Analisis Pengaruh Modal Kerja, Luas Lahan, dan Fluktuasi Harga Jual terhadap Profitabilitas Usaha Tani di Desa Banjar, Kecamatan Taliwang, Kabupaten Sumbawa Barat

Authors

  • Jihan Ashari Universitas Teknologi Sumbawa
  • Arya Zulfikar Akbar Universitas Teknologi Sumbawa

DOI:

https://doi.org/10.55681/sentri.v5i7.7137

Keywords:

Working Capital, Land Area, Selling-Price Fluctuation Management, Farm Profitability, Smallholder Farmers, PLS-SEM

Abstract

This study examines the effects of working capital, land area, and selling-price fluctuation management on farm profitability in Banjar Village, Taliwang District, West Sumbawa Regency. The study applies a quantitative explanatory cross-sectional design and Partial Least Squares Structural Equation Modeling (PLS-SEM) using SmartPLS 4. The target population consists of farmers who reside in or operate farms in Banjar Village, while 100 respondents are selected through purposive sampling and the Paul Leedy formula for an unidentified population. Four reflective constructs are measured through 16 statements on a four-point Likert scale. The measurement model satisfies convergent validity, discriminant validity, and internal consistency criteria. Bootstrapping with 5,000 subsamples shows that working capital (β = 0.410; t = 6.094; p < 0.001), land area (β = 0.314; t = 4.341; p < 0.001), and selling-price fluctuation management (β = 0.414; t = 6.845; p < 0.001) positively affect farm profitability. The structural model explains 60.1% of profitability variance and demonstrates predictive relevance. The findings emphasize the complementary roles of seasonal liquidity, economically viable land scale, timely market information, flexible selling decisions, and margin-protection practices in strengthening smallholder profitability.

Downloads

Download data is not yet available.

References

Ahangar, N. (2021). Is the relationship between working capital management and firm profitability non-linear in Indian SMEs? Small Enterprise Research, 28(1), 23–35. https://doi.org/10.1080/13215906.2021.1872685

Assouto, A. B., Houensou, D. A., & Semedo, G. (2020). Price risk and farmers’ decisions: A case study from Benin. Scientific African, 8, e00311. https://doi.org/10.1016/j.sciaf.2020.e00311

Ayaz, M., & Mughal, M. (2024). Farm size and productivity: The role of family labor. Economic Development and Cultural Change, 72(2), 959–995. https://doi.org/10.1086/721837

Barney, J. (1991). Firm resources and sustained competitive advantage. Journal of Management, 17(1), 99–120. https://doi.org/10.1177/014920639101700108

Barrett, C. B., Bellemare, M. F., & Hou, J. Y. (2010). Reconsidering conventional explanations of the inverse productivity–size relationship. World Development, 38(1), 88–97. https://doi.org/10.1016/j.worlddev.2009.06.002

BPS-Statistik Kabupaten Sumbawa Barat. (2025). Kabupaten Sumbawa Barat dalam angka 2025. BPS-Statistik Kabupaten Sumbawa Barat.

Fan, S., Brzeska, J., Keyzer, M., & Halsema, A. (2013). From subsistence to profit: Transforming smallholder farms. International Food Policy Research Institute.

Food and Agriculture Organization of the United Nations. (2015). The economic lives of smallholder farmers: An analysis based on household data from nine countries. FAO.

Fornell, C., & Larcker, D. F. (1981). Evaluating structural equation models with unobservable variables and measurement error. Journal of Marketing Research, 18(1), 39–50. https://doi.org/10.1177/002224378101800104

Gilbert, C. L., & Morgan, C. W. (2010). Food price volatility. Philosophical Transactions of the Royal Society B: Biological Sciences, 365(1554), 3023–3034. https://doi.org/10.1098/rstb.2010.0139

Gołaś, Z. (2020). Impact of working capital management on business profitability: Evidence from the Polish dairy industry. Agricultural Economics–Czech, 66(6), 278–285. https://doi.org/10.17221/335/2019-AGRICECON

Hair, J. F., Risher, J. J., Sarstedt, M., & Ringle, C. M. (2019). When to use and how to report the results of PLS-SEM. European Business Review, 31(1), 2–24. https://doi.org/10.1108/EBR-11-2018-0203

Hair, J. F., Sarstedt, M., & Ringle, C. M. (2022). Explaining and predicting constructs, indicators, and outcomes: Necessary or surplus? European Journal of Marketing, 56(6), 1820–1845. https://doi.org/10.1108/EJM-06-2021-0464

