The Role of Asta Brata Leadership on MSME Performance During Pandemic, Financial Literacy Moderating

  • Putu Atim Purwaningrat Indonesia Hindu University
  • Ni Ketut Muliati Indonesia Hindu University
  • Luh Nik Oktarini Indonesia Hindu University
Keywords: Asta brata leadership, financial literacy, msme performance


This study observes the leadership role of Asta Brata which is one of the local wisdoms in Bali towards improving the performance of MSMEs during pandemic. Some researchers usually use leadership style variables that are adopted from outside, so there is a need for reinterpretation and adaptation to local culture. This study also uses financial literacy as moderation. This study aims to determine the influence of Asta Brata's leadership on the performance of MSMEs in Badung Regency during the pandemic with Financial Literacy as moderation. The survey was conducted on 100 people MSME in Badung Regency. The data were collected through online form. The validity and reliability had been met. Data analysis was carried out by partial least square in structural equation model approach (SEM-PLS). The results showed that Asta Brata's Leadership positive and significant effect on MSME performance. Financial Literacy has a positive and significant effect on the performance of MSMEs. Financial Literacy is able to moderate the relationship between Asta Brata Leadership and the Performance of MSMEs in Badung Regency during the Pandemic.


AHMAD, I., & AHMAD, S. bin. (2021). Effect of Managerial Skills on the Performance of Small-and Medium-Sized Enterprises: A Case Study in Pakistan. Journal of Asian Finance, Economics and Business, 8(4), 161–170.

Alberto Castañeda García, J., Miguel Rey Pino, J., Elkhwesky, Z., & Elbayoumi Salem, I. (2022). Identifying core “responsible leadership” practices for SME restaurants “Responsible leadership” practices.

Ali, I., & Hatta, Z. A. (2014). Zakat as a poverty reduction mechanism among the muslim community: Case study of Bangladesh, Malaysia, and Indonesia. Asian Social Work and Policy Review, 8(1), 59–70.

Anshika, Singla, A., & Mallik, G. (2021). Determinants of financial literacy: Empirical evidence from micro and small enterprises in India. Asia Pacific Management Review, 26(4), 248–255.

Aribawa, D. (2016). Pengaruh literasi keuangan terhadap kinerja dan keberlangsungan UMKM di Jawa Tengah. Jurnal Siasat Bisnis, 20(1), 1–13.

Beraha, I., & Đuričin, S. (n.d.). The Impact of COVID-19 Crisis on Medium-sized Enterprises in Serbia.

Bourletidis, K., & Triantafyllopoulos, Y. (2014). SMEs Survival in Time of Crisis: Strategies, Tactics and Commercial Success Stories. Procedia - Social and Behavioral Sciences, 148, 639–644.

Cucinelli, D., Trivellato, P., & Zenga, M. (2019). Financial Literacy: The Role of the Local Context. Journal of Consumer Affairs, 53(4), 1874–1919.

Dahmen, P., & Rodríguez, E. (2014). Financial Literacy and the Success of Small Businesses: An Observation from a Small Business Development Center. Numeracy, 7(1).

Dawuda, A., & Azeko, I. (2015). An Assessment of Financial Records Keeping Behaviour of Small Scale Businesses in Ghana: A Case Study of Bolgatanga Municipality. International Journal of Finance and Accounting, 2015(3), 187–194.

Dian Sudewi, N. N., & Sutrisna Dewi, S. K. (2022). The Effect Of Financial Literacy And Intellectual Capital On Financial Performance. International Journal of Business Management and Economic Review, 05(04), 240–251.

Ergün, K. (2018). Financial literacy among university students: A study in eight European countries. International Journal of Consumer Studies, 42(1), 2–15.

Frisdiantara, C., & Sahertian, P. (2012). The Spiritual Leadership Dimension In Relation to Other Value-Based Leadership in Organization. In International Journal of Humanities and Social Science (Vol. 2, Issue 15).

Godfrey, J. (2019). The Influence Of Financial Literacy On The Perfomance Of Small Business Processors Of Cereals In Morogoro Municipal Council. Digital Research Repository Mzumbe University.

Goswami, K., Hazarika, B., & Handique, K. (2017). Determinants of financial risk attitude among the handloom micro-entrepreneurs in North East India. Asia Pacific Management Review, 22(4), 168–175.

Harahap, S., Thoyib, A., Sumiati, S., & Djazuli, A. (2022). The Impact of Financial Literacy on Retirement Planning with Serial Mediation of Financial Risk Tolerance and Saving Behavior: Evidence of Medium Entrepreneurs in Indonesia. International Journal of Financial Studies, 10(3).

