Publication Search

Micro, Small and Medium Enterprises are one of the most important pillars of the economy in Indonesia. MSMEs contribute significantly to Gross Domestic Product, employment, and regional development through income equality. This study attempts to obtain relevant answers regarding the strategic role of MSMEs in sustainable economic development in Indonesia, as well as the obstacles faced by this sector. Despite the government's role in sustainably encouraging MSMEs, this study shows that MSMEs still have difficulty accessing capital, government policies, and digitalization. This study uses a descriptive method to identify data that produces a good understanding of the factors that build the success of MSMEs. The results of the study show that the contribution of MSMEs to GDP is around 61.07%, employing 97% of the total number of jobs, namely MSMEs are quite important for the government and other stakeholders in supporting the role of MSMEs in inclusive and sustainable economic development.

High levels of openness and responsibility in business operations constitute excellent corporate governance.  Companies can reduce the likelihood of engaging in harmful behaviors and the danger of financial difficulty by adopting a policy of strong corporate governance. The methodology of this study is quantitative descriptive research. Researchers frequently use quantitative descriptive research methodologies to describe or explain phenomena or features of a population or sample. This study discovered that financial hardship is negatively impacted by the factors leverage, credit risk, liquidity ratios, and good corporate governance. Liquidity, as determined by the Current Ratio, is inversely correlated with the severity of financial crises. Therefore, the results of this study support the claim that CR lessens financial stress.