Consumer and Productive Credit Allocation as Determinants of Household Business Sustainability in Makassar City
DOI:
https://doi.org/10.59525/jess.2037Keywords:
consumer credit; productive credit; business sustainability; household businesses; Makassar CityAbstract
Credit is one source of financing that can support household business sustainability, but its impact depends greatly on how the funds are allocated. This study aims to analyze the effect of the allocation of consumer credit and productive credit on household business sustainability in Makassar City. The study uses a quantitative approach with an explanatory research design. Primary data were obtained through a five-point Likert-scale questionnaire and analyzed using multiple linear regression with the assistance of IBM SPSS Statistics. The tests included validity, reliability, classical assumptions, the t-test, the F-test, and the coefficient of determination. The results show that consumer credit has a positive and significant effect on business sustainability, with a coefficient of 0.655, a t-value of 9.717, and a significance level of <0.001. Productive credit also has a positive and significant effect, with a coefficient of 0.235, a t-value of 4.004, and a significance level of <0.001. Simultaneously, both variables have a significant effect on business sustainability, with an F-value of 101.529 and a significance level of <0.001. The R² value of 0.672 indicates that consumer credit and productive credit explain 67.2% of the variation in business sustainability, while 32.8% is explained by other factors outside the model. These findings indicate that household business sustainability is related not only to access to credit, but also to the pattern of utilizing financing sources to meet business and household needs
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