Micro Small Medium Enterprises Research Articles

The implementation of tax imposition Micro Small Medium Enterprise (MSME) in the form of limited companies after the expiry period of final income tax

The MSME tax policy has undergone several changes and changed regulations. In 2022, the government again re-regulated MSME taxes, namely PP Number 55 year 2022 regarding Adjustments to Regulations on Income Tax. This research uses a descriptive qualitative approach. With the issuance of PP Number 55 of 2022, this provides an opportunity to increase the taxes owed by MSMEs and researchers also want to illustrate to the government that after this regulation is issued what impact will be felt by MSME Taxpayers, so that this will later be used as an evaluation by the Government. The result of this research is the calculation for the 2023 tax year using the rate of Article 17 of the Income Tax Law with the rate of 22%, and an additional 50% tax reduction as the Income Tax Law Art 31 E, resulting in the tax payable of IDR 4,240,946.16. PT ABC must carry out the bookkeeping obligations in reporting the tax liabilities and create proof of transactions for every business transaction to avoid a high tax burden.

Developing Bilingual Website for Cussaybienna Micro Small Medium Enterprises Eco-Print in Bojonegoro

This study focuses on the development of a bilingual website for Cussaybienna, a Micro Small Medium Enterprise (MSMEs) specializing in eco-print products based in Bojonegoro. The primary goal is to enhance the company’s digital presence and expand its market reach by creating an online platform that caters to both local and international customers. The website provides detailed information about the company, including its profile, product catalog, contact details, and operational policies, all presented in both Indonesian and English. The research utilized the ADDIE model (Analysis, design, development, implementation, and evaluation) to guide the website’s development process systematically. Following its launch, the website was evaluated by 32 respondents, with result indicating a high level of satisfaction- 56.3% of respondents expressed being very satisfied with the overall website, while 59.4% strongly agreed that the content provided was highly informative. The findings suggest that the bilingual website effectively meets user expectations and significant contributes to the company’s digital marketing strategy, positioning Cussaybienna as a competitive cpmpetitor in the eco-fashion industry.

Does the Merger of the Indonesian Islamic Bank Matter for Its Social Mission of Economic Empowerment?

Research Originality: Economic empowerment through financing Micro Small Medium Enterprises (MSMEs) is one dimension of the social mission of sharia banking in Indonesia. The merger action of Bank of Sharia Indonesia (BSI) raises the question of whetherthe performance of economic empowerment has changed.Research Objectives: This research aims to analyse the differences in the BSI’s performance of economic empowerment during preand post-merger periods and analyse the issues and strategies for improving BSI's post-merger economic empowerment performance.Research Methods: It is a research using mixed method combining a quantitative explorative analysis approach using Wilcoxon Test, and a qualitative one using Analytic Network Process.Empirical Results: This research finds that BSI's economic empowerment performance has increased in terms of the quantity but decreased in terms of proportion in the post-merger period. ANP research demonstrates that risk management is a priority issue for the BSI post-merger period. The social mission of economic empowerment indicates several priority issues, namely, the relatively higher rate of profit margin than interest, the inadequate supervision model, the low rate of risk management literacy, and the relatively higher risk of profit loss sharing (PLS)-based financing. The strategy analysis indicates that policy intervention for BSI’s MSMEs financing is a top priority in improving the performance of its economic empowerment.Implications: This research recommends some recommendations for sharia banks’ MSMEs financing equivalent to the one of conventional banks. Economic digitalization as technological means to widen accessibility of economic empowerment and distribution segmentation focusing more on the halal sector.JEL Classification: A13, G21, G34How to Cite:Isman, A. F., & Hidayah, N. (2024). Does the Merger of the Indonesian Islamic Bank Matter for Its Social Mission of Economic Empowerment? Etikonomi, 23(2), 333 – 352. https://doi.org/10.15408/etk.v23i2.39810.

