How does toll road impact accessibilities, trades, and investments in short term? A case study of Cipali toll road in West Java, Indonesia

To increase inter-region connectivity, the Indonesian government initiated infrastructure projects such as toll roads, airport, highways, as well as agriculture ones throughout the countries. One of the big projects in road infrastructure was the Cikampek–Palimanan (Cipali) toll road in West Java with a budget of more than USD1 billion which started to operate in July 2015. This paper is aimed to evaluate the impact of the toll road on accessibilities, trades, and investments in the region it traverses. To carry out the analysis, we used qualitative approach, difference-in-difference approach, and ANOVA, utilizing three kinds of data. The first data is collected from a survey of 331 small-medium enterprises (SMEs) in the logistics and the hotel and restaurant industries. The second one is bank loan data sourced from Bank Indonesia, while the third one is investment data from Investment Coordinating Board of Indonesia (BKPM). After two years of its operation, Cipali toll road has increased accessibility, mobility, trade, and investment in the region it traverses. The travel time was reduced by 39%, while the cargo volume of the local businesses increased by 30% to 40%. These led to an improvement of wholesale trade volume in almost all regencies. However, SMEs in the hotel and restaurant industry along the traditional northern coastal highway in Subang, Indramayu, and Brebes experienced a decline due to the traffic shifting. Meanwhile, investments from national companies especially those of labor-intensive manufacturing industries flowed significantly especially to Subang and Majalengka, which reflected a “sorting effect”. However, investments from local and foreign businesses did not increase significantly yet after 2.5 years of toll operation. To reap the benefit from the presence of Cipali toll road, the local governments should improve the ease of doing business to attract investments that boost employment in return. In addition, given a better accessibility from Greater Jakarta and a large number of potential visitors passing through the toll road, local businesses in the trade sector would benefit if they could promote the local attractions such as in tourism activities supported by the local government. The latter strategy should also be implemented by the local governments and local businesses in the northern coastal traditional route to minimize the negative impact of the toll road due to the traffic shifting. This strategy should be strengthened through increasing connectivity from the toll exits to local business areas and through increasing the ease of doing business.

Download Full-text

MSME’S DEMOGRAPHIC AS MODERATION IN THE IMPACT OF PERCEPTION AND UNDERSTANDING OF BOOKKEEPING TOWARDS QUALITY OF FINANCIAL REPOR

Economics and Business Solutions Journal ◽

10.26623/ebsj.v3i1.1478 ◽

2019 ◽

Vol 3 (1) ◽

pp. 1

Author(s):

Cahyani Tunggal Sari ◽

Lukman Ahmad Imron Pahlawi

Keyword(s):

Quantitative Research ◽

Bank Loan ◽

Financial Report ◽

Moderating Variables ◽

Report Quality ◽

Business Size ◽

Small Medium Enterprises ◽

Medium Enterprises ◽

The Impact

Micro Small Medium Enterprises (MSME) especially in culinary are the main destination of tourist in Surakarta Indonesia. As the tourist destination, MSME must be creative in develop their product. The financial ability is the main source of the owner in develop their business. Bank loan is an alternative in order to improve the financial sorce. Therefore, the MSME’s owner need to compile the financial report as one of bank loan requirement. This study is a quantitative research which is use multiple regression analysis using moderation variables. The quality of financial report is the dependent variable. The Independent variables are the MSME’s owner perception and understanding about book keeping. This study also enclose the MSME’s owner demographic background that consist of educational leverage and business size as the moderating variables. The data is collected from culinary MSME’s in Surakarta, Indonesia in the year of 2017. The findings of this research shows that educational leverage and business size are Predictor Moderation Variable. Besides, the perception and understanding are not significantly influence the financial report quality. The result of beta value shows that the business size strengthen the bookkeeping perception variable and weaken the understanding variable towards financial report quality. While the educational leverage strengthen the understanding variable and weaken the perception variables even all of them are not significantly influenced.

