The Effect of MSMEs Growth on the Open Unemployment Rate in West Java Province

Abstract

One of Indonesia's national development plans is held in order to realize efforts to improve people's welfare. People's businesses that have the largest contribution as an important pillar in economic growth in Indonesia are Micro, Small and Medium Enterprises (MSMEs). This sector business has a role in supporting the economy and is able to survive in any situation, as evidenced by the 1998 monetary crisis. The purpose of this study is to analyze the effect of MSME growth on the decline in the open unemployment rate in West Java. The method used is explanatory research with data analysis techniques using panel data regression analysis. The data used is panel data of 7 cities in West Java Province in the period 2012 to 2019. The results obtained are that there is a significant negative effect between the growth of MSMEs on the open unemployment rate in West Java Province. The results obtained are expected to be used in an effort to reduce the unemployment rate in West Java Province by conducting training so that the quality of human resources for MSME actors in West Java Province increases.

Effects of Social Capital, Financial Access, Innovation, Socioeconomic Status and Market Competition on the Growth of Small and Medium Enterprises In West Java Province

“…Research by [14], [19], [24] found that SES has a significant positive effect on the growth of SMEs in West Java Province. The study found that entrepreneurs with higher levels of education and experience had higher levels of business performance and were more likely to adopt new technologies and business practices.…”

“…While West Java Province is known as the largest MSME producing province in Indonesia [19], and there are ongoing efforts to support their growth [14], there is no specific data on their current growth rate. Some studies have investigated the effect of MSME growth on unemployment rates in West Java [24], while others have highlighted the significant contribution of MSMEs to job creation in Indonesia [25]. A recent study conducted a survey of 15 provinces in Indonesia, with around 60% of surveyed MSMEs located in Java, including West Java Province [20].…”

Pengaruh Digitalisasi Akuntansi terhadap Efisiensi dan Pengurangan Biaya pada Perusahaan Wirausaha UMKM di Kota Bandung

“…Pemerintah kota telah membentuk gugus tugas khusus untuk pemulihan ekonomi di kota tersebut, yang telah ditugaskan dengan tugas-tugas komprehensif untuk mendukung kegiatan ekonomi di Bandung. UMKM di Bandung menghadapi tantangan dalam mempertahankan bisnis mereka, dan tingkat daya saingnya masih rendah (Nurani et al, 2020;Supandi et al, 2022). Penelitian (Noviaristanti & Huda, 2022;Nurani, 2021;Saputri & Utami, 2023;Supandi et al, 2022) juga menyoroti bahwa skema pembiayaan untuk UMKM masih terbatas, yang merupakan salah satu faktor yang menyebabkan UMKM di kota Bandung memiliki daya saing yang rendah.…”

“…UMKM di Bandung menghadapi tantangan dalam mempertahankan bisnis mereka, dan tingkat daya saingnya masih rendah (Nurani et al, 2020;Supandi et al, 2022). Penelitian (Noviaristanti & Huda, 2022;Nurani, 2021;Saputri & Utami, 2023;Supandi et al, 2022) juga menyoroti bahwa skema pembiayaan untuk UMKM masih terbatas, yang merupakan salah satu faktor yang menyebabkan UMKM di kota Bandung memiliki daya saing yang rendah. Makalah tersebut menyarankan bahwa implementasi manajemen sumber daya manusia pada skala UMKM adalah solusi yang disarankan untuk meningkatkan tingkat pola pikir hijau di antara tenaga kerja di sektor industri kreatif UMKM.…”

The Influence of Family Environment on Generation Z's Entrepreneurial Intention through Self-Efficacy

“…This high percentage shows that unemployment is one of the problems in the development of this industrial revolution era. As an effort to reduce the unemployment rate, the implementation of Micro, Small and Medium Enterprises (MSME) to Large Enterprises is another alternative so that the working age population in Indonesia can do it (Gherghina et al, 2020;Supandi et al, 2022). In fact, the number of entrepreneurs in Indonesia is still lower than other countries in the Southeast Asia region.…”