PELATIHAN CANVA BAGI PENGGAGAS UKM DESA JIWO WETAN DALAM RANGKA PENINGKATAN BRANDING UMKM KLATEN

MSME (Micro Small Medium Enterprise) have biggest impact for Indonesian Economy. 99 percent of industry in Indonesia is MSME. However, they still have to struggle for the marketing aspect. That can be happen because they underestimate the power of branding. Jiwo Wetan is one of village in Klaten Regency. MSME in Jiwo Wetan have same problem too. They have never been create poster or logo their product. So, this community service activities would to explained about branding. Moreover, the team of community service activities University of Widya Dharma Klaten would to organize a branding training with Canva Application to them. This activities is expected to introduce branding to them and give them slightly ability to use Canva Application.

Systematic Literature Review: Digital Financial and MSME Performance in Indonesia

The aim of this study is to examine trends and developments in research related to digital financials and the performance of small and medium-sized microenterprises in an effort to improve the economy of small and medium-sized enterprises in Indonesia. Digital Financial research bibliometric data is taken from secondary data via the Publish or Perish application search engine version 8 with the search engine option feature of the Google Scholar application menu. The study finds information about how many research articles and keywords are used, the number of publishers, as well as the reputation rankings of any journal that publishes digital financial and micro and medium enterprises. Performance themes; the year trend begins to emerge and the majority of queries on digital financial and micro enterprises performance; the implications generated by previous investigations related to Digital Financial, and the performance of micro and small enterprises; the impact of digital financial withdrawal by micro and medium enterprises can face uncertain global economic challenges; the role of Digital Financial can enhance financial inclusion; the government has an important and vital role in formulating policies related to the development of the digital financial ecosystem Micro Small Medium Enterprises (MSME) ; the implementation of Digital Finance is well implemented by the Micro Finance Institutions to accelerate the positive performance of MSME.

Optimisation of corn silk tea production, and its antioxidant profile

Following COVID-19 pandemic, functional foods and beverages continue to develop, especially those with high antioxidant activity. The functional beverage from corn silk can be processed into brewed tea. The critical points in the making process of corn silk tea are the drying equipment, drying temperature, and drying time. With efficient method, corn silk tea can produce high antioxidant activity. The present work optimised the temperature and drying method based on antioxidant activity. The results of the present work are expected to be used in micro/small/medium enterprises (MSMEs) to produce corn silk herbal tea. The present work used Randomised Block Design (RBD) with two factors; drying temperatures (45, 55, and 65°C) and drying equipment (cabinet and oven) for 5 h. The analysis carried out was antioxidant activity and profiling using LC-HRMS (liquid chromatography high-resolution mass spectrometry) that ran in a positive (+) mode. The processing of corn silk tea using cabinet drying at 65°C for 5 h produced antioxidant activity of 82.00 ± 0.75%. This was higher than commercial black tea (81.71 ± 0.15%) and commercial green tea (78.37 ± 0.43%). The analysis using LC-HRMS showed that the corn silk tea contained betaine (N,N,N-trimethylglycine) (RT 0.928), 6-methylquinoline (RT 4.741), hesperidin (3’,5,7-trihydroxy-4’-methoxyflavanone) (RT 302.07817), luvangetin (10-methoxy-2,2-dimethylpyrano[3,2-g]chromen-8-one) (RT 258.08837), embelin (2,5-dihydroxy-3-undecyl-1,4-benzoquinone) (RT 13.074), and eucalyptol (1,8-cineole) (RT 13.325).

Studi Senyawa Perisa pada Online Marketplaces di Indonesia: Jenis Senyawa Perisa dan Legalitasnya