Download Full-text

The Importance оf Small and Medium Enterprises in the Economic Development of Eastern Europe

WSEAS TRANSACTIONS ON ENVIRONMENT AND DEVELOPMENT ◽

10.37394/232015.2021.17.84 ◽

2021 ◽

Vol 17 ◽

pp. 898-910

Author(s):

Petrunenko Iaroslav ◽

Iryna Khmarska ◽

Tetiana Tkachenko ◽

Hanna Koptieva ◽

Veronika Komandrovska

Keyword(s):

Economic Growth ◽

Economic Development ◽

Eastern Europe ◽

Small And Medium Enterprises ◽

Size Class ◽

Doing Business ◽

Ease Of Doing Business ◽

Medium Enterprises ◽

The Impact ◽

Micro Enterprises

An important engine of economic development of the country is the development of small and medium enterprises. At the same time, small and medium-sized businesses, being elements of the economic system, have a significant impact on the overall economic growth of the country. Thus, there is a mutual influence of economic units on the economy as a whole. The purpose of the article is to study the impact of small and medium-sized enterprises of small and medium-sized enterprises on the gross domestic product on the example of Eastern European countries. Methods: analysis, description, observation, comparison, generalization, induction, deduction, grouping, systematization, tabular and graphical representation. Results: The level of ease of doing business in Eastern Europe was analyzed according to the Ease of doing business ranking and it was found that the Czech Republic and Poland are among the 40 countries in Eastern Europe ranked 40th and 41st out of 190 possible. It is established that the subjects of small (including micro-enterprises) and medium-sized enterprises belonging to the non-financial sector, in the structure of all enterprises of the non-financial sector of each of the studied countries occupy more than 90%. It was found that a significant share in the structure of small and medium enterprises in Eastern Europe is occupied by micro-enterprises, while the share of medium-sized enterprises is the lowest. The results of regression analysis to determine the impact of small and medium enterprises on the economic growth of countries obtained by establishing the dependence of GDP on Turnover of the non-financial business economy by size class of employment. Revealed a high dependence of GDP Turnover of the non-financial business economy by size class of employment in all surveyed countries in Eastern Europe.

Download Full-text

The impact of the Ease Doing Business Indicators on Foreign Direct Investment in the European transition economies

Ekonomika ◽

10.15388/ekon.2019.2.2 ◽

2020 ◽

Vol 98 (2) ◽

pp. 19-32

Author(s):

Bersan Haliti ◽

Safet Merovci ◽

Sanjib SHERPA ◽

Alban Hetemi

Keyword(s):

Transition Economies ◽

Negative Impact ◽

Transition Countries ◽

Least Square ◽

Dynamic Panel ◽

Ordinary Least Square ◽

Doing Business ◽

Ease Of Doing Business ◽

Generalised Method Of Moments ◽

The Impact

The objective (aim) of this paper is to explore the impact of the Ease of Doing Business Indicators on FDI on transition economies in Europe. Authors have used the dynamic panel methodology, by using three methods: Pooled Ordinary Least Square (POLS), Fixed Effect (FE), and Two Step-System Generalised Method of Moments (GMM) estimation techniques. By referring to the GMM technique, it can be seen that variables such as: Starting a Business, Registering property, Getting electricity and Resolving insolvency have a positive and significant impact in attracting FDI in 16 European transition countries, while variables as: Dealing with construction permits, Getting credit, Paying taxes, Protecting minority investors, have shown negative impact, whereas Trading Across Border and Enforcing contracts have not shown any impact on attracting FDIs in European transition countries. This paper contributes to the enrichment of existing literature in this field by using these three methods.

Download Full-text

Culinary Product Innovation Strategy Micro, Small and Medium Entreprise in The New Normal Era

Ilomata International Journal of Management ◽

10.52728/ijjm.v2i3.284 ◽

2021 ◽

Vol 2 (3) ◽

pp. 226-232

Author(s):

Dewi Nurbaiti ◽

Nur Fitri Rahmawati ◽

Suparman ◽

Rousdy Safari Tamba ◽

Thamrin

Keyword(s):

Product Innovation ◽

Negative Impact ◽

Innovation Strategy ◽

New Normal ◽

Analysis Techniques ◽

Long Time ◽

Small Medium Enterprises ◽

The Right ◽

Medium Enterprises ◽

The Impact

The existence of a corona virus epidemic or Covid-19 that lasted a long time in several countries, one of which in Indonesia has a negative impact on the Micro and Small Medium Enterprises (MSMEs). The impact that occurred was the decline in turnover due to the reduced number of buyers, where many MSMEs had to close their businesses. When entering the new normalcy era or the New Normal era, the SMEs will open their businesses again but get new challenges in terms of product innovation. Innovation is needed to make a business survive in the new normal era, one of which is innovation in terms of product types. The purpose of this study is to produce recommendations for SMEs in determining the right product innovation strategy in the New Normal era. This study raises the formulation of the problem of how the SME product innovation strategy in the current era of New Normal. The method used in this study is a qualitative research method with data collection techniques through network interviews and descriptive data analysis techniques, with research informants who are SMEs in East Jakarta. The results of this study indicate that in the New Normal era, the SMEs are implementing a product innovation strategy by changing the shape of the product in the same type (changing shape) and also changing the type of product that is different from the previous product (changing type). By implementing the two product innovation strategies, SMEs can still compete in the New Normal era at this time. Recommendations from this research are expected to be used by SMEs to be more innovative in producing culinary products so they can survive in the New Normal era.

