many conditions that are quite dangerous to the K3 of workers, because workers carry out welding processes and other work, without using PPE. Some workers also show a lack of understanding regarding the use of PPE in the welding process. This is certainly contrary to the importance of implementing K3 in this type of work. This Community Service activity is carried out with the aim of solving existing problems with partners. So far the partners do not fully know the legal basis for OSH and all the PPE needed for welding work, especially in construction work. The service is carried out by providing socialization and procuring PPE for construction welding work at these MSMEs. The results of this activity can be in accordance with the plan. This is shown from the evaluation and discussion results, where supervisors as well as MSME owners and operators can apply the use of PPE in construction welding work.

Sosialisasi Pengenalan dan Implementasi Sistem Pembayaran Digital Menggunakan QRIS pada UMKM

This study aims to describe the process of socialization, introduction, and implementation of QRIS (Quick Response Code Indonesian Standard) in Micro, Small, and Medium Enterprises (MSMEs). QRIS is an electronic payment system that allows non-cash transactions using QR codes, which has been introduced by Bank Indonesia to improve efficiency and financial inclusion in Indonesia. This study was conducted using a qualitative approach and descriptive research methods. Data was collected through interviews with MSME owners, as well as through direct observation of QRIS implementation in several places. Data analysis was carried out using an inductive approach, by identifying themes and patterns that emerged from the collected data. The results of this study indicate that QRIS socialization to MSMEs is an important step to increase understanding and acceptance of this payment technology. Socialization was carried out through various methods, including counseling, training, and technical guidance organized by the research team. The introduction of QRIS among MSMEs also involved payment service providers, who provided the necessary technical and infrastructure support.

Pengembangan Branding Melalui Konten Instagram, Katalog Dan Stiker Label Untuk Meningkatkan Penjualan Produk UD ALINDRA

This journal discusses the strategies applied to develop branding for Micro, Small, and Medium Enterprises (MSMEs) UD ALINDRA by updating the design of catalogs, label stickers, and Instagram content. The aim of this research is to enhance the effectiveness of promotion, marketing, and product sales for these MSMEs. The method employed involves interviews with the owners of MSME UD Alindra to gain in-depth knowledge about consumer perceptions and the current branding strategies, analyzing existing challenges, and planning for production, promotion, and design updates. Through a creative approach in designing product catalogs, eye-catching label stickers, and Instagram content that aligns with trends and consumer needs, it is expected that this research will significantly contribute to increasing product sales margins, optimizing MSME owners' understanding of strong and effective branding strategies, and reinforcing their awareness of the positive impact gained from product branding, including enhancing consumer appeal and the product image for MSMEs. The results of this study indicate that the implemented developments positively contribute to the promotion of products from MSME UD ALINDRA and offer valuable insights for MSME owners to improve and enhance their product branding strategies.

The Effect of Profit-Sharing on Productivity of Micro, Small, and Medium Enterprises (MSME) in Indonesia

Research on the effect of profit-sharing on large-scale enterprise productivity has been done in many countries. But previous study found an inconsistent results, that is profit sharing is not significantly influence productivity of MSMEs. This research aims to deepen more about the reason is this profit-sharing in its application have or don’t have a significant impact in increasing productivity of Micro and Small Enterprises in Indonesia. The qualitative research method used in this research is through in-depth interview techniques to seven respondents who are MSME entrepreneurs in the manufacturing sector with product types that vary between respondents. The purpose of this interview is to gather information about the system of wages and distribution of bonuses in MSMEs, which have different characteristics from large industries in general. The interview results show that there is profit sharing in Indonesia MSMEs, but it is not considered as financial compensation or work bonus that leads to the next performance target. However, most of them interpreted as "kindness" from MSME owners in form of financial or non-financial benefits. This research brings research implication that profit sharing on MSMEs are unique and can be applied in many forms. Even though in previous quantitative study, profit sharing is stated as not significantly influence the MSMEs productivity and performance, In some cases, profit sharing is proven to increase the motivation and loyalty of employees.

