Kekuatan financial tehnology dalam Meningkatkan Kinerja Bisnis UMKM

Abstract

 Micro, Small and Medium Enterprises contribute greatly to driving the regional economy
and providing employment opportunities for the community. Therefore, research to
improve the performance of MSMEs is still very relevant to do. This study aims to examine
the importance of financial technology, financial literacy, and culture in improving the
business performance of MSMEs in East Java. Business performance studies that combine
financial literacy, financial technology and culture with business performance, especially
in the East Java region, are still very limited. Therefore, this research is important to be
conducted to enrich empirical findings related to business performance. The sampling
technique used was purposive sampling, by taking samples of MSMEs in the Surabaya,
Mojokerto, Sidoarjo and Gresik areas. Total sample of 100 MSMEs. The data source used
is primary data collected by survey using a questionnaire. Analysis was conducted with
Partial Least Square. The results showed that financial technology and financial literacy
as well as culture have a significant positive effect on MSME business performance. The
results of this study imply that to improve the sustainability and business performance
of MSMEs in East Java, MSME managers should improve their financial technoly and
financial literacy capabilities and foster a culture that is the value of their business.