Herbane, B. (2019). Rethinking organizational resilience and strategic renewal in SMEs. Entrepreneurship and Regional Development, 31(5–6), 476–495.

Hui Lim, C., & Ban Teoh, K. (2021). Factors influencing the SME business success in Malaysia. Annals of Human Resource Management Research, 1(1), 41–54.

Islam, A., Zawawi, N. F. M., & Wahab, S. A. (2021). Rethinking survival, renewal, and growth strategies of SMEs in Bangladesh: the role of spiritual leadership in crisis situation. PSU Research Review.

Kuntze, R., Wu, C. (Ken), Wooldridge, B. R., & Whang, Y. O. (2019). Improving financial literacy in college of business students: modernizing delivery tools. International Journal of Bank Marketing, 37(4), 976–990.

Lusardi, A. (2019). Financial literacy and the need for financial education: evidence and implications. Swiss Journal of Economics and Statistics, 155(1).

Madanchian, M., & Taherdoost, H. (2019). Assessment of Leadership Effectiveness Dimensions in Small and Medium Enterprises (SMEs). Procedia Manufacturing, 32, 1035–1042.

Nkundabanyanga, S. K., Kasozi, D., Nalukenge, I., & Tauringana, V. (2014). Lending terms, financial literacy and formal credit accessibility. International Journal of Social Economics, 41(5), 342–361.

Ozaralli, N., & Rivenburgh, N. K. (2016). Entrepreneurial intention: antecedents to entrepreneurial behavior in the U.S.A. and Turkey. Journal of Global Entrepreneurship Research, 6(1).

Özer, F., & Tınaztepe, C. (2014). Effect of Strategic Leadership Styles on Firm Performance: A Study in a Turkish SME. Procedia - Social and Behavioral Sciences, 150, 778–784.

Park, S., Lee, I. H., & Kim, J. E. (2020). Government support and small- and medium-sized enterprise (SME) performance: the moderating effects of diagnostic and support services. Asian Business and Management, 19(2), 213–238.

Primandaru, N. (2017). Analisis Faktor-Faktor yang Berpengaruh Pada Minat Berwirausaha Mahasiswa. Jurnal Economia, 13(1), 68.

Rose, E. (2019). TRANSFORMATIONAL Leadership As An Antecedent And Sme Performance As A Consequence Of Entrepreneurial Orientation In An Emerging Market Context. In International Journal of Entrepreneurship (Vol. 23, Issue 4).

Septiani, R. N., & Wuryani, E. (2020). Pengaruh Literasi Keuangan Dan Inklusi Keuangan Terhadap Kinerja Umkm Di Sidoarjo. E-Jurnal Manajemen Universitas Udayana, 9(8), 3214.

Sholikhah, Z., Wang, X., & Li, W. (2019). The role of spiritual leadership in fostering discretionary behaviors: The mediating effect of organization based self-esteem and workplace spirituality. International Journal of Law and Management, 61(1), 232–249.

Stern, E. K. (2017). Crisis, leadership, and extreme contexts. In Advanced Sciences and Technologies for Security Applications (pp. 41–59). Springer.

Talli, D. (2021). YUME : Journal of Management Pengaruh Gaya Kepemimpinan terhadap Kinerja Karyawan (Studi Kasus : PT Andika Karyatama). YUME : Journal of Management, 5(1), 704–712.

Tuffour, J. K., Amoako, A. A., & Amartey, E. O. (2022). Assessing the Effect of Financial Literacy Among Managers on the Performance of Small-Scale Enterprises. Global Business Review, 23(5), 1200–1217.

Yakob, S., Yakob, R., B.A.M, H.-S., & Ahmad Rusli, R. Z. (2021). Financial Literacy and Financial Performance of Small and Medium-sized Enterprises. The South East Asian Journal of Management, 15(1).

Yanto, H., Kiswanto, Baroroh, N., Hajawiyah, A., & Rahim, N. M. (2022). The Roles Of Entrepreneurial Skills, Financial Literacy, And Digital Literacy In Maintaining Msmes During The Covid-19 Pandemic. Asian Economic and Financial Review, 12(7), 504–517.

Ye, J., & Kulathunga, K. M. M. C. B. (2019). How does financial literacy promote sustainability in SMEs? A developing country perspective. Sustainability (Switzerland), 11(10).

Zhang, Y., & Yang, F. (2021). How and when spiritual leadership enhances employee innovative behavior. Personnel Review, 50(2), 596–609.

Abstract viewed = 116 times
PDF downloaded = 150 times