Profiling Small Medium Family-Owned Business in East Java-Indonesia

Abstract

The purpose of this research is to describe the profile of the small medium family-owned business in east Java Indonesia. A total of 381 small-medium family-owned business in the East Java are used as research respondents. These respondents were selected using the proportional cluster random method to ensure that all of the predetermined areas in East Java were proportionally represented. The profile of respondents (owners) described by the research instrument includes the respondent’s personal identity. The characteristics identified to determine the respondents’ company condition. The family member’s involvement in the business is also described. The result showed that male respondents dominate the gender characteristics by 61.9%. The age characteristic indicates that 32.5% of the respondents are between 30-39 years and the most respondents (40.9%) are senior high school graduates. 57.3% of the surveyed companies are established in the last 10 years. The three most common business sectors in this research are hotel and restaurants (53%), followed by manufacture and other services (16.8%). This research indicates that 81.1% of the surveyed companies were established by the current business owner. A total of 70.3% of the said companies have one dominating figure and 43% of these businesses involve nuclear family members, whereas 49% of the companies involve extended family members. 44.9% of these family members have management-level positions and 45.9% have staff-level positions.