The Government Support on Women Entrepreneurial Intention Affected by Layoffs in Tourism Industry
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E-Journal of Tourism Vol.9. No.1. (2022): 83-96
The Government Support on Women Entrepreneurial Intention Affected by Layoffs in Tourism Industry
Kristi Karla Arina*, Athina Isabella Sumanti, Gabriel Gradianto
Doctoral Program of Research in Management, Pelita Harapan University, Jakarta
*Corresponding Author: [email protected]
DOI: https://doi.org/10.24922/eot.v9i1.80576
Article Info
Submitted:
December 9th 2021
Accepted:
March 9th 2022
Published:
March 31st 2022
Abstract
The Likupang Tourism Special Economic Zone, North Minahasa Regency, has experienced a fairly severe economic impact due to Covid-19. Based on data at the beginning of the pandemic, from 2019 to 2020, there was a significant decline in the number of foreign tourists by 81.21%, resulting in a sharp decline in job opportunities and a massive increase in layoffs, especially for women workers. This study discusses the model of local government support to generate entrepreneurial intentions for women who have been laid off due to the Covid-19 pandemic. There are four government support as the intervention variable tested, financial support, assistance in design and production, supply chain coordination, and marketing and sales support. While the research object context is the internal locus and external locus of control, acting as exogenous variables. The survey used a questionnaire designed using a 5-point Likert scale. Questionnaires were distributed to women affected by layoffs who live in Minahasa Utara Regency, Sulawesi Utara Province, Indonesia, a total of 75 questionnaires were answered completely. Data analysis using Smart PLS. The results of data analysis show that, without government support intervention, women with an internal locus of control are more interested in becoming entrepreneurs than those with an external locus of control. Government support has a significant impact in generating entrepreneurial interest in women with internal and external locus of control. Women with an external locus of control are more motivated to become entrepreneurs, especially if they receive financial support, while women with an internal locus of control are more motivated to become entrepreneurs if they are supported in supply chain development. Government support for coordinating supply chains adds to the literature on external factors that have an impact on entrepreneurial intentions. The managerial implication of the findings of this study is the importance of the government's role, especially in financial support for women with external locus of control and supply chain support for women with internal locus of control. Suggestions for further research are to explore the expectations and needs of women affected by layoffs during the pandemic related to government intervention programs, to be more relevant in increasing their economic resilience.
Keywords: women entrepreneurial intention; internal locus of control; external locus of control; government support.
INTRODUCTION
Background
Indonesia is one of the countries affected by Covid-19, data from the World Health Organization (WHO) shows that as of November 10, 2021, the Indonesian government reported 4,249,323 confirmed cases of COVID-19 with 143,592 deaths (Novel Coronavirus, 2021). The economic impact of the Covid-19 pandemic is worst on the tourism industry. According to Ke-menparekraf.go.id data, the number of Indonesian tourists throughout 2020 decreased by 75% compared to 2019 (RI, 2021). According to the Indonesian Hotel and Restaurant Association (PHRI) in Re-publika.co.id, hotel occupancy in Indonesia decreased by 20% (PHRI, 2021). The decrease in the number of tourists has an impact on the amount of income, the impact on the reduction in the number of workers, and an increase in layoffs. The wave of layoffs during the Covid-19 pandemic increased sharply for reasons of force majeure and efficiency. Data published by Tempo magazine shows that as of May 2020, the number of workers laid off in Indonesia reached 3.05 million people (Tarigan, 2020). BPS data shows the number of Indonesians working in August 2020 fell by around 4.84 million people in just 6 months (Badan Pusat Statistik, 2020).
Minahasa Utara Regency, including the Likupang Tourism Special Economic Zone, one of the five super-priority destinations of the Government of Indonesia has experienced a fairly severe economic impact due to Covid-19 (KEK Likupang Sulut, 2019). Based on data from the Central Statistics Agency (BPS), there was a significant decrease in the number of foreign tourists by 81.21% from 130,680 foreign tourists in 2019 to 24,550 foreign tourists in 2020 (Badan Pusat Statistik, 2020). The decline in foreign tourists was the largest, from 93,964 in 2019 to 11,093 in 2020. The decline in the number of http://ojs.unud.ac.id/index.php/eot 84
tourists in Minahasa Utara Regency due to the Covid-19 pandemic caused reduced employment and increased unemployment. Based on BPS data, the open unemployment rate in Minahasa Utara Regency which in 2019 fell to 5.01%, again increased to 7.88% in 2020 (BPS Kab. Minahasa Utara, 2021). Layoffs for female workers mean stopping their income. According to Gunawan (2011), the first problem faced by someone affected by layoffs is psychological pressure due to uncertainty when the period of unemployment, without income, life feels over. In conditions like this, locus of control as a psychological aspect affects the individual's perspective in dealing with layoffs.
