THINGS TO BE A BARRIER INDUSTRIES SMALL
Small business is an economic activity that dominates more than 95% of the structure of the Indonesian economy. This sector has a strategic role both economic and social political. The function of economic sectors, among others, provide goods and services for consumers purchasing power of low to moderate; accounted for more than half of economic growth and foreign exchange earnings contributive in the State.
Development and Small Business Development has been conducted since the 1950's to the present, which became part of the implementation of development programs and business development, is part of the field of economic and social development in Indonesia, because small businesses have a role and give some contribution or contribution in the field of development economic and social, to the State and society, so as to obtain considerable attention from various parties, especially from the Government.
Other than that, these businesses have certain characteristics when compared to other business organizations when seen from the side of the strengths and advantages; effective as an activator institution in the national economy, regional, and local, have durability relatively better when compared with other business organizations due to the low level of dependence on a few things, have a high market potential (Sjaifudian, 1995; 27) , and the institute also has a high enough flexibility in its business operations (Subanar, 2001: 6).
Other than that, small businesses, especially in developing countries, such as Indonesia also has a very important role when some of the problems associated with the economic and social fields, such as: poverty, unemployment, inequality of income distribution, uneven development, urbanization, and a few things in the field economic and other social.
Role of Small Business in Indonesia were admittedly very important in the national economy, especially in aspects such as increased employment, income distribution, rural economic development increase non-oil exports. Has been many efforts made by the Government to assist the development of Small Businesses through various development programs or Small Business coaching, including the partnership program between Medium and Large with Small Business. However, the development of Small Businesses today run very slow.
One cause of the lack of success coaching development program or Small Business in Indonesia in improving the condition or performance of the group Small Business of the position of the weak and the strong position to the traditional and modern is the pressure of the Government's policy program orientation or more located in the social aspect rather than economic or business aspects. So far, efforts to develop small-scale economic activities are generally labor intensive and carried out by groups of poor people with low education is intended to increase their income or reduce unemployment and inequality.
Demands for developing small businesses has been recognized by many people who feel they have in common values and then they decide to take a certain role in efforts to develop small businesses. The number of those who care about the growth and development of small businesses, such as government, universities, private institutions such as the Chamber of Commerce and Cooperatives, Small Employers Association is evidence that saved a lot of potential that can be mobilized to encourage the growth of this sector more dynamic.
Development and Small Business Development has been conducted since the 1950's to the present, which became part of the implementation of development programs and business development, is part of the field of economic and social development in Indonesia, because small businesses have a role and give some contribution or contribution in the field of development economic and social, to the State and society, so as to obtain considerable attention from various parties, especially from the Government.
Other than that, these businesses have certain characteristics when compared to other business organizations when seen from the side of the strengths and advantages; effective as an activator institution in the national economy, regional, and local, have durability relatively better when compared with other business organizations due to the low level of dependence on a few things, have a high market potential (Sjaifudian, 1995; 27) , and the institute also has a high enough flexibility in its business operations (Subanar, 2001: 6).
Other than that, small businesses, especially in developing countries, such as Indonesia also has a very important role when some of the problems associated with the economic and social fields, such as: poverty, unemployment, inequality of income distribution, uneven development, urbanization, and a few things in the field economic and other social.
Role of Small Business in Indonesia were admittedly very important in the national economy, especially in aspects such as increased employment, income distribution, rural economic development increase non-oil exports. Has been many efforts made by the Government to assist the development of Small Businesses through various development programs or Small Business coaching, including the partnership program between Medium and Large with Small Business. However, the development of Small Businesses today run very slow.
One cause of the lack of success coaching development program or Small Business in Indonesia in improving the condition or performance of the group Small Business of the position of the weak and the strong position to the traditional and modern is the pressure of the Government's policy program orientation or more located in the social aspect rather than economic or business aspects. So far, efforts to develop small-scale economic activities are generally labor intensive and carried out by groups of poor people with low education is intended to increase their income or reduce unemployment and inequality.
Demands for developing small businesses has been recognized by many people who feel they have in common values and then they decide to take a certain role in efforts to develop small businesses. The number of those who care about the growth and development of small businesses, such as government, universities, private institutions such as the Chamber of Commerce and Cooperatives, Small Employers Association is evidence that saved a lot of potential that can be mobilized to encourage the growth of this sector more dynamic.
Past experience shows that small business development efforts still contain many weaknesses. Although there are several programs and interventions have often directed to the development of small businesses, but the benefits that they feel is not optimal. There are three main things that need to be considered in the development of policies and programs for small businesses.First, the similarity of the program for a variety of existing small businesses, Second, the role of government has not been an opportunity to increase the ability of small businesses. Third, the development approach is based on the concept of small business weakness proved less effectively to encourage this sector develop into an independent small business.
In relation to small business development, strategic plan for the development of small businesses is needed given the following reasons:
Small businesses must be able to respond to changes in their environment that often can not be predicted, the implementation of important policies to develop small businesses were still experiencing many political and structural obstacles so that the result is less effective and often do not reach the target.
The problem often faced by small and medium enterprises is the case: the field of capital, marketing, raw materials field, the field of labor, and management fields.
From the research we conducted on Garment SMEs in Malang, shows that:
Finance the most prominent problem is the lack of working capital to develop the business and limited akses`ke Bank, Field Marketing is the most dominant issue, Division of raw materials is the dominant issue payment must be in cash, Field Workforce dominant problem is often replace employees and difficulty paying employees in accordance with MSE, while the field of management of the most prominent problems is still limited entrepreneurial ability and less able to anticipate market opportunities.
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