Empowerment Needs, Challenges, and Strategies for Food Processing MSMEs in Wonosobo Regency
DOI:
https://doi.org/10.25015/22202674087Keywords:
MSMEs, empowerment, capability approach, rural development, competitivenessAbstract
Micro, Small, and Medium Enterprises (MSMEs) play a strategic role in promoting local economic growth, generating employment, and improving rural livelihoods. Despite their importance, MSMEs face multidimensional challenges that constrain their sustainability and competitiveness. This study aims to analyze the challenges affecting MSME development in the villages of Blederan, Kalibeber, and Kejiwan in Wonosobo Regency, Indonesia. A qualitative descriptive approach was employed through field observations, focus group discussions, and in-depth interviews with MSME actors. Data were analyzed thematically across five dimensions: production and operations, marketing and sales, finance and funding, human resources and technology, and regulation and bureaucracy. The findings reveal that limited access to finance, weak digital marketing capabilities, low innovation capacity, inadequate human resource competencies, and regulatory complexity are the primary barriers to MSME development. These constraints reduce productivity, restrict market expansion, and weaken competitiveness. The study further demonstrates that strengthening entrepreneurial capacity, improving digital technology adoption, expanding inclusive financial access, and enhancing institutional support are critical mechanisms for overcoming these challenges. Theoretically, this study extends the empowerment and capability perspectives by highlighting the importance of institutional capability, adaptive capacity, and collaborative governance in transforming MSME resources into sustainable competitive advantage. Practically, the findings underscore the need for integrated and multi-stakeholder empowerment strategies involving government agencies, financial institutions, universities, and community organizations to foster inclusive and sustainable rural economic development.
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