Many studies on building entrepreneurial intentions for women affected by layoffs have been carried out by several previous scholars (Tambunan, 2011; Marri et al., 2011; Nziku and Henry, 2020; Li et al., 2021). Some scholars have found that entrepreneurial interest is built by locus of control. For example, that entrepreneurial intentions will grow well in people who have a strong internal locus of control (Hsiao et al., 2015). Bernardus et al. (2020) found that individuals with internal locus of control characteristics will strengthen entrepreneurial intention. Alkorful and Hilton (2021) found that there is a positive relationship between locus of control (both internal and external) and entrepreneurial intention. In contrast to previous findings, some recent research such as Auna (2020) found that there was no influence of the internal locus of control on entrepreneurial intentions. Likewise Nasip et al. (2017) and Cater et al. (2021) found that locus of control is not significantly related to entrepreneurial intention.
The research findings above indicate that the locus of control personal characteristics are no longer sufficient to have a significant impact on entrepreneurial intentions. Further research is needed, including e-ISSN 2407-392X. p-ISSN 2541-0857
studying external factors that can intervene in locus of control in order to build entrepreneurial intentions. This study examines external factors, namely government support, as an intervening variable to grow and build entrepreneurial intention. The object of research is that women are affected by layoffs from the tourism industry, they suffer the most compared to other industries (Parvin, 2021).
One of the efforts that can be done to help women, especially those affected by layoffs, is to open a business. Meanwhile, to open a business they encountered many obstacles. The COVID-19 pandemic that has lasted for almost two years, with various restrictions, has caused limitations and many physical and psychological problems (Gui et al., 2021). This pandemic is very draining of their capital, materials, and confidence. Meanwhile, it is not easy for local governments to develop the best policies to help those open businesses, especially for the victims of layoffs. Academic studies are needed as input for the government to help and awaken those affected by layoffs to open businesses to be independent. Especially assistance for women tourism workers who have been affected by layoffs.
In contrast to the research findings that have been discussed above, there is a research gap, namely the role of external factors that can intervene in the locus of control in order to build entrepreneurial intentions is not widely discussed. Especially the intervention program of the Minahasa Utara Regency government to foster and build entrepreneurial intentions for local women who have been laid off from the tourism industry, who suffer the most compared to other industries. Empirical research is needed as input for intervention programs for the Minahasa Utara Regency government, because tourism employment in this district in the last two years has drastically reduced by almost 82%.
LITERATURE REVIEW
Entrepreneurship plays an important role in answering employment problems. Entrepreneurial intention is defined as the conscious state of mind that precedes action and directs attention toward entrepreneurial behaviors such as starting a new business and becoming an entrepreneur (Moriano et al., 2011). One of the main factors that influence entrepreneurial intention is locus of control. The concept of locus of control was first put forward by Rotter in 1996, a social learning theorist. Locus of control is a person's perspective on an event whether he/she can or unable to control the events that happen to him/her. Locus of control according to Kreitner and Kinicki (2012) consists of two constructions, namely internal and external. If someone believes that what happens is always under his control and always takes a role and is responsible for every decision making, including the internal locus of control. Meanwhile, someone who believes that events in his life are beyond his control, is included in the external locus of control.
Individuals with an internal locus of control view everything experienced in life as caused by their own actions and abilities. In the face of layoffs, individuals with internal locus of control assume that everything that happens in their lives can be controlled by themselves. Thus individuals are able to develop creativity and have high entrepreneurial intentions. Bernardus et al. (2020) specifically stated that internal locus of control was found to strengthen the entrepreneurial intentionaction relationship. Furthermore, internal locus of control is found to be the most substantial element in developing entrepreneurial intentions (Li et al., 2021). There is a positive relationship between internal locus of control and entrepreneurial intention.
