Entrepreneurial Competencies and Business Succesful of Dairy Farmer Pujon, Malang.

Abstract

Entrepreneurs can see, consider, and choose business opportunities well. Entrepreneurs collect all needed resources to run the business and take innovation in process. Innovation could increase the economic growth. Livestock be one of potential sector for economic growth. Gross domestic product (GDP) of live stock is increase, about eight to 35 percent per year (2007- 2012). So does the labor of livestock. Risen GDP and labor could be an oppurtunity for the policy maker to increase the entrepreneurial skills. Dairy is one of strategic product of livestock. Pujon is the most producer of dairy roduct. Nevertheless, productivity and farm size in Pujon are at low level. It indicates that competencies of entrepreneur at low level. Competencies of entrepreneurs has a correlaton to succesful business. Therefore, this research needed to be done. This research aims to analyze the entreprenuerial skills of dairy farmers at Pujon district, Malang regency, to analyze correlation between business environment, personal orientation, characteristic, with entrepreneurial skills of dairy farmers, to analyze relationship between entrepreneurial skills and business successful, and to formulate the strategy that can increase the competencies of entrepreneurs and business succesful of dairy farmers at Pujon district, Malang regency. This research use structural equation model (SEM) as analyze tools. The respondents of research are 105 dairy farmers. It can be concluded that entrepreneurial skills of respondents are at middle level. Personal orientation and characteristic generate the entrepreneurial skill significantly, but business environment does not. It has a positive relationship to successful business. Interest of dairy farmers in group activites improvement could up grade the entrepreneurial competencies, and successful business. Entrepreneurial skills has signficant correlation with business successful. The strategy to produce higher entrepreneurial skills is to increase the personal orientation. The personal orientation could be generated by risen role of dairy farmer’s group.