Henseler, J., Ringle, C. M., & Sarstedt, M. (2015). A new criterion for assessing discriminant validity in variance-based structural equation modeling. Journal of the Academy of Marketing Science, 43(1), 115–135. https://doi.org/10.1007/s11747-014-0403-8

Kalkuhl, M., von Braun, J., & Torero, M. (Eds.). (2016). Food price volatility and its implications for food security and policy. Springer. https://doi.org/10.1007/978-3-319-28201-5

Kock, N., & Hadaya, P. (2018). Minimum sample size estimation in PLS-SEM: The inverse square root and gamma-exponential methods. Information Systems Journal, 28(1), 227–261. https://doi.org/10.1111/isj.12131

Kryszak, Ł., Guth, M., & Czyżewski, B. (2021). Determinants of farm profitability in the EU regions: Does farm size matter? Agricultural Economics–Czech, 67(3), 90–100. https://doi.org/10.17221/415/2020-AGRICECON

Leedy, P. D., & Ormrod, J. E. (2021). Practical research: Planning and design (12th ed.). Pearson.

Lelisho, A. E., & Lelisho, M. E. (2024). Impact of credit use on crop productivity and gross income of smallholder farmers: A propensity score matching approach. Discover Agriculture, 2, 38. https://doi.org/10.1007/s44279-024-00058-7

Lowder, S. K., Bhalla, G., & Davis, B. (2025). Decreasing farm sizes and the viability of smallholder farmers: Implications for resilient and inclusive rural transformation. Global Food Security, 46, 100854. https://doi.org/10.1016/j.gfs.2025.100854

Ngeno, V. (2024). Profit efficiency among Kenyan maize farmers. Heliyon, 10(2), e24657. https://doi.org/10.1016/j.heliyon.2024.e24657

Rahman, S. (2003). Profit efficiency among Bangladeshi rice farmers. Food Policy, 28(5–6), 487–503. https://doi.org/10.1016/j.foodpol.2003.10.001

Ringle, C. M., Wende, S., & Becker, J.-M. (2022). SmartPLS 4 [Computer software]. SmartPLS GmbH.

Shmueli, G., Sarstedt, M., Hair, J. F., Cheah, J.-H., Ting, H., Vaithilingam, S., & Ringle, C. M. (2019). Predictive model assessment in PLS-SEM: Guidelines for using PLSpredict. European Journal of Marketing, 53(11), 2322–2347. https://doi.org/10.1108/EJM-02-2019-0189

Teece, D. J., Pisano, G., & Shuen, A. (1997). Dynamic capabilities and strategic management. Strategic Management Journal, 18(7), 509–533. https://doi.org/10.1002/(SICI)1097-0266(199708)18:7<509::AID-SMJ882>3.0.CO;2-Z

Touch, V., Tan, D. K. Y., Cook, B. R., Liu, D. L., Cross, R., Tran, T. A., Utomo, A., Yous, S., Grünbühel, C. M., & Cowie, A. L. (2024). Smallholder farmers’ challenges and opportunities: Implications for agricultural production, environment and food security. Journal of Environmental Management, 370, 122536. https://doi.org/10.1016/j.jenvman.2024.122536

Wulandari, E., Karyani, T., Ernah, & Alamsyah, R. T. P. (2023). What makes farmers record farm financial transactions? Empirical evidence from potato farmers in Indonesia. International Journal of Financial Studies, 11(1), 19. https://doi.org/10.3390/ijfs11010019

Yogesh, S. G., & Ravindran, D. S. (2023). Farmers’ profitability through online sales of organic vegetables and fruits during the COVID-19 pandemic—An empirical study. Agronomy, 13(5), 1200. https://doi.org/10.3390/agronomy13051200

Yousaf, M., Bris, P., Haider, I., & McMillan, D. (2021). Working capital management and firm’s profitability: Evidence from Czech certified firms from the EFQM excellence model. Cogent Economics & Finance, 9(1), 1954318. https://doi.org/10.1080/23322039.2021.1954318

Downloads

Published

2026-07-20

How to Cite

Ashari, J., & Akbar, A. Z. (2026). Analisis Pengaruh Modal Kerja, Luas Lahan, dan Fluktuasi Harga Jual terhadap Profitabilitas Usaha Tani di Desa Banjar, Kecamatan Taliwang, Kabupaten Sumbawa Barat. SENTRI: Jurnal Riset Ilmiah, 5(7), 3851–3866. https://doi.org/10.55681/sentri.v5i7.7137