H1: Internal locus of control of women affected by layoffs influences their entrepreneurial intentions.
According of Li et al., (2021) external locus of control is substantial element in developing entrepreneurial intentions. There is a positive relationship between external locus of control and entrepreneurial intention. External locus of control has more influence on entrepreneurial intention compared to internal locus of control (Arkorful and Hilton 2021).
H2: External locus of control of women affected by layoffs influences their entrepreneurial intentions.
Entrepreneurship can grow and develop from efforts and control from within and/or due to efforts, influence, or control from outside. For example, government has the responsibility to provide solutions to these problems. One of them is by providing support to women affected by layoffs to become entrepreneurs. At a minimum, the government supports increased in entrepreneurial intention. Scholar Tambunan (2011) highlighted the need for the government to support small businesses to develop further. Support that needs to be done includes market expansion, business networks, financial support, as well as production and design expertise. Furthermore, the study by Nziku and Henry (2020) suggest that policies designed to support women's entrepreneurship, such as financial support, business management support, supplier cooperation support, and market support, need to be formalized and contextualized, in order to be effective. According to Hsiao et al. (2015) social capital, such as supply and distribution networks, and human capital, such as process and design innovation capabilities, are key mediating variables in which locus of control influences entrepreneurship. Government support in education and training, such as marketing training, http://ojs.unud.ac.id/index.php/eot 86
production design training, and communication training to establish good cooperative relationships with customers and suppliers, has a significant and positive influence on entrepreneurial intentions (Krichen and Chaabouni, 2021). Government support for small and medium enterprises is needed at every stage. Companies that have received assistance from their governments have proven successful in growing (Marri et al., 2011). The role of the government such as financial support, support for design and production skills, sales expertise, and capital such as social cooperation relationships with suppliers and distribution channels, significantly affects the social entrepreneurship orientation of small and medium enterprises (Mashudi et al., 2018).
Because the locus of control (Kreitner and Kinicki, 2012) consists of two constructions, namely the internal locus of control and external locus of control, the hypothesis can be derived:
H3: Government support in finance, design and production, supply chain, marketing and sales will mediate the impact of the internal locus of control of women affected by layoffs on their entrepreneurial intentions.
H4: Government support in finance, design and production, supply chain, marketing and sales will mediate the impact of the external locus of control of women affected by layoffs on their entrepreneurial intentions.
RESEARCH METHODS
The quantitative research method is used to examine specific populations, with statistical data analysis to test the hypotheses that have been inferred. The population is all women affected by layoffs, former employees in the tourism industry in Minahasa Utara Regency, Sulawesi Utara province. Determination of e-ISSN 2407-392X. p-ISSN 2541-0857
sample data by snowball, provided that women are affected by layoffs during the Covid-18 pandemic. Questionnaires were distributed to several women who were laid off from tourism jobs in North Minahasa Regency from July to October 2021 and 75 respondents answered completely and deserved further analysis.
The researcher determines the measurements of the construct for internal locus of control (Fitzgerald and Clark,
2013) are: (1) I get from what I do, (2) In most jobs, people can achieve much of what they want to achieve, (3) People will get the jobs they want, (4) If you don't agree with your boss, you'll decide for yourself, (5) Most people can do their job well if they put in the effort, (6) Promotions are given to workers who do a good job, (7) People who do a good job will be well rewarded, and (8) Most people have more influence than they think.
The construct of the external locus of control (Fitzgerald and Clark, 2013) are measured by (1) Most people get jobs by luck, (2) Making money is basically a matter of luck, (3) To get a really good job, it is necessary to have a family member or friend in a high position, (4) Career promotion is usually a matter of luck, (5) Getting a good job depends on who we know rather than our abilities, (6) To make a lot of money, we have to get to know the right people, (7) It takes luck to be an excellent worker at most jobs, and (8) The main difference between people who make a lot of money and people who make little money is luck.
The construct of the entrepreneurial intention (Hallam et al., 2016; Lee-Ross, 2017) are measured by (1) Ready to do
anything to become an entrepreneur, (2) Professional goal to become an entrepreneur, (3) Make every effort to start and run their own business, (4) Striving to create a company in the future, (5) Always thinking about starting a business, and (6) Have a strong intention to start a company one day.
