SME DEVELOPMENT THROUGH OPERATION STRATEGIES (Study on keripik Tempe SME’s in Banyumas)

Abstract

Small and Medium Enterprises (SMEs) is a business unit managed by community groups and families. SMEs have a strategic role in national economic development that contribute to national economic growth and absorb manpower in large numbers. This study aims to provide the best model for SMEs through the locus of control approach to operational strategy in the employers' tempe chips Banyumas and analyze the influence of the operational strategy of the business performance of SMEs entrepreneurs in the region tempe chips Banyumas. In addition, this study also analyzed the influence of the operational strategies of SMEs with the selection of operating expenses as a moderator variable on the performance of the SME business entrepreneurs in the region tempe chips Banyumas. Samples of this study is the small and medium business district Banyumas tempe chips. This study included confirmatory sampling reseach by using purposive sampling method. Hypothesis testing was done by regression analysis. The results showed that locus of control variables have a positive impact on operational strategies, operational strategies have a positive influence to the performance of SMEs, locus of control positively influence the performance of SMEs and operational strategy variables is not an intervening variable between locus of control and performance of SMEs.