Download Full-text

An exploration of the views of manufacturing small medium enterprise owners with regards to green tax incentives in the eThekwini region of KwaZulu-Natal

10.51415/10321/2486 ◽

2017 ◽

Author(s):

◽

Uveer Kalidin

Keyword(s):

Climate Change ◽

Negative Impact ◽

Tax Incentives ◽

Primary Data ◽

Business Decision ◽

Medium Enterprise ◽

The Government ◽

Small Medium Enterprises ◽

Medium Enterprises ◽

The Impact

The study was to explore the awareness of owners of small medium enterprises with regards to green tax incentives; to identify their attitudes towards such green tax incentives and the possible impact it will have on small medium manufacturing enterprises going green.This study used a quantitative research design, specifically a descriptive survey approach. A census sample was drawn through a list provided by the Durban Chamber of Commerce. A survey questionnaire was the primary data collection tool used. At total of 152 questionnaires were distributed and a 104 were received yielding a response rate of 68 %. The data showed that small medium enterprises were concerned about the environment, and acknowledged that their business activities have a negative impact on the environment. The study also established that small medium enterprise owners are concerned with the impact that climate change will have on their business operations. A majority of the sample considered green taxation to be an important driver that would allow businesses to become eco-friendly. Owners were found to support the utilization of green taxation incentives and were considering using green taxation as part of future business decision making, thus ensuring that meet corporate social responsibility. It was concluded that there was a need for the government to put more focus into creating awareness of global warming and climate change. There was also a need to find more innovative ways of promoting eco-consciousness and green sustainable practices and the need to draft and identify new green taxation legislature that caters for public and small medium enterprises.

Download Full-text

Impact of Organizational Support And Technology Competence In E-Commerce Adoption On SMEs Performance In Jabodetabek Region

Cendekia Niaga ◽

10.52391/jcn.v3i1.460 ◽

2019 ◽

Vol 3 (1) ◽

pp. 31-37

Author(s):

Ratnaningsih Hidayati ◽

Ririh Kusuma Permatasari ◽

Ashry Noviana Fajry

Keyword(s):

Performance Improvement ◽

Organizational Support ◽

Linear Regression Analysis ◽

Internal Factor ◽

Technology Competence ◽

Doing Business ◽

Small Medium Enterprises ◽

Medium Enterprises ◽

The Impact ◽

Business Sectors

E-commerce has changed the ways of doing business in many business sectors, including Small Medium Enterprises (SMEs) sector. However, SMEs encountered varied challenges in adopting e-commerce to their business. This research analyzed organizational support and technology competence in e-commerce adoption on SMEs performance in Indonesia, specifically in Jabodetabek region. A quantitative approach was applied in this study, with a Likert-scale questionnaire as a tool to determine the impact of internal factor regarding e-commerce adoption on the SMEs performance. An ordinary linear regression analysis was conducted to test the hypothesis. The results showed that the variables of organizational support and technology competence simultaneously affect the performance improvement on e-Commerce adoption by SMEs in Jabodetabek region

Download Full-text

Ease of Doing Business and Its Impact on Inward FDI

Indonesian Journal of Management and Business Economics ◽

10.32455/ijmbe.v1i1.52 ◽

2018 ◽

Vol 1 (1) ◽

pp. 52 ◽

Cited By ~ 2

Author(s):

Mohamed Tareq Hossain ◽

Zubair Hassan ◽

Sumaiya Shafiq ◽

Abdul Basit

Keyword(s):

Regression Model ◽

Causal Relationship ◽

World Bank ◽

Least Square ◽

Doing Business ◽

Least Square Regression ◽

Foreign Countries ◽

Ease Of Doing Business ◽

The Impact ◽

Starting A Business

This study investigates the impact of Ease of Doing Business on Inward FDI over the period from 2011 to 2015 across the globe. This study measures ease of doing business using starting a business, getting credit, registering property, paying taxes and enforcing contracts. The research used a sample of 177 countries from 190 countries listed in World Bank. Least square regression model via E-views software used to examine causal relationship. The study found that ease of doing business indicators ‘Enforcing Contracts’ was found to have a positive significant impact on Inward FDI. Nevertheless, ‘Getting Credit’ and ‘Registering Property’ were found to have a negative significant impact on Inward FDI. However, ‘Starting a Business’ and ‘Paying Taxes’ have no significant impact on Inward FDI in the studied timeframe of this research. The findings of the study suggested the ease of doing business enables inward FDI through better contract enforcements, getting credit and registering property. The findings of the research will assist international managers and companies to know the importance of ease of doing business when investing in foreign countries through FDI.