Various flavoring agents purchased by micro small medium enterprises (MSME) could be obtained through online marketplace. Their types and legalities have never been investigated in Indonesia. The objective of this study was to obtain an overview of the availability of the flavoring agents on online marketplace and their legality. The legality is defined as the flavoring agents which are marketed and have its compliance to regulation of Indonesian Food and Drug Agency (BPOM), otherwise is illegal. The profiles of online marketed flavoring agents on marketplace are obtained through online survey of flavorings advertisements documented using a check sheet as the tool. Tokopedia and Shopee were chosen as samples in this study because they both are the most popularly e-commerce sites clicked by consumers. A non-probability sampling and sample screening were carried out to obtain eligible samples until it achieved a predetermined amounts. There were 399 flavoring agents observed, with result of 262 legal flavoring agents (65.7%) and the rests were illegal. Mostly, they were of domestic flavorings (98.5 and 88% respectively). The cases of non-conformities forward the rules were: advertising without packaging, repacking, unregistered brands, and incompatible information in their packaging and/or labels when it was cross-checked with BPOM data. Due to the high number of illegal flavoring agents sold online, monitoring of the online flavoring markets should become a priority program of Indonesian government, while consumers need to be cautious. The traders and producer have an urgent action in taking a moral responsibility for the legality of the flavoring agents being marketed.

Strategic human resource management in digital marketing and business: Birds eye from Indonesian enterprise

Human resources are considered an important resource for companies today because the knowledge that a person has can be used to become an organisation’s competitive advantage. In addition, digital marketing has an important role in determining the performance of business entities because we have now entered the digital era, which certainly cannot be separated from the influence of technology on marketing through social media. Therefore, this study aims to examine the effect of Strategic Human Resource Management (SHRM) in digital marketing on business entity performance, which is determined by digital marketing in a business entity. The data in this research was collected by distributing questionnaires to 455 Micro Small Medium Enterprises (MSMEs) in Indonesia. Data analysis used the Moderated Regression Analysis (MRA) method. The research results show that strategic human resource management variables influence business performance, and the support of digital marketing capabilities and activities strengthens this influence. Based on the results of this research, existing business entities must strengthen organizational performance by strengthening human resources in basic soft skills and hard skills and skills in digital marketing and improving marketing activities using digitalization.

The Empowerment of Micro, Small Medium Enterprises (MSMEs) Bussiness Through Productive Zakat as an Effort to Alleviate Poverty and Unemployment in Indonesia

Indonesia become a country with the largest Muslim population in the world in 2022. This is in line with the number of MSMEs in Indonesia. MSMEs have a major role in economic growth and reducing poverty in Indonesia. So MSMEs become the biggest contribution to poverty alleviation and employment in Indonesia. Therefore productive zakat is an appropriate, alternative and profitable instrument for developing MSMEs as well as breaking the cycle of poverty and unemployment in Indonesia. The purpose of this study is to determine the potential of productive zakat in empowering MSMEs businesses to alleviate poverty and unemployment in Indonesia. This research is a descriptive qualitative research by describing that zakat productive MSME businesses are able to alleviate poverty and absorb labor. The data sources used are primary data and secondary data. The data collection technique used is library research (library research), namely collecting or compiling data by using written materials regarding productive zakat and MSMEs. The results of this reserch is show that the presence of productive zakat is able to overcome the constraints on the lack of capital faced by MSMEs. This is supported by the large number of Muslim communities in Indonesia. MSMEs empowerment is carried out by providing assistance and coaching to help people with low education in developing their knowledge and skills. Then, it is hoped that it can help alleviate poverty and absorb labor so that it can increase economic growth in Indonesia.

Development of Tourism Villages Through Digitalization and Micro/Small/Medium Enterprises (MSMEs) Potential in Kepyar Village, Wonogiri

Development of Tourism Villages Through Digitalization and Micro/Small/Medium Enterprises (MSMEs) Potential in Kepyar Village, Wonogiri

Greening the future: identifying and mitigating environmental hotspots in the MSME sector - a wall mixer case study

