Ordinal Logistic Regression Model of Micro, Small, and Medium-Sized Enterprises Income: A Case Study of Micro, Small and Medium-Sized Enterprises in Surabaya
DOI:
https://doi.org/10.29244/ijsa.v8i2p143-154Keywords:
income, MSMEs, ordinal logistic regression, pandemicAbstract
Micro, Small, and Medium Enterprises (MSMEs) is a business sector that is able to make a significant contribution to economic recovery in Indonesia. In Surabaya, there are many MSMEs with various fields, both food and non-food sectors which include services, trade, etc. MSMEs actually have great potential to boost the economic growth of the people of Surabaya. Especially during the COVID-19 pandemic, MSMEs owners must be able to strategize how their income can be stable or even bigger. Therefore, it is very important to know what factors can boost MSMEs income in Surabaya. In this study, it will be examined what factors can affect the income of MSMEs in Surabaya. The method used in this study is Ordinal Logistic Regression which aims to determine which independent variables or factors affect the dependent variable which in this case is MSMEs income. Based on the results of the analysis, it can be seen that the variables that affect MSMEs income are MSMEs Location, MSME Activities, and MSME Outreach.
Keywords: ordinal logistic regression, MSMEs, income.
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