The Effect Of Capital, Labor, Length Of Business, Product Innovation, And Marketing Reach On The Production Of Msmes Goyor Woven Sarong Pemalang Regency

Elna Almanisa Chaerisma, Lilis Siti Badriah, Diah Setyorini Gunawan

Abstract


Goyor woven sarong is one of the superior products of Pemalang Regency. Pemalang Regency became the most producing area the goyor woven sarong commodity in Central Java Province. North Wanarejan Village is the center of the goyor woven sarong-producing area. However, the existence of this center area is not in line with the amount of goyor woven sarongs production that has fluctuated and its decreased trend. This study aims to analyze the effect of capital, labor, length of business, product innovation, and marketing reach on the production of goyor woven sarong. This study used sample of 59 out of 139 Micro, Small, and Medium Enterprises (MSMEs) actors of Goyor Woven Sarong. The sampling technique used is a stratified random sampling method. Data collection techniques were carried out using direct interview and questionnaire. The data was analyzed through multiple linear regression. The result shows that capital, labor, and product innovation have a positive and significant effect on the production of Goyor Woven Sarong MSMEs, while the length of business has no significant effect on the production of Goyor Woven Sarong MSMEs. There is no difference between the average production of goyor woven sarongs marketed within Pemalang Regency and the average production of goyor woven sarongs marketed outside Pemalang Regency. The implication of this research is to increase the production of goyor woven sarongs, which can be done through Cooperative, Small and Medium Enterprises, Industry and Trade Office of Pemalang regency; MSME's actor of goyor woven gloves actors; tailors; and the community.

 

Keywords: MSMEs Production, Goyor Woven Gloves, Capital, Labor, Length of Business, Product

                    Innovation, and Marketing Reach.


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