Marketing Performance of Agricultural Products in Village-Owned Enterprises (BUMDes) in the Tomini Bay Area, Gorontalo Province based on Innovative Behavior and Social Capital

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Umin Kango, Idris Yanto Niode, Hapsawati Taan, Elnino M. Husein Mohi, Mohammad Zubair Hippy, Siti Rahmatia Machieu, Dian Rahayu Maku

2025 Pakistan Journal of Agricultural Research Vol. 38 Issue 4 Article Cited by 1 SDG 2SDG 17 Quartile

Abstract

Village-Owned Enterprises (in Indonesia often known as BUMDes) in the Tomini Bay Area, Gorontalo Province tend to be engaged in agriculture, such as the sale of production and processed agricultural products, financing and purchasing agricultural products from farmers. Many BUMDes still face obstacles in maximizing their marketing functions, which are influenced by the low level of innovation and limited trust and business partnerships. The objectives of the study analyzed (1) the marketing performance of agricultural products in BUMDes, innovative behavior and social capital. (2) the effect of innovative behavior and the effect of social capital moderation on the marketing performance of agricultural products in BUMDes. The approach in this study is Mix Method Sequential explanatory designs with the research target being village government and BUMDes management. Data collection is observation, interviews, questionnaires and FGDs. The number of samples was 335 people. The data analysis used was Importance Performance Analysis (IPA) and MRA model SEM-PLS analysis. The results found that (1) innovative behavior is quite good, but the aspect of idea development is still low, as can be seen from the lack of new ideas implemented by BUMDes. Social capital is also quite good, but the low social network can be seen from limited partnerships with external parties, while local wisdom is not used in business strategies. As well as marketing performance, it is quite good, but the ability to generate profits is still weak because revenue is not proportional to potential and cost efficiency. (2) innovative behavior has a positive and significant effect on the marketing performance of agricultural products in BUMDes. Social Capital has a positive and significant effect on the marketing performance of agricultural products in BUMDes. As well as the interaction of social capital with innovative behaviors has a positive and significant effect on the marketing performance of agricultural products in BUMDes. So that efforts to optimize the marketing performance in BUMDes can be carried out with various innovations carried out in more creative business management and better branding on products as well as optimizing various partnerships and cooperation between multisectors and multistakeholder that are sustainable. © 2025 by the authors. Licensee ResearchersLinks Ltd, England, UK. This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY) license (https://creativecommons.org/licenses/by/4.0/).

Affiliations

Gorontalo State University, Gorontalo, Indonesia; Bina Taruna University of Gorontalo, Gorontalo, Indonesia; Gorontalo State University, Gorontalo, Indonesia; Regional Development Planning Agency (Bappeda) of Gorontalo City, Indonesia

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