ANALYSIS OF SMEs PERFORMANCE IN INDONESIA Erna Herlinawati, Amir Machmud, Suryana
Universitas Pendidikan Indonesia
Abstract
This study aims to analyze the performance of SMEs in Indonesia in terms of sales growth, increasing the number of workers, market share, profitability and asset addition, by exploring the assistance provided by the government in the form of financing. This study is motivated by the phenomenon of SMEs as the largest economic actors group in the Indonesian economy, faced with various problems and constraints, including limited capital and access to capital, the difficulty of product marketing, and low management capabilities. The method used in this study is an explanatory survey, with data collection techniques through questionnaires, interviews and documentation studies. The population in this study is SMEs in West Java Indonesia who have obtained financing from Micro Financial Institutions, especially Banks with a sample size of 150 respondents. The data has been collected, then analyzed by using descriptive statistics, Importance Performance Analysis and Structural Equation Model (SEM). The results of the study show that after obtaining financing, MSME performance has increased significantly. This finding implies that to become a successful SMEs, SMEs should pay more attention to marketing strategy, capital strengthening and management capability of course with support from the Government through assistance involving banks, academics, communities and other interested parties in supporting the success of SMEs in Indonesia.
Keywords: Performance, SMEs, Indonesia
Topic: Strategic Management, Entrepreneurship and Contemporary Issues
