Niqosiya: Journal of Economics and Business Research
Vol. 5 No. 2 (2025): July-December 2025

The Influence of Business Capital, Technology, and Labor On the Income of Food Industry MSMEs in Ponorogo Regency

Putri Fatmaningrum (UIN Kiai Ageng Muhammad Besari Ponorogo)
Shinta Maharani (UIN Kiai Ageng Muhammad Besari Ponorogo)
Asmak Ab Rahman (Department of Sharia Economics, Academic of Islamic Studies, University of Malaya)



Article Info

Publish Date
07 Oct 2025

Abstract

Introduction: Ponorogo Regency is a region with diverse livelihoods. However, among these many livelihoods, there are 42,720 MSMEs. This study was conducted because there is a difference between theory and reality in the field, especially regarding the factors that influence MSME income. In general, large capital, utilization of technology, and the number of workers are considered to increase business income. However, observations show that not all MSMEs with large capital, adequate technology, and a large workforce generate high income. Therefore, this study aims to examine and analyze the effect of business capital, the role of technology, and labor on the income of MSMEs in the food industry sector in Ponorogo Regency. Research Methods: This study uses a quantitative approach with a questionnaire as the data collection method. The analysis technique used is multiple linear regression with the help of SPSS version 22. The sample in this study amounted to 100 randomly selected MSMEs. The results of the study indicate that partially and simultaneously, the variables of business capital, technology, and labor have a positive and significant effect on MSME income. Result: Based on the results of the determination coefficient analysis, these three variables have an influence of 61.1% on the income of MSMEs in the food industry sector in Ponorogo Regency, while the remaining 38.9% is influenced by other variables outside this study.

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Journal Info

Abbrev

niqosiya

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Subject

Description

Scope of study of scientific writings by students or collaboration of students and lecturers in the form of research on Islamic economic studies, Sharia economics, Sharia banking, zakat and waqf management in the realm of Islamic economics and business studies as well as scientific ...