ABSTRACT In response to concerns about depleting natural resources, organisations are developing eco-friendly products and services. This study examines the role of manufacturing industries and services in sustainable resource utilisation, focusing on the Micro, Small, Medium Enterprises (MSME) sector, a significant contributor to global Gross Domestic Product (GDP). Using Life Cycle Assessment (LCA) methodology, the research identifies hotspots within the production processes of three companies manufacturing bathroom fittings, specifically the ‘Wall mixer’ component used in households and hotels. The study calculates In response to concerns about depleting natural resources, organisations are developing eco-friendly products and services. This study examines the role of manufacturing industries and services in sustainable resource utilisation, focusing on the MSME sector, a significant contributor to global GDP. Using Life Cycle Assessment (LCA) methodology, the research identifies hotspots within the production processes of three companies manufacturing bathroom fittings, specifically the ‘Wall mixer’ component used in households and hotels. The study calculates CO2 equivalents for each phase of the product lifecycle, identifying average gate-to-gate process values across the companies. This comparison reveals specific hotspots, with a significant one identified, leading to recommendations for industries to prioritise this issue for immediate energy savings. The primary focus is to establish an initial benchmarking system to reduce CO2 equivalents in cradle-to-gate or gate-to-gate systems. Implementing these measures is expected to reduce the carbon footprint, energy consumption, and raw material usage, ultimately enhancing profitability for the three companies. equivalents for each phase of the product lifecycle, identifying average gate-to-gate process values across the companies. This comparison reveals specific hotspots, with a significant one identified, leading to recommendations for industries to prioritise this issue for immediate energy savings. The primary focus is to establish an initial benchmarking system to reduce CO2 equivalents in cradle-to-gate or gate-to-gate systems. Implementing these measures is expected to reduce the carbon footprint, energy consumption, and raw material usage, ultimately enhancing profitability for the three companies.

Improving The Quality of Sanitation in The Popcorn Production Process at UMKM Ziqma Production

Ziqma Production is an Micro, Small Medium Enterprise (MSME) that produces snacks with a superior product, popcorn. The pop corn production process at Ziqma is still simple and does not yet implement quality control management and food safety. Therefore, the aim of this activity is to provide education about implementing sanitation to improve the quality of the production process. This program was implemented on August 3 2023. The activities consist of three stages, namely coordination with partner, counseling about CPPOB principles, and implementation of the use of production sanitation equipment according to Cara Produksi Pangan Olahan yang Baik (CPPOB) principles. The result of this activity is that Zigma workers know the theory about sanitation. Apart from that, be able to use sanitary equipment, such as aprons, masks, gloves and head coverings. It is hoped that after this activity, all workers can implement sanitation so that the quality of popcorn products can be maintained.

Implementation of the Halal Assurance System and MSME Business Development Strategy: the Case of a Coffee Shop

This study aims to help a micro-small-medium enterprise (MSME), in this case Dakara Coffee, meet the requirements of HAS 23000. The identification carried out in this study was in the form of primary and secondary identification to apply the HAS Manual. The HAS Manual is designed based on the actual conditions of Dakara Coffee and contains 11 HAS criteria. The results showed that several identified food and beverage ingredients did not meet the HAS 23000 criteria and did not have supporting documents. Several improvements are then recommended such as replacing materials that do not comply with HAS 23000 and completing documents for food and beverage ingredients. Employing AHP method, the main priority for Dakara Coffee business development is location, followed by various other aspects such as halal management, branding strategy, product innovation, and organisational management.

The effectiveness of case method in developing intrapreneurship among business students

Intrapreneurship skill has considered as the alternative learning outcomes of entrepreneurship education. However, entrepreneurship teachers need a complex learning program to develop intrapreneurship among business students. At the same time, The Ministry of Education and Culture of The Republic of Indonesia recommends university teachers implement case methods to deliver complex learning environments and build critical skills among students. Therefore, this study aims to i) examine the effect of micro small medium enterprise (MSME) cases on the intrapreneurship of business students, ii) investigate the influence of MSME cases on flow experience in entrepreneurship education and iii) investigate the effect of flow experience during entrepreneurship education on intrapreneurship skill. We used field experiments on entrepreneurship and digital business student in business development courses. The result indicates that the case method effectively developed student intrapreneurship skill and flow experience during the course positively impacting student intrapreneurship skill.

