<![CDATA[Village development is the primary foundation for inclusive and sustainable community welfare. Village-Owned Enterprises (BUMDes) are designed to stimulate village economic activity, but their effectiveness depends on institutional governance, business unit relevance, and managerial professionalism. This study analyzes the impact of BUMDes performance on welfare in Bedahlawak, Jatiwates, Gabusbanaran, and Kepuhdoko villages, Tembelang Regency, and compares the success of these four BUMDes based on institutional factors and the Village Development Index (IPK). This research uses a qualitative comparative case study approach. Data were collected through key informant interviews, documentation of village-owned enterprise (BUMDes) financial reports and village budgets (APBDes), and secondary data from the 2015–2026 Indonesian Village Development Index (IDM). Analysis used the interactive model of Miles, Huberman, and Saldana (2014), supplemented by comparative thematic analysis. The findings show varying impacts of BUMDes: Seroja, Cahaya Gemilang, and Bung Hatta demonstrated positive welfare impacts, while Santosa stagnated due to 44.4% of unproductive capital. Benefits for vulnerable groups remain limited. Success is determined by business unit relevance, institutional accountability, and oversight free from conflicts of interest. The IDM proved to be an inaccurate proxy for BUMDes performance due to its aggregate nature. Two new propositions emerge: structural conflicts of interest as amplifying governance failures, and agricultural value chain strategies that are sectoral, not automatically inclusive. It is recommended that Seroja focus on downstream rice processing, Cahaya Gemilang digitize PPOB management and formalize standard operating procedures (SOPs), Bung Hatta codify institutional knowledge, and Santosa establish a receivables settlement team while separating oversight roles from village structures. District and regional governments should establish Village-Owned Enterprises (BUMDes) Forums, standardize risk-based oversight SOPs, and implement capital requirements for underperforming BUMDes.]]>
