Competitiveness and Determining Factors of Indonesian Tea Export Volume in the World Market

Indonesia is one of the world's tea exporters, but the decline in the volume and value of its exports to date continues to occur. This study aims to 1) analyze the production trend and export volume of Indonesian tea. 2) analyze Indonesian tea competitiveness in the International market compared to other exporter countries (China, India, Kenya, Sri Lanka, and Vietnam). 3) analyze the determining factors of Indonesia's tea export volume to 7 major destination countries (Malaysia, Russia, Pakistan, USA, Germany, Poland, and Australia). The analysis methods used are simple linear regression, Revealed Comparative Advantage (RCA), Trade Specialization Ratio (TSR), and data panel regression. The results showed that the production and volume of Indonesian tea export will decrease every year. Indonesian tea has a very strong comparative competitiveness, but still below India, Kenya, Sri Lanka, and Vietnam. Indonesia tends to be an exporter of tea to the international market at the stage of export expansion. Factors determining the volume of Indonesian export are Indonesian tea production, the population of importer countries, real GDP per capita of importer countries, level of trade openness of importer countries, and importer countries' inflation rate.

The Effects of Non-Cash Transactions on Consumer Satisfaction (A Case Study on Consumers of the Oro-Oro Dowo Market, Malang)

The Internet of think is considered incredibly adaptable in the present digital world, one of which is non-cash payments, making it easier, faster, and decreasing human errors. It is not surprising that the government is now promoting Gerakan Nasional Non-Tunai (GNNT) program by ratifying a new application owned by one of the BUMN subsidiaries to enable payment transactions. The GNNT is now being encouraged in many sectors of Indonesian needs, including traditional markets. The objectives of this study were: 1) identifying the consumer characteristics who uses non-cash payment applications in Oro-Oro Dowo market Malang, and 2) investigating the impact of service quality, product image, and promotion on consumer satisfaction as non-cash payment application users. The research site was in Oro-Oro Dowo market, Malang. It is the first traditional market to employ non-cash payments as a payment option, with the research period beginning in April 2020. This study had 100 participants selected through the distribution of questionnaires. The data analysis employed Partial Least Squares-Structural Equation Modeling. The findings showed that the majority of respondents who use non-cash applications were female consumers (76%), had an average age of 20-25 years (47%), had undergraduate education (46%), worked as private employee (37%), and had an average income of < Rp2.000.000 (37%). The path coefficient test revealed that product image and promotion variables had a significant effect on consumer satisfaction as they had a sig value of > 0.05 while the application service variable had a sig value greater than 0.05, it had a negligible effect on consumer satisfaction.

Dairy Farmers Perception on Cooperatives in East Java, Indonesia

Although past studies have shown that cooperatives can improve the welfare of rural communities. However, many farmers did not aware about the cooperative advantages. This begs a question as to whether cooperatives really contribute to the rural incomes and economies. This study aims to assess farmers’ perception on cooperative membership and how members have adopted innovative technologies. Data were obtained from a survey with 300 dairy farmers in Malang and Batu, East Java. The data were examined using a descriptive analysis. The results showed that farmers who do not join any cooperatives perceive that the institution is not able to determine the quality of their milk produce. Meanwhile, farmers who are members of a cooperative perceive that the institution can maintain stability of milk produce’s sales prices. This implies that education about cooperatives among farmers needs to be improved so that they can objectively view the benefits of cooperative membership and make informed decision in their economic activities.

Study of Forming Factors Electronic Word of Mouth (EWOM) and Its Influence On Purchasing Fruit Products at Kojama Shop

Kojama Shop is an online platform that markets avocado butter products. To win the competition, Kojama Shop must improve Electronic Word of Mouth (eWOM) by knowing the factors that form eWOM and their effect on purchases. This study aims to determine the factors that form eWOM on the purchase of fruit products at the Kojama Shop and the influence of the factors formed from eWOM on the purchase of fruit products at the Kojama Shop. The selection of research places is intentional. The target of research is the follower of the Kojama Shop Instagram account that has already bought and consumed butter avocado fruit products at least 2 times, aged at least 18 years, and actively using social media Instagram. Data retrieval using survey methods through online questionnaires using Google forms. Sampling using the Unknown Population formula, the study took 151 respondents. Data analysis uses descriptive and multiple linear regression. The results showed that there are 5 factors of eWOM: Concern for Others, Expressing Positive Feelings, Economic Incentives, Helping the Company, and Platform Assistance. These five factors have a significant influence together and an individual towards the purchase.