The Impact of Digital Marketing and Innovation on Marketing Performance is Influenced through the Development of a Competitive Advantage

Objective: The aim of this research is to explain how Micro Small Medium Enterprises (MSMEs) implement digital marketing and innovation, achieve competitive advantage, and improve marketing performance. The study also examines how digital marketing and innovation influence marketing performance through competitive advantage. This study centers on detailing and examining these aspects, involving an investigation carried out on small-scale food and beverage entrepreneurs in Bekasi, Indonesia. Theoretical Framework: Este estudo está fundamentado na Teoria da Visão Baseada em Recursos. Ele enfatiza a importância das capacidades dinâmicas, que são a habilidade de uma empresa ajustar seus recursos e capacidades para se manter competitiva em condições de mercado em constante mudança. As organizações podem manter sua vantagem competitiva e alcançar sucesso a longo prazo ao adaptar-se continuamente e introduzir novas ideias. Method: This study utilizes quantitative methodologies. 100 food and beverage micro business owners were surveyed using the simple random sampling method. The PLS technique is utilized in the data analysis process. Results and Discussion: The findings indicate that competitive advantage is positively impacted by digital marketing and innovation. Digital marketing also has a beneficial impact on marketing effectiveness. Competitive advantage plays a role in connecting digital marketing with marketing performance, as well as linking innovation with competitive advantage. Innovation does not impact marketing performance. Research Implications: Entrepreneurs must integrate digital marketing to enhance marketing effectiveness and incorporate digital marketing and innovation to boost competitive edge. It is necessary to engage in constant communication with customers using online platforms, ensure fast and efficient access to information, keep product content up-to-date and in line with current trends, deliver products as scheduled, and provide frequent updates on product availability in the market. They must also implement modifications in their business operations to effectively and efficiently meet the demands and desires of their customers. Originality/Value: This research adds to the existing body of research by validating that digital marketing can enhance marketing effectiveness both directly and through competitive advantage. Innovation does not have a direct impact on marketing performance. In order to enhance the marketing performance of food and beverage MSMEs, innovation must serve as a competitive edge. The MSME owners can be motivated by the research results to adopt digital marketing and innovation, leading to a competitive edge for their products. This will help enhance their marketing performance and ensure long-term sustainability.

How to Optimize Promotion Tactics for Sustainable Tourism Product through 360-degree Communication? (Case Study in Poncokusumo, Malang)

The presence of a tourism village in Indonesia might be viewed as an opportunity to strengthen small, micro, and medium-sized businesses as a driving force in the local economy. The goal of Micro Small Medium Enterprises (MSMEs) development is to create a tourism village supported by MSMEs that combines natural and culture attractions, local gastronomic and artisan, and public service facilities. Poncokusumo village, one of Malang’s tourism villages, has a distinct personality when compared to other Malang tourism villages. The goal of this research is to look at promotional strategies for sustainable tourism products in Poncokusumo village to strengthen the village’s tourism identity. This is a qualitative study in which the informants were chosen on purpose; they are the head of Poncokusumo village, the leader of the tourist local community (Pokdarwis), and an entrepreneur. According to the research findings, the 360-degree communication approach is best for supporting offline promotional operations. 360-degree marketing communication is also being considered to strengthen tourism village identity. A 360-degree model of marketing communication is built in three stages: pre-purchase, purchase, and post-purchase in a sustainable tourist product. This paper also contributed to the sustainable development goals which focus on decent work and economic growth. The existence of sustainable product in tourism village is an attraction that encourage local economic growth.

Intellectual capital and competitiveness improvement among micro-small-medium enterprises: a resource orchestration view

PurposeThe study aims to test the framework that proposes the role of resources (intellectual capital) in mobilizing entrepreneurial orientation that influences the competitiveness improvement of micro-small-medium enterprises (MSMEs) under the lens of resource orchestration theory.Design/methodology/approachIn this study, 347 respondents from the MSMEs participated through a structured questionnaire. For the data analysis purpose, the structural equation modeling technique was employed using SmartPLS software.FindingsThe results suggest human, structural, and relational capital are significant antecedents of entrepreneurial orientation, which leads to competitiveness improvement. The findings also indicate the mediation role of entrepreneurial orientation between intellectual capital and competitiveness improvement.Practical implicationsThe current study presumably will supplement the promising research effort to progress the research orchestration theory and also could be a strategic guideline for the managers/owners of the MSMEs.Originality/valueThis study is possibly a novel attempt to divulge the association between intellectual capital (tripartite model) and competitiveness improvement of firms under the lens of resource orchestration theory.

