Analysis of Factors That Affect the Level of Income of Micro, Small and Medium Enterprises (MSMEs) in Langkat Regency Through E-Commerce

This study aims to analyze the factors that influence the income level of small and medium enterprises (SMEs) in Langkat Regency through e-commerce as a moderating variable. The population of this study were SME actors in Langkat Regency. The sampling technique in this study was a random sample, obtaining a sample of 92 observation data. The data analysis method in this study was Structural Equation Modeling (SEM). The results of this study found that business capital, labor, business location, and working hours had an effect on income. This study aims to determine the factors that influence the level of income of micro, small and medium enterprises (MSMEs) in Langkat Regency through e- commerce. In addition, this study aims specifically to analyze the influence of business capital, labor, business location, working hours, and e-commerce and income of micro, small and medium enterprises (MSMEs) in Langkat Regency. This study uses a Structural Equation Model (SEM) approach based on Partial Least Square (PLS). PLS is a structural equation model (SEM) based on components or variants. The results of this study indicate that the existence of e-commerce mediates the influence of capital on income, e-commerce mediates the influence of labor on income, e-commerce mediates the influence of location on income, and e- commerce mediates the influence of working hours on income. Keywords: Income, E-commerce, Capital, Labor, Location, and Working Hours