Pengembangan UMKM Melalui Program Desain Kemasan, dan Metode Pemasaran Produk Karak Kaliang Talua dan Roti Kariang dengan Pemanfaatan Sosial Media Instagram

The community engagement aims to empower Micro, Small and Medium Enterprises (MSMEs) through implementing strategies for packaging designs and marketing using Instagram social media. The case studied was Karak Kaliang Talua RF UMKM in Nagari Sianok Anam Suku, which faced challenges in branding and marketing. The problem-solving proposed involves creating new logos stickers and improving packaging quality to increase product value, as well as setting up a social media Instagram account for digital promotion. The implementation stages involved an initial survey, discussions with MSME owners, and submission of results in logo designs and stickers. The results included promotional videos, Instagram accounts, and created email accounts. In its implementation, this program overcame the problems faced by MSME Karak Kaliang Talua RF. The updated logo, sticker and packaging designs have had a positive impact on the product image, increasing consumer appeal. Using Instagram social media as a marketing tool opens up opportunities for market expansion and reaching consumers outside the local area.

Pendampingan Pemasaran Produk Makanan Ringan Berbahan Buah Salak pada UMKM Geplak Salak di Dusun Jengglik

Micro, small and medium enterprises (MSMEs) are essential for economic growth, especially in rural areas. However, many MSMEs need help marketing their products, including Geplak Salak MSMEs in Jengglik Village. Mentoring aims to assist in marketing by utilizing social media and product labels to increase market reach and product selling value. The assistance was carried out in March-April 2022. The target of the assistance was MSMEs that produce food using snake-fruit as the primary ingredient, which was processed into ready-to-eat food, namely Geplak Salak. This assistance used an asset-based community development (ABCD) approach to improve marketing strategies through training in social media. The result of this training was the creation of a product logo that suits the preferences of MSME owners and increased product exposure on the Instagram and Facebook platforms, which can help expand the product's market reach. In conclusion, promoting social media can be an effective solution to overcome the marketing challenges MSMEs face.

Nutritional value and contamination testing assistance for the improvement of the processed food products quality

Micro, Small, and Medium Enterprises (MSMEs) are one of the business sectors driving the country's economy. MSMEs produce many quality products that can compete in the market, where one of the products that is marketed quite a lot is food products. Several MSMEs in the Purwakarta Regency area have not included information on nutritional value and contamination on labels or packaging so these products cannot be widely marketed or traded in official stores and can only be marketed in their production areas. The Community Service activities carried out aim to carry out nutritional value and contamination tests, followed by improving product quality through workshops and mentoring. The food products targeted are simping and instant turmeric drinks produced by MSMEs in Pondoksalam District, Purwakarta Regency. Laboratory test results show that instant turmeric does not meet several SNI standard parameters, so quality improvement is still needed to be able to adapt it to become a product that meets standards. The results of the questionnaire show that several MSME owners in the Purwakarta area have a poor understanding of food product quality standards and ways to improve them. The coaching program for community service activities shows an increase in knowledge and understanding so that food products from Purwakarta MSMEs are expected to meet product quality standards in the future.

Analyzing the Impact of Tax Policy on Financial Performance and Compliance of MSMEs in Indonesia

The complex relationship between tax policy components and the financial performance of Micro, Small, and Medium Enterprises (MSMEs) in Indonesia is examined in this study. A survey was conducted with a sample of 250 MSMEs to capture different industry types, firm sizes, and geographical regions. The study assessed the relationship between tax rates, tax incentives, firm size, industry type, and financial performance indicators using Structural Equation Modeling with Partial Least Squares (SEM-PLS). The structural model yielded important insights, while the measurement model demonstrated good validity and reliability. As lower profitability correlates with higher tax rates, policymakers should consider the tax burden of MSMEs. On the other hand, tax incentives show a good correlation with financial performance, suggesting that they may be useful in encouraging MSME expansion. The complex interaction between firm size industry type and financial performance is highlighted. The SEM-PLS model fits the data well, according to the model fit assessment. To support the sustainable expansion of MSMEs in Indonesia, policymakers and MSME owners can benefit from the results of this study, which has practical implications such as for the Government is the present policies need to be evaluated in order to improve MSME compliance. Meanwhile, it is important for MSMEs to improve their competencies such as financial literacy.

