THE EFFECT OF E-COMMERCE , ECONOMIC LITERACY, AND BUSINESS LOCATION ON MSME INCOME IN JAKARTA

Abstract

ABSTRACT

This study aims to analyze the influence of e-commerce, economic literacy, and business location on the income of MSMEs in Jakarta. MSMEs play a crucial role in Indonesia's economy, yet still face challenges such as limited capital, managerial knowledge, and marketing difficulties. Digital transformation through the adoption of e-commerce is considered capable of expanding market reach and increasing business efficiency. Additionally, economic literacy and the selection of strategic business locations are also believed to contribute to increased MSME income. This research uses a quantitative approach with a survey method involving MSME actors in Jakarta. Data were collected through questionnaires and analyzed using to examine the effect of each variable. The results show that e-commerce, economic literacy, and business location have a positive and significant impact on the income of MSMEs in Jakarta. These findings indicate that optimizing digital technology utilization, improving economic literacy, and choosing the right business location can be effective strategies to increase the income and competitiveness of MSMEs in the digital era.