The construct of the government support (Marri et al., 2011) are divided become four dimensions, (1) Financial support, (2) Design and production support, (3) Supply chain support, and (4) Marketing and sales support. The measurement items used for Financial support were (1) The government provides tax breaks in running the businesses of those affected by layoffs, (2) The government facilitates loans with lower interest rates or easier loan systems to
those affected by layoffs to finance their businesses, and (3) The government facilitates special interest-free loans and long-term repayments to those affected by layoffs. The measurement items used for Design and Production support were (1) The government facilitates training in packaging design, product design, and marketing strategy design. (2) The government provides technical training or assistance in starting a business for those affected by layoffs. (3) The government facilitates goods production training. (4) The government facilitates service training. (5) The government establishes production centers thematically. The measurement items used for Supply Chain support were (1) The government coordinates cooperation between production centers/suppliers, sales centers/buyers and those affected by layoffs. (2) The government coordinates the relationship between layoff victims and investors/banks to finance production, sales, or logistics businesses. (3) The government coordinates the logistics efforts of layoff victims to serve production centers/suppliers and sales centers/buyers affected by layoffs. (4) The government facilitates information and communication systems for integration/relationships between production centers/suppliers and sales centers/buyers affected by layoffs. The measurement items used for Marketing and Sales support were (1) The government facilitates offline sales centers for the products of those affected by layoffs thematically, for example street food, food court areas. (2) The government facilitates online sales centers for the products of those affected by layoffs, for example facilitating market places. (3) The government facilitates the promotion of products resulting from the work of those Table 1. Profile of Respondents
Generation % Status %
affected by layoffs, for example opening joint exhibitions on a regular basis. (4) The government directs government agencies to spend on goods or services produced by those affected by layoffs. Furthermore, analysis of the data used Smart Partial Least Square 3.0 software (Ringle et al., 2015), and hypothesis testing is done by assessing the p-value result from the bootstrapping.
RESULT
Respondents who filled in returned the questionnaire to the researcher as many as 75 questionnaires. The characteristics of respondents are shown in Table 1. All respondents are women affected by layoffs in tourism industry. They are spread across four generations, with Generation Z and Generation Y or Millennial over 65%, a quarter of Generation X and the rest the oldest generation, Baby Boomers. Their education level is mostly high school (80%). They are mostly married with 2-3 burdens in the family (42.9%) and then are still single (22.9%). Their source of income before layoffs was mostly from one source, namely jobs in tourism (74.3%) and onefifth of them source of income from two jobs. Their positions before layoffs were mostly operators or field officers (80.6%) and the rest were administration staff. Their functions before layoffs were mostly in food production (34.3%), while the rest were spread as front office (17.1%), engineer, driver, housekeeping, marketing and sales, customer care, finance, security, and cleaning service. After they are laid off, most of them live together in family homes (62.9%), and most of their income comes from working as non-permanent workers.
Work unit Position before
before layoffs layoffs
|
Gen Z |
20,0 |
Single |
22,9 |
Housekeeping |
5,7 |
Administration staff |
19,4 |
|
Gen Y |
45,7 |
Married, no burden |
8,6 |
Front office |
17,1 |
Operator/field officer |
80,6 |
|
Gen X |
25,7 |
Married, 1 burden |
8,6 |
Food production |
34,3 |
Current house |
% |
|
Baby Boomer |
8,6 |
Married, 2-3 burdens |
42,9 |
Marketing & sales |
5,7 |
Own house |
34,3 |
|
Married, > 3 burdens |
17,1 |
Customer care |
5,7 |
Family house |
62,9 | ||
|
Education |
% |
Income before layoffs |
% |
Finance |
2,9 |
Rent house |
2,9 |
|
S1/D4 |
5,7 |
1 source |
74,3 |
Engineer |
14,3 |
Expenditure after layoffs |
% |
|
D1/D2/D3 |
5,7 |
2 sources |
20,0 |
Security |
2,9 |
Savings |
8,6 |
|
High school |
80,0 |
Other business |
5,7 |
Driver |
8,6 |
Non-permanent work |
77,1 |
|
Junior High School |
8,6 |
Cleaning service |
2,9 |
Family loan |
14,3 | ||
The measurement model is assessed to ensure that those indicators assigned are valid and reliable (Table 2). Loading of each item is more than 0.60, all indicators are valid in terms of
convergent validity. Table 2 also showed the reliability for the block indicator of each variable. Composite reliability scores are greater than 0.70, all indicators are considered reliable (Ghozali, 2014).