The Impact Of Financial Literacy On Human Capital Development In Micro, Small And Medium Enterprises

This qualitative study aims to explore the impact of financial literacy on human capital development within micro, small, and medium enterprises (MSMEs). The research utilizes a descriptive qualitative approach to delve into the intricate relationship between financial literacy and human capital enhancement. Sampling technique employed purposive sampling to select MSMEs owners and employees who possess varying degrees of financial literacy. Data analysis involves thematic analysis, allowing for the identification of recurring patterns and themes within the collected data. The findings underscore the pivotal role of financial literacy in fostering human capital development within MSMEs, highlighting its significance in promoting entrepreneurial success, enhancing decision-making processes, and facilitating business growth. This study contributes to the existing body of knowledge by providing insights into the mechanisms through which financial literacy influences human capital development within the context of MSMEs.

A pro-environmental survey of Malaysian micro, small and medium enterprises: a cross-sectional study

Background The objective of this study is to examine the relationships among green human resource management, green knowledge sharing, green leadership, environmental commitment, green entrepreneurial orientation and pro-environmental behavior in micro small and medium enterprises (MSMEs) post coronavirus (COVID-19) pandemic. This study serves as one of the pioneer studies in Malaysia and Asia to examine pro-environmental behavior at MSMEs post COVID-19 pandemic. This study provides new knowledge and insights to the literature on pro-environmental behavior at MSMEs in developing countries such as Malaysia. Methods A total of 215 questionnaires were distributed and 146 questionnaires with complete responses were received from managers and owners of the MSMEs at central regions in Malaysia, purposive sampling was used to recruit these businesses. Informed consent was obtained from the respondents. Data was analyzed by using structural equation modelling. Results Environmental commitment, green human resource management and green entrepreneurial orientation positively influence pro-environmental behavior at MSMEs post COVID-19 pandemic. In contrast, green knowledge sharing and green leadership do not influence pro-environmental behavior at MSMEs. Conclusions Practical recommendations has been provided to MSMEs owners and managers to create a conducive working environment that encourages pro-environmental behavior.

PENGUATAN BISNIS PRODUK MAKANAN TRADISIONAL JOJORONG BERBASIS SOCIAL MEDIA MARKETING DI KABUPATEN SERANG

The development of Micro, Small and Medium Enterprises (MSMEs) for Jojorong traditional food has significant potential for strengthening the economic fundamentals of the Banten region. Nevertheless, the majority of Kebantenan culinary MSMEs still encounter various obstacles in business development, especially from the marketing aspect. The digital era of social media marketing (social media marketing) has become the main pillar for culinary MSMEs to expand market coverage by strengthening marketing aspects. In community service in Kadubeuruem Village, Serang Regency which was held on 10th June 2023, assistance was given to the strategy of strengthening the MSME business for traditional Jojorong food through the use of social media as a social media marketing channel. In this assistance, knowledge is provided about techniques for using social media marketing to expand the scope of the original Banten culinary market. The success of this activity can be seen from the Jojorong MSME owners who can take advantage of social media marketing as the best channel to introduce Jojorong traditional food globally. From the results of this activity it is known that strengthening business through social media marketing is the best means of developing Jojorong culinary MSMEs in Kadubeureum Village, Serang Regency.

The Effect of Sharia Financing Availability on Economic Growth of MSMEs in Sukabumi

This research investigates the effect of the availability of Islamic financing on the economic growth of Micro, Small, and Medium Enterprises (MSMEs) in Sukabumi. A sample of 197 MSMEs participated in the study, providing data on Islamic financing utilization, financial performance indicators, and other relevant variables. The analysis employs Structural Equation Modeling with Partial Least Squares (SEM-PLS) to examine the relationships between these variables. The results reveal a significant and positive relationship between the availability of Islamic financing and the economic growth of MSMEs. Additionally, the study uncovers the mediating role of financial performance indicators, indicating that improved financial performance acts as a mechanism through which Islamic financing positively influences economic growth. Furthermore, the moderation analysis highlights the varying impact across different enterprise sizes, with medium-sized enterprises experiencing a more pronounced positive effect. The practical implications of these findings are discussed in the context of policy, financial institutions, and MSME owners. Policymakers can use the results to design targeted policies, financial institutions can refine their strategies, and MSME owners gain insights into the benefits of utilizing Islamic financing.

