The furniture industry in Leces District, especially in Jorongan and Kerpangan Villages is a well-known Small and Medium Enterprises (SME) activity center in Probolinggo Regency, but the furniture industry in both areas has obstacles to meet market needs because the income of its craftsmen is arguably declining. This study aims to analyze the factors of non-development of SMEs in Kerpangan and Jorongan Villages based on the level of raw materials, marketing, and education level.
This research uses a quantitative approach. The research population is 109 furniture industry craftsmen from Jorongan Village and 32 people from Kerpangan Village with a total population of 141 craftsmen. This study used random sampling technique. Samples were found as many as 13 people from Kerpangan Village and 59 from Jorongan Village obtained by the Slovin formula. The variables of this study used sampling of raw materials, marketing, and the level of education of crafters. The data collection of this study was carried out through interviews and questionnaires, while the analysis was quantitative domain.
The research results for the distribution of raw materials were classified into 4 classes, including the First Class with a score of 191.78-236 declared very high, the Second Class with a score of 147.52-191.77 declared high, the Third Class with a score of 103.26-147.51 declared low, and the Fourth Class 59-103.25 declared very low. Based on this classification, in terms of raw materials, Kerpangan and Jorongan Villages are included in the low criteria with a total score of only 136. In terms of marketing, the two villages are also still relatively low with a total score of 143. The level of education, Kerpangan and Jorongan is still criticized as low with a total score of 143.
Keywords: Industry, Furniture, SME