Download Full-text

The Impact of Business Mentoring on Micro, Small, Medium Enterprises Performance

International Journal of Management Entrepreneurship Social Sciences and Humanities ◽

10.31098/ijmesh.v1i1.6 ◽

2017 ◽

Vol 1 (1) ◽

pp. 31-37

Author(s):

Mohammad Adrian ◽

Hendrati Dwi Mulyaningsih ◽

Santi Rahmawati

Keyword(s):

Quantitative Research ◽

Causal Analysis ◽

Coefficient Of Determination ◽

Mentoring Program ◽

Simple Regression Analysis ◽

Small Medium Enterprises ◽

Medium Enterprises ◽

The Impact ◽

Necessity Entrepreneur ◽

Simple Regression

This reasearch is conducted on MMSME (Micro Small Medium Enterprises) that are participated in the MMSME Syari’ah Mentoring Program by Academicians and Practitioners (PUSPA) organized by Bank Indonesia in Bandung. MMSME who participated in PUSPA program 2016 is MMSME that included in necessity entrepreneur where MMSME operated just to fullfil the life necessities. The purpose of this reasearch was to investigate the influence of the business mentoring on the MMSME performance in PUSPA program 2016. Researcher used quantitative research method. Data were analyzed using simple regression analysis and descriptive-causal analysis. The result showed that business mentoring affect the performance of MMSME that participated in PUSPA Program 2016. Based on the calculation, coefficient of determination (R2) can be seen the influence of business mentoring variable (X) on the performance (Y) is 74%. While the remaining 26% is influenced by other factors such as entrepreneurship competence and human resources.

Download Full-text

THE IMPACT OF COMPETENCY ENTREPRENEURSHIP ON MICRO, SMALL, MEDIUM ENTERPRISES PERFORMANCE

International Journal of Management Entrepreneurship Social Sciences and Humanities ◽

10.31098/ijmesh.v1i1.16 ◽

2018 ◽

Vol 1 (1) ◽

pp. 31

Author(s):

Elsa Nanda Utami ◽

Hendrati Dwi Mulyaningsih

Keyword(s):

Quantitative Research ◽

Sampling Technique ◽

Total Sample ◽

Mentoring Program ◽

Financial Term ◽

Simple Regression Analysis ◽

Small Medium Enterprises ◽

Medium Enterprises ◽

The Impact ◽

Necessity Entrepreneur

This reasearch is conducted on MSME (Micro Small Medium Enterprises) that are participated in the MSME Syari’ah Mentoring Program by Academition and Practitioners (PUSPA) organized by Bank Indonesia in Bandung. MSME who participated in PUSPA program 2016 is MSME that included in necessity entrepreneur where MSME operated just to fullfil the life necessities. This program aims to improve the competence of entrepreneurship owned by MSME in term of knowledge, attitudes, and skills. Increased in the entrepreneurial comptence will have an impact on MSME perfomance both on financial term by the increase in income and non-financial term namely by the increased of the knowledge and skills like simple accounting, managing the production process, how to market the product, and know the procedures for obtaining the venture capital. The purpose of this reasearch was to investigate the influence of the entrepreneurial competence on the MSME performance in PUSPA program 2016.Researcher used quantitative research method. This research use sampling technique on non-probability sampling that is saturated sampling because the members of population less than 30 people and the entire population is a sample. Total sample in this research is 20 respondents. Data collecting in this research is done by distributing questionarries to all respondents that is MSME that pariticaped in PUSPA program 2016. Data were analyzed using simple regression analysis and descriptive-causal analysis.The result showed that entrepreneurial competenec affect the performance of MSME that participated in PUSPA Program 2016. Based on the calculation, coefficent of determination (R2) can be seen the influence of entrepreneurial compentence variable (X) on the performance (Y) is 61.7%. While the remaining 38.3 is influenced by other factors such as mentoring, motivation, and human resources.

Download Full-text