• Abstract

    Village-owned enterprises have emerged as a vital mechanism for promoting economic growth and development in rural Indonesian communities. This study investigates the pivotal factors that shape the successful performance of village enterprises in Sidenreng Rappang Regency, with a focus on leadership style, community participation, and the unique Bugis cultural context. The research methodology involved distributing questionnaires and collecting relevant documents, with the data analyzed using descriptive statistics and structural equation modeling. The study encompassed a population of 952 village officials from 68 villages in Sidenreng Rappang Regency, with a sample of 274 officials determined using Isaac's formula. The findings reveal that transformational leadership, inclusive community engagement, and the integration of Bugis cultural values are pivotal drivers of village enterprise success. These insights offer valuable guidance for policymakers and practitioners seeking to harness the potential of village enterprises for sustainable rural development in Indonesia.

  • References

    1. Afala, Machdani, Ode, La, and Restu Karlina Rahayu. (2023). "What Makes Village Economic Development Successful? Evidence in Two Villages, Malang Regency Indonesia" 8 (2). https://doi.org/10.31506/jog.v8i2.18893.
    2. Firmansyah, Rizky, Nur Rochmad Zulfikar Maula Dika, and Sheila Febriani Putri. (2022). "Village-Owned Enterprises Management Model in Improving Village Original Income: Best Practice from Pujon Kidul, Indonesia" Kyiv National Economic University named after Vadym Hetman (37) : 38-54. https://doi.org/10.33111/iep.2022.37.02.
    3. Gunawan, Surya, Aristo, and Ati Cahayani. (2021). "Do Demographic Variables Make a Difference in Entrepreneurial Leadership Style?" IGI Global 13 (2) : 1-6. https://doi.org/10.4018/ijabim.20220701.oa10.
    4. Hambali, Rosman, Imran, and Idris Yanto Niode. (2018). "Management Model of Village Fund Allocation in Enhancing the Village’s Productive Economic Activities" 8 (4) : 1-1. https://doi.org/10.5296/ber.v8i4.13489.
    5. Ismail, Nuraini, and Iriany Dewi Soleiman. (2020). "Village Fund Allocation Management (Add) in supporting rural development (case study of borokanda village north ende district ende)" Atlantis Press. https://doi.org/10.2991/aebmr.k.210311.048.
    6. Jatmiko, Bambang, Suryo Pratolo, Mibahul Anwar, and Kholifah Fil Ardhi. (2021). "Key Success Internal and External Factors to Support the Competitiveness of Village Owned Enterprise" Atlantis Press. https://doi.org/10.2991/aer.k.210121.043.
    7. Jimu, Malizani, Ignasio. (2021). "2 - Community Development: A Cross-Examination of Theory and Practice Using Experiences in Rural Malawi" Council for the Development of Social Science Research in Africa 33 (2). https://doi.org/10.4314/ad.v33i2.57277.
    8. Kushartono, Toto, Bayu Septiansyah, and Siti Munawaroh. (2023). "Strategy For Developing Village Owned Business Entities (Bumdes) In Improving The Village Economy In Kertajaya Village, Padalarang District, West Bandung" 7 (1) : 1-15. https://doi.org/10.36859/jcp.v7i1.1562.
    9. Lubis, Aurora, Tona, Firmansyah Firmansyah, and Suchi Nirana. 2020. "The Governance and Business Behavior of BUMDesa in Jambi Province" https://doi.org/10.2991/aebmr.k.200305.151.
    10. Marhaeni, A.A.I.N., Ni Nyoman Yuliarmi, Ni Nyoman Reni Suasih, Dewa Jati Primajana, I W Priyana Agus Sudharma, Made Sinthya Aryasthini M, and I Made Putra Yasa. (2022). "Empowerment of Village Owned Enterprises (BUMDes) in the Context of Optimizing the Assets of Nyuhtebel Village, Manggis District, Karangasem Regency" 2 (4) : 447-453. https://doi.org/10.51601/ijcs.v2i4.151.
    11. Nonglak. (2012). "Quality Business Service Provider in Community Enterprise" 8 (2) : 258-262. https://doi.org/10.3844/jssp.2012.258.262.
    12. Nuraini, Hikmah. (2020). "Building Village Economic Independence Through Village-Owned Enterprises (BUMDes" https://doi.org/10.2991/icstcsd-19.2020.10.
    13. Sandy, Sandy, Najmi Kamariah, and Andi Wa Ode Suastina. (2022). "Comparative Study of the Adaptive Strategies Used by village-owned enterprises in South Sulawesi During the Covid-19 Pandemic" Knowledge E. https://doi.org/10.18502/kss.v7i9.10948.
    14. Santoso, Nobertus-Ribut, Ike Devi SULISTYANINGTYAS, and Brahma-Putra Pratama. (2022). "Transformational Leadership During the COVID-19 Pandemic: Strengthening Employee Engagement Through Internal Communication" SAGE Publishing : 019685992210951-019685992210951. https://doi.org/10.1177/01968599221095182.
    15. Siswanti, Indra, Hosam Alden Riyadh, Lenny Christina Nawangsari, Mohd Yusoff Yusliza, and Mas Wahyu Wibowo. (2024). "The impact of digital transformation for sustainable business: the meditating role of corporate governance and financial performance" Cogent OA 11 (1). https://doi.org/10.1080/23311975.2024.2316954.
    16. Suamperi. (2022). "Strategy for Strengthening the Business Management of Joint BUM Desa/BUM Desa and its Business Units" Knowledge E. https://doi.org/10.18502/kss.v7i6.10629.
    17. Sulila, Ismet. (2022). "The Effect of Community Participation and Supervision on the Effectiveness of Village Fund Policy Implementation in Indonesia" https://doi.org/10.2991/978-2-494069-07-7_42.
    18. Tarlani, Tarlani, and T Sirajuddin. (2020). "Rural development strategies in Indonesia: Managing villages to achieve sustainable development" IOP Publishing 447 (1) : 012066-012066. https://doi.org/10.1088/1755-1315/447/1/012066.
    19. Ubaidillah, Moh., and Mahesti Cahayuni. (2022). "The Role of Leadership Style in Organizational Culture and Competence to Improve Village Fund Management Accountability" 3 (1) : 082-093. https://doi.org/10.47153/jbmr31.3012022.
    20. Zuo, Yuxian, He Liu, and Liankun Chen. (2023). "Analysis of financial fraud cases based on Fraud Triangle Theory: A Case Study of Blue Mountain Technology." Frontiers in Business, Economics and Management” 9 (2): 34-39.

Creative Commons License

This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.

Copyright (c) 2025 The Authors

How to cite

Kurnia M., F., Basalamah, S., Nujum, S., Arifin, A., & Rahman, Z. (2024). Investigating the Impact of Leadership, Community Involvement, and Bugis Culture on Village Enterprise Performance: A Case Study in Sidenreng Rappang, Indonesia. Multidisciplinary Science Journal, (| Accepted Articles). Retrieved from https://malque.pub/ojs/index.php/msj/article/view/5749
  • Article viewed - 185