The Analysis of Purchase Intention of Processed Apple Products in Shopee

During the current pandemic, almost everything we need, both primary and secondary, we can fulfill from online services. In the era of globalization and the ease of online shopping transactions can lead to consumptive behavior, especially considering the current situation in the corona virus crisis, where consumer behavior has begun to change drastically. This study used Structural Equation Modeling-Partial Least Square (SEM-PLS) analysis with the WarpPLS approach, to predict the magnitude of the relationship among latent variables and between latent variable and its indicator. The dominant variables in the research on the effect of purchase intention of processed apple products at Shopee are trust, online shopping attitudes, subjective norms and purchase intentions. Trust in product purchase intention produces a path coefficient of 0.320 with a confidence interval value [0.160;0.481]. The test results showed that the path coefficient was positive with a high significance level. Online shopping attitude on product purchase intention produces a path coefficient of 0.422 with a confidence interval value [0.261; 0.627], the path coefficient was positive with a high significance level so that this sub hypothesis can be accepted. Subjective norm on product purchase intention produces a path coefficient of 0.250 with a confidence interval value [0.104;0.397], the path coefficient was positive with a high significance level. Purchase intention on purchasing decisions produces a path coefficient of 0.509 with a confidence interval value [0.370; 0.648], the path coefficient was positive with a high significance level.

Export Competitiveness of Indonesian Coffee In Germany

Coffee has been one of the mainstay products for Indonesia's exports to Germany since the last time and the frequency continues to increase. This reflects that Germany's need for coffee continues to grow. This study aims to measure the position of Indonesia's coffee export competitiveness in Germany. The method used in this research are Revealed Comparative Advantage (RCA) and Constant Market Share (CMS). The results showed that Indonesia's coffee exports were not competitive in Germany and had a downward trend. The export performance of Indonesian coffee in Germany also shows a downward trend in each period. Several things that need to be improved so that the competitiveness and performance of Indonesia's exports can increase is by disseminating information regarding the use of cultivation technology to increase the productivity of Indonesian coffee.

Developing Performance Assessment Instruments For Local Organizations in Ecological Restoration As Part of The Cross-Cutting Capacity Development (CCCD-UNDP) Project In Indonesia

Using the CCCD project as the locus of study, this paper reconstructs the empowerment process to reveal and arrange the instruments used at each empowerment stage. The performance measurement instrument was used to measure whether the organization involved in the project was related to project activities directly or indirectly. These two activities helped us compile criteria for the various organizations involved and conceptually draw the pattern of organizational relationships. Findings showed three main processes: (1) the process of identifying and selecting organizations, (2) the process of mentoring and facilitation, and (3) the process of evaluation and follow-up plan. The organizations or groups were divided into primary, secondary, and tertiary groups. Primary groups were directly related and involved in the project. Secondary groups could be involved and did not depend on funding and assistants. Tertiary groups did not need to be involved unless they had such political consequences to influence other groups. The group itself took part in decision-making about management patterns. The pattern could not be separated from the dynamics of policies, markets, and local village and supra-village politics. Based on these findings, the CCCD project confirms that a group empowerment approach must focus on the substantive aspect of achieving project goals, while the procedural aspect merely supports the administrative arrangement so objectives can be achieved more efficiently.

Lessson-Learned: Participatory Action Research Project with Upland Smallholder Farmers Practicing Cropland Agroforestry System in Wonogiri Regency to Support National Food Security

Indonesia government pays little attention to address impending threat of the existences of upland smallholder farmers due to insufficient farm income. This condition poses an imminent threat to national food security. One of the initiatives to address the condition is participatory action research project conducted by Faculty of Forestry UGM with 12 upland smallholder farmers in Wonogiri regency from 2016 to 2018. The result of the participatory action research project showed that although the 12 smallholder farmers practice cropland agroforestry system in marginal land, their increased rice production could improve farm income, be similar in rice field and support national food security. Therefore, this study aimed at investigating lesson-learned of the participatory action research project. This study was conducted on January-March 2020, used participant observation and semi-structure interview methods to collect data from the 12 smallholder farmers. After the collected data were analyzed by descriptive method, this study founded four points of lesson-learned including (1) finding a responsive smallholder farmer group; (2) minimizing negative role of local elite; (3) maximizing positive role of local elite; (4) implementing modified technology package.

Price Integration Analysis of Crude Oil and Vegetable Oils

The importance of palm oil as Indonesia's main export commodity from the non-oil and gas sector makes a study about the price integration of crude oil and vegetable oils is conducted. The time-series data is used are monthly data from 2002:2 to 2019:4. Using the Vector Correction Model (VECM), this study aimed to analyze the price integration among Log of Crude Oil Price (LCOP), Palm Oil Price (LPOP), Soybean Oil Price (LSOP), Sun Flower Oil Price (LSFOP) and Rapeseed Oil Price (LROP). Augmented-Dickey Fuller (ADF) stationary test results show that the time series for those data are stationary at first difference. Using the Pearson Correlation test among price data indicates that there is a high positive correlation among those price data. It reveals a high degree of short-run integration among oil price data. Based on the Johansen cointegration test, the result reveals the presence of long-run relationships among determinants. Knowing presence of cointegration among the data, a bivariate cointegration test was conducted in this study. The test showed that LCOP did not have long-run relationship with vegetable oil prices. The Engel Granger Causality test revealed that generally, LPOP have influence on the movement both LCOP and other vegetable oil prices.