Journal of Educational Studies
Vol. 2 No. 3 (2024): Desember

Digital Transformation and Strengthening MSME Entrepreneurship Based on Local Potential to Improve Community Economic Independence

Wahyuni (Universitas Nggusuwaru)
Burhanuddin (Universitas Nggusuwaru)
Arsad (Universitas Nggusuwaru)



Article Info

Publish Date
30 Dec 2024

Abstract

This study aims to analyze the influence of digital transformation and strengthening of MSME entrepreneurship based on local potential on the economic independence of the community in Bima City. The study uses a mixed methods approach with an exploratory sequential design, which begins with qualitative analysis through interviews to identify the practice of utilizing digital technology, developing local potential, and the process of strengthening the community's economy, then continued with quantitative analysis. The study population consisted of 96 MSME actors in Bima City and all were sampled through census techniques. Quantitative data were analyzed using Partial Least Squares-Structural Equation Modeling (PLS-SEM). The results show that digital transformation has a positive and significant effect on the economic independence of the community with an Original Sample value of 0.482, T-Statistics 2.653, and P-Values 0.008. Strengthening MSME entrepreneurship based on local potential also has a positive and significant effect on the economic independence of the community with an Original Sample value of 0.512, T-Statistics 2.918, and P-Values 0.004. The R² value of 0.762 indicates that the two variables together explain 76.2% of the variation in community economic independence. The qualitative findings support the quantitative findings that digital technology plays a role in expanding market access and marketing, while local-based entrepreneurship plays a role in creating added value and business sustainability. The study concludes that integrating digital transformation, strengthening entrepreneurial capacity, and optimizing local potential are important strategies in strengthening community economic independence through the development of MSMEs in Bima City

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Journal Info

Abbrev

JEs

Publisher

Subject

Humanities Education Languange, Linguistic, Communication & Media Social Sciences Other

Description

Journal of Educational Studies Journal constitutes a triannual publication which publishes scholarly journals every April, August, and December in a year. It particularly publishes research articles examining issues related to the field of Education, Sciences, Social, Early Childhood Education, ...