Empowering MSMEs: The Impact Of Financial Literacy And Inclusion

Micro, Small and Medium Enterprises (MSMEs) play a crucial role in the global economy by making a significant contribution to economic growth, job creation and increasing social inclusion. However, many MSMEs face challenges in optimizing their potential due to limited resources and access to financial services. Financial literacy among MSME players can be a fundamental pillar in forming smart and sustainable financial decisions. Financial inclusion provides wider access to financial services, such as banking and insurance, for MSMEs. With strong financial inclusion, MSMEs can overcome financial obstacles and take more measured risks, encourage innovation and stimulate local economic growth. The method used in this research is Systematic Literature Review (SLR) by collecting and analyzing journals related to keywords. Based on the literature study conducted, it was found that the importance of increasing financial literacy is the main key in helping Micro, Small and Medium Enterprises (MSMEs) overcome financial challenges and increase the effectiveness of business decision making. The need for more targeted financial education programs for MSME owners was also highlighted. In addition, supporting financial inclusion by providing wider and easier access to financial services can be a driver of MSME growth. Steps such as simplifying the credit process and integrating digital payment services are considered vital. Research also shows that there is a strong synergy between financial literacy and inclusion, where better financial literacy prepares MSMEs to utilize financial services, while effective financial inclusion facilitates their access to such services. Despite these developments, research highlights gaps in access to education and financial technology, emphasizing the need for more inclusive and holistic efforts to support MSME growth.

ENHANCING MARKETING PERFORMANCE IN MSMES: EMPIRICAL RESEARCH FROM SEMARANG, CENTRAL JAVA, INDONESIA


 
 
 
 Micro, Small, and Medium Enterprises (MSMEs) are one of the most developed creative industries in Indonesia and are able to make significant contribution to Indonesia's GDP (Gross Domestic Product), but the high growth of MSMEs has not been able to create sustainable MSMEs performance. Factors that influence each other include network capability, marketing performance, knowledge creation, and product innovation. This study aims to enhancing marketing performance in MSMEs: empirical research from Semarang, Central Java, Indonesia. The sample in this study were 109 respondents of MSME owners in Semarang City. The data collection method used questionnaire distributed to MSMEs owners through Google Forms. Data analysis used descriptive statistics and structural equation modelling with the Smart PLS program. The results showed that network capability has positive and significant effect on product innovation, product innovation has positive and significant effect on marketing performance, and network capability has positive and significant effect on marketing performance.
 
 
 
 

Innovative work behavior and self-efficacy: Does entrepreneurial leadership impact MSME business performance?

The current business performance of micro, small, and medium enterprises (MSMEs) must be able to innovate in business strategies in a competitive era. MSMEs are at the forefront of contributing to Indonesia’s Gross Domestic Product (GDP) and have a considerable role in the Indonesian economy. The study aimed to assess factors contributing to the business performance of MSMEs in Sidoarjo Regency, Indonesia. The total population was 277 MSME owners; using the purposive sampling technique with the Slovin formula, 144 respondents were obtained with an error rate of 5%. Data analysis used SEM-PLS with SmartPLS-3 software. The findings show that entrepreneurial leadership directly affects business performance and innovative work behavior, and innovative work behavior affects business performance. Then, entrepreneurial leadership influences business performance through innovative work behavior. Interestingly, there is no moderating effect of self-efficacy on the effect of entrepreneurial leadership on business performance. MSMEs need to have innovative work behavior to improve their business performance by applying entrepreneurial leadership to increase innovation in business strategies to compete and survive in a competitive era.