Impact of solar energy subscription on the market performance of micro, small & medium enterprises in Nigeria

Access to clean, affordable and reliable energy is a major developmental challenge in Africa. The present study investigates the determinants and impact of adopting solar energy on Micro, Small & Medium Enterprises (MSMEs) market performance in Lagos, Kano and Ondo states in Nigeria using survey data from 700 MSMEs. We estimated the average treatment effect on the treated (ATT) and average treatment effect (ATE) of adopting solar energy on MSMEs’ income. The findings indicate that adoption of solar energy is associated with an increment in MSMEs’ monthly earnings by 27% (nearest neighbor matching), 24% (Kernel matching) and 23% (radius matching). The study points out that powering MSMEs through solar energy decreases their energy expenditure. By adopting solar energy, MSMEs using the national grid and standby generators can cut down their average monthly energy expenditure by 36.64%. MSMEs’ decision to adopt solar energy is influenced by trade-offs between the possible production, economic and environmental effects as well as business owners, business, and product characteristics. To the extent that governments, non-governmental organizations and policymakers are committed to providing reliable, cheaper and cleaner energy systems, they must raise broader awareness of the potential benefits of adopting solar energy.

The Determinant of Micro, Small, and Medium Tax Revenue on Tax Office Performance Moderated the Tax Target

This study aims to analyze the factors that affect the performance of tax office and micro small medium enterprises (MSME) tax revenue. The research method used is quantitative. The data is collected by distributing questionnaires to 100 micro small medium enterprises (MSME). Data was processed by using Structural Equalling Modeling (SEM) and hypothesis testing using the SmartPLS (Partial Least Square) method. The results of the study on the determinants of tax revenue consisting of policies, socialization, the number of tax returns, turnover, and WP compliance in the implementation of tax obligations have a significant effect on micro small medium enterprises (MSME) tax revenue in Bogor Regency. The study also found that socialization of policies and regulations for MSME needs to be improved in order to optimize tax office performance and tax revenue. In addition, the number of registered taxpayers is not balanced with the total number of MSME, moreover the taxpayer of MSME is dominated by the micro scale. Implications for tax office performance that cause socialization and to micro small medium enterprises (MSME) are not optimal. By understanding tax policies and regulations for MSMEs it is hoped that compliance and awareness of MSME taxpayers in fulfilling their tax obligations.

Keripik Kulit Singkong sebagai Upaya Pemanfaatan Limbah Bernilai Ekonomis di UMKM Keripik Selo Gedong

<strong><em>Cassava Peel Chips as an Effort to Utilize Economic Value Waste in Keripik Selo Gedong MSME</em></strong>. <em>Micro Small Medium Enterprise (MSME) Selo Gedong Chips has produced various chips, including cassava, banana, and bote. The obstacle is that cassava peel waste, which reaches 20% of the total cassava produced so far, has only been used as animal feed and has not been widely used for human consumption. Even though cassava peel still has the potential to be a healthy food because its fiber content is 15.20% (w/w). However, the high content of cyanide acid (HCN) (419.8 mg/kg) and its toxic nature is a weakness so it needs to be treated to reduce the toxicity. This activity aims to process cassava peel waste into cassava peel chips with economic value. To increase the selling value of the cassava peel chips, a cassava peel chip oil drainer was provided to increase the product's shelf life and attractive packaging was introduced for the cassava peel products. Based on the results of training in making cassava peel chips, soaking in salt for three days succeeded in reducing cyanide acid levels to a concentration suitable for consumption, namely 4.32 ppm. The formulations most preferred by the panelists were the balado flour and original flour formulations. One 80-gram package of cassava peel chips can be sold for IDR 6,500.00. Judging from the evaluation aspect, the enthusiasm of the training participants in making cassava peel chips has a high score. Apart from that, looking at the skill aspect, participants were able to produce cassava peel products that were safe to consume and crunchy with attractive packaging.</em>