Table 2. Validity and Reliability of Indicators or Measurements
|
Variable |
Factor Composite Indicators Loading Reliability |
|
External Locus of Control |
Getting a good job depends on who we know more than our ability 0,698 0,825 To make a lot of money, we have to know the right people 0,802 We need luck to be extraordinary workers 0,840 |
|
Internal Locus of Control |
We get income mainly from our own business 0,646 If the opinion of the leadership does not match expectations, 0,688 we will make our own decisions we w ma e our own ec s ons 0,787 Everyone has the ability to work on something, they just don't 0,883 realize it |
|
Entrepreneurial Intention |
Ready to do anything to become an entrepreneur 0,884 Professional goal is to become an entrepreneur 0,909 Make every effort to start and run your own company 0,903 Determined to make the company of the future 0,865 Always thinking about starting a business 0,861 Have a strong intention to start a company one day 0,862 |
|
Design and Production Support |
The government facilitates training on packaging/product design 0,602 0,889 The government provides training/assistance to start a business 0,893 The government facilitates goods production training 0,804 The government facilitates training to provide quality services 0,753 The government establishes production centers thematically 0,851 |
|
E-Journal of Tourism Vol.9. No.1. (2022): 83-96 | |
|
Financial Support |
The government provides tax breaks for businesses affected by 0,928 layoffs The government facilitates loans with low interest rates or an 0,930 easier loan system to finance businesses , The government facilitates special interest-free loans and long- 0,852 term repayments |
|
Marketing and Sales Support |
The government facilitates offline sales centers for business products thematically, for example street food, food court areas , The government facilitates online sales centers for business products, for example facilitating market places. , , The government facilitates the promotion of business products, for example opening joint exhibitions on a regular basis , The government directs government agencies to spend on goods or services produced by those affected by layoffs , |
|
Supply Chain Support |
The government coordinates cooperation between production centers/suppliers and sales centers/buyers affected by layoffs , The government coordinates the relationship of layoff victims with investors/banks to finance production, sales, or logistics 0,741 businesses 0,894 The government coordinates the logistics efforts of those affected by layoffs to serve production centers/suppliers and 0,898 sales centers/buyers for those affected by layoffs The government facilitates information and communication systems for integration/relationships between production 0,864 centers/suppliers and sales centers/buyers affected by layoffs |
The coefficient of determination R2 for the endogenous construct, entrepreneurial intention, is 0.513, representing that 51.3% of the variance in entrepreneurial intention can be explained by internal and external variances of locus of control and government support based on sample data. The R2=51.3% for endogenus construct is considered at a moderate level. With a moderate R2 value, this structural model deserves further analysis.
The next analysis is hypothesis testing, there are four hypotheses, namely two direct impacts of internal and external locus of control on entrepreneurial intention and two indirect impacts through intervening construct government support. SmartPLS technique examines the hypothesis by assessing p-value after bootstrapping technique. The result of the analysis is shown in Table 3 and Table 4.
With a significance level of □ = 5%, it was found that women affected by layoffs with a strong external locus of control did not have an entrepreneurial intention (path coefficient 0.117 and not significant), in contrast to women with a strong internal locus of control, significantly had entrepreneurial intention (path coefficient 0.339 and significant). Meanwhile, the direct impact of internal and external locus of control on government support, and subsequently the direct impact of government support on entrepreneurial intention, is mostly significant (Table 3). Only the impact of external locus of control on government support on design and production is not significant at the significance level □ □ = 5%. Furthermore, the indirect impact of internal and external locus of control through mediation or intervening construct government support on women entrepreneurial intentions affected by layoffs is described in Table 4.
