Peran Literasi Finansial dan Inovasi Digital dalam Meningkatkan Business Performance dan Business Sustainability Pada UMKM di Kabupaten Pekalongan

Abstract

The purpose of this study was to determine the role of financial literacy and digital innovation on MSME performance and MSME sustainability in Pekalongan Regency. This study uses quantitative methods. The data used is primary data using a questionnaire. The research data were analyzed using the Partial Least Square approach. The results showed that financial literacy had no effect on the sustainability of MSMEs. However, financial literacy affects the performance of MSMEs. Then, digital innovation affects the sustainability of MSMEs. Meanwhile, digital innovation has no effect on the performance of MSMEs. The performance of MSMEs has an effect on the sustainability of MSMEs. Then for the MSME performance variable, it does not mediate the influence of digital innovation on the sustainability of MSMEs. Meanwhile, the performance variable of MSMEs can mediate the influence of financial literacy on the sustainability of MSMEs.