EMPOWERING SMALL MEDIUM ENTERPRISES TO FOSTER PROFITABILITY FOR WELFARE SOCIETY IN INDONESIA

Small and Medium Enterprises (SMEs) play an essential role in increasing the welfare of developing and developed countries. They are prime movers of businesses and a significant contributor to job creation and economic development globally. In general, SMEs in developing countries are limited as key constraints such as finance, which makes them perform poorly in terms of empowerment. Therefore, this research aims to empower SMEs to foster the profitability of businessmen for the increased welfare society in Indonesia. This is exploratory and descriptive research with data obtained from 340 respondents on how training and motivation foster the profitability of businessmen, as well as the effect of government and nongovernment organizations in SMEs. A survey approach is used as the research methodology to carry out adequate data analysis. The result showed that the performance of businessmen and the role of government are dominant factors used to foster profitability and increase welfare in Small and Medium Enterprises in Indonesia.