Table 3. Hypothesis Testing
|
Direct Effect |
Path Coefficient |
p-Values |
Remarks |
|
External Locus of Control -> Entrepreneurial Intention |
0.117 |
0.683 |
Not significant |
|
External Locus of Control -> Design & Production Support |
0.038 |
0.843 |
Not significant |
|
External Locus of Control -> Financial Support |
0.254 |
0.008* |
Significant |
|
External Locus of Control -> Marketing & Sales Support |
0.306 |
0.031* |
Significant |
|
External Locus of Control -> Supply Chain Support |
0.231 |
0.048* |
Significant |
|
Internal Locus of Control -> Entrepreneurial Intention |
0.339 |
0.000* |
Significant |
|
Internal Locus of Control -> Design & Production Support |
0.638 |
0.003* |
Significant |
|
Internal Locus of Control -> Financial Support |
0.532 |
0.001* |
Significant |
|
Internal Locus of Control -> Marketing & Sales Support |
0.562 |
0.038* |
Significant |
|
Internal Locus of Control -> Supply Chain Support |
0.764 |
0.000* |
Significant |
|
Marketing & Sales Support -> Entrepreneurial Intention |
0.717 |
0.000* |
Significant |
|
Supply Chain Support -> Entrepreneurial Intention |
0. 683 |
0.000* |
Significant |
|
Design & Production Support -> Entrepreneurial Intention |
0.380 |
0.001* |
Significant |
|
Financial Support -> Entrepreneurial Intention |
0.838 |
0.000* |
Significant |
DISCUSSION
In difficult conditions, where pandemic is still ongoing, the economy has not recovered, women with a strong external locus choose as laborers to work with other people, doing whatever they want as long as they get paid. Unlike women with a strong internal locus of control, they try to build a business with their own strengths. Based on their experiences when working in hotels or restaurants, some of them with strong internal locus of control opened coffee shops, food, cakes, which are sold online.
Previously, women were in the florist and gardening divisions, they were in the business of flower plants or ornamental fish. Previously, women in the cleaning service, they opened a laundry service.
Furthermore, if we observe the indirect relationship (Table 4), namely the impact of government intervention in the form of financial support, design and production training, supply chain development, as well as opening up marketing and sales spaces, the results are encouraging for both types of locus of control for women affected by layoffs.
Table 4. Indirect Effect of Government Support on Entrepreneurial Intention
|
Indirect Effect to Entrepreneurial Intention |
Path Coefficient |
Remarks |
|
External Locus of Control -> Design & Production Support -> Entrepreneurial Intention |
- |
Not significant |
|
External Locus of Control -> Financial Support -> Entrepreneurial Intention |
0.213 |
Significant |
|
External Locus of Control -> Marketing & Sales Support -> Entrepreneurial Intention |
0.219 |
Significant |
|
External Locus of Control -> Supply Chain Support -> Entrepreneurial Intention |
0.158 |
Significant |
|
Internal Locus of Control -> Design & Production Support -> Entrepreneurial Intention |
0.242 |
Significant |
|
Internal Locus of Control -> Financial Support -> Entrepreneurial Intention |
0.446 |
Significant |
|
Internal Locus of Control -> Marketing & Sales Support -> Entrepreneurial Intention |
0.403 |
Significant |
|
Internal Locus of Control -> Supply Chain Support -> Entrepreneurial Intention |
0.522 |
Significant |
Women affected by layoffs with a strong external locus of control, with government support, they are moved to open businesses. Government support in marketing and sales has a significant impact (path coefficient 0.219) in generating entrepreneurial intention, as well as support in finance (path coefficient 0.213) and in the supply chain (path coefficient 0.158). Efforts that can be made by the government to support marketing and sales, such as facilitating online sales centers for business products, for example facilitating market places. Facilitating the promotion of business products, for example opening joint exhibitions on a regular basis. Facilitates offline sales centers for business products thematically, for example street food, food court areas. The government directs government agencies to spend on goods or services produced by those affected by layoffs. Government support in finance, including facilitating loans with low interest rates or an easier loan system to finance businesses, providing tax breaks for businesses affected by layoffs, facilitating special interest-free loans and long-term repayments. Support in building the supply chain includes coordinating the logistics efforts of those affected by layoffs to serve
production centers/suppliers and sales centers/buyers for those affected by layoffs. Facilitates information and communication systems for integration/relationships between production centers/suppliers and sales centers/buyers affected by layoffs. Coordinates cooperation between production centers/suppliers and sales centers/buyers affected by layoffs. Coordinates the relationship of layoff victims with investors/banks to finance production, sales, or logistics businesses. Meanwhile, government support in design and production is not significant in generating entrepreneurship from female layoff victims with a strong external locus.
