Comparative study of factors supporting broiler business development in Indonesian Border Areas with various characteristics: Structural Equation modeling using Partial Least Squares (SEMPLS)
Year: 2025
Type: article
Abstract: Broiler farms play a vital part in ensuring food security along Indonesia's borders. There is a trend of declining production while demand is increasing, leading to price volatility and dependence on external supplies. The purpose of this study is to compare the primary supporting factors for broiler business development in the border regions of Belu and Sambas. A mixed-method approach was used, integrating qualitative inquiry and quantitative validation with survey data from 200 broiler producers divided into two border areas groups using simple random sampling based on predefined criteria. Primary data was gathered via interviews, observations, and focus group discussions (FGDs). To investigate regional differences in supporting factors, the data were analyzed using Structural Equation Modeling Partial Least Squares (SEM-PLS) and Multi-Group Analysis (MGA) with smartPLS 4. The analysis results suggest that the two borders areas have different supporting variables for broiler development, with Belu being heavily influenced by the availability of frozen chicken supply, prices, output markets, and productivity. Meanwhile, prices, output markets, inputs, and government policies all have an impact on Sambas. Comparing regional groups reveals that the availability of frozen chicken supply and productivity have a greater impact in Belu. In contrast, inputs, farmer institutions, and government policies are more significant for broiler development in Sambas. Productivity has a more substantial influence on cultural elements and human resource capabilities in Belu than in Sambas. This study's SEM-PLS strategy, which uses Multi Group Analysis (MGA) in border region agribusiness research and stresses the significance of social, cultural, economic, institutional, and policy contexts, is innovative. These findings suggest that governments adopt targeted interventions for border regions in order to promote sustainable chicken production while also enhancing food security.
Authors: Maria Krova, Ratna Ayu Saptati, R.T.P. Hutapea, Ekwasita R. Pribadi, Diana.M. Sabat, Morin.M. Sol’Uf, Saptana, I.G.A.P. Mahendri, Jantje G. Kindangen, Joula O.M. Sondakh, Helena da Silva
Language: English
Subfield: Agronomy and Crop Science
Domain: Life Sciences
Open Access status: gold
Estimated APC paid: $1,180
Awards: G1717987195, G8213742099
OpenAlex ID: W7111158461