Meanwhile, for women affected by layoffs whose internal control of locus is strong, all forms of government intervention or support have a strong impact, and the impact is even stronger than without support. The most powerful government intervention is facilitating relationships with suppliers of raw materials and product distributors in the distribution chain (path coefficient 0.522). Expected supply chain interventions primarily coordinates the logistics efforts of those affected by layoffs to serve production centers/suppliers and sales
centers/buyers for those affected by layoffs, and facilitates information and communication systems for
integration/relationships between
production centers/suppliers and sales centers/buyers affected by layoffs. The next government intervention program that is expected by women affected by layoffs is financial support (path coefficient 0.446), especially in providing tax breaks for businesses affected by layoffs and facilitating loans with low interest rates or an easier loan system to finance businesses. Furthermore, government intervention programs that are able to increase interest in entrepreneurship are marketing and sales support (path coefficient 0.403), especially in facilitating online sales centers for business products and facilitating the promotion of business. Provides training/assistance to start a business, facilitates goods production training. Government facilitates training to provide quality services and establishes production centers thematically.
In total, the impact of all government intervention programs in generating interest in entrepreneurship among women who are laid off victims with a strong internal locus of control (the total path coefficient is 1.613) is 2.7 times greater than that of women with a strong external locus of control (the sum of all path coefficients is 0,59). This means that all government efforts to arouse interest in entrepreneurship in women who are laid off victims with a strong external locus of control are almost three times heavier than for women affected by layoffs with a strong external locus of control. If the government's capacity is limited, then the priority can be done by focusing assistance efforts on women with strong internal locus of control characteristics, because fewer resources are needed. Furthermore, of the various intervention programs, the strongest impact on the two characteristics of female control, in order from largest to http://ojs.unud.ac.id/index.php/eot 93
smallest is supply chain support, then financial support, marketing and sales support, and finally design and production support. This illustrates the priority scale that the local government can choose in generating interest in entrepreneurship for women affected by layoffs in Sulawesi Utara, especially in Minahasa Utara. What is most needed at this time is the government to facilitate cooperation with supplier channels to supply more varied and cheaper raw materials as well as with distribution and marketing channels to facilitate and expand the marketing of their products. The government is highly expected, especially in coordinating the logistics efforts of those affected by layoffs to serve production centers/suppliers and sales centers/buyers for those affected by layoffs. Facilitate information and communication systems for integration/relationships between production centers/suppliers and sales centers/buyers affected by layoffs.
CONCLUSION
The present study was designed to empirically investigate the effect of internal and external locus of control of women affected by layoffs on their entrepreneurial intention, with intervention variables being government support in finance, design and production, supply chain, and marketing and sales, during the Covid-19 pandemic in Regency of Minahasa Utara, Province of Sulawesi Utara. The following conclusions can be drawn from the present study. The results showed that women with a strong external locus of control did not directly have a significant impact on their entrepreneurial intention. Meanwhile, women with a strong internal locus of control, the effect on entrepreneurial intention is very strong and significant. Furthermore, for women affected by layoffs with external locus of control, government support in finance,
supply chain, and marketing and sales is able to significantly increase their entrepreneurial intention. Meanwhile, women affected by layoffs with internal locus of control, government support in design and production, finance, supply chain, and marketing and sales, are able to generate stronger and significantly stronger interest in entrepreneurial intention, compared to those without government support.
This research can provide input for local governments, especially the Regional Government of Regency of Minahasa Utara, to take strategic policies in generating entrepreneurial intention for women affected by layoffs, especially layoffs in the tourism industry. This research also adds to the knowledge of Entrepreneurship Management, especially the need for government intervention in difficult times. This research has limitations, namely the number of samples that are not large, due to the limited number of respondents who can be found during the period of strict social restrictions. Also limited in the intervening variables tested. In the future, it is necessary to conduct a more in-depth study with a larger number of samples and the intervening variables studied are raised from the needs of the research object, so that the intervention variables have a stronger impact on building entrepreneurial intention.
REFERENCES
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