Title:
FINANCIAL LITERACY AS ONE OF THE STRENGTHENING OF ENTREPRENEURIAL COMPETENCIES IN PMI ON TAIWAN

Authors:
Kharisya Ayu Effendi*, Rima Rahmayanti, Neuneung Ratna Hayati, Darwis Agustriyana and Pipin Sukandi

Abstract:
Starting from the problem of poverty that makes Indonesian people want to change their fate by becoming Indonesian Migrant Workers. Taiwan is one of the countries that is the destination of PMI. In this case, PMI must also be equipped with entrepreneurial skills to improve a better standard of living. Thus, the purpose of this study is to strengthen the entrepreneurial competencies of the Taiwanese PMI business actors through financial literacy and building creativity and innovation. This research is quantitative causal associative. Financial literacy, creativity, and innovation are independent variables. Entrepreneurial competence is the dependent variable. The data in this study are the entire population, namely PKBM Taiwan PPI participants. The number of PPI PKBM Taiwan participants totaled 35 people. This study uses primary data through the use of survey procedures. The results of this study accept the first and second hypotheses, namely that financial literacy and creativity have a positive and significant influence on entrepreneurial competence in Taiwanese PMI, but the third hypothesis is rejected because innovation has no effect on strengthening entrepreneurial competence in Taiwanese PMI. The findings in this study are that financial literacy and creativity are needed by Taiwanese PMI business actors who want to start a business and improve entrepreneurial competence. Also, the finding in this study is that innovation is not the main thing for business actors in Taiwanese PMI in strengthening entrepreneurial competence because innovation is not a new invention but the development of an invention.

Keywords:
Financial literacy, creativity, innovation, entrepreneurial competence, PMI Taiwan

DOI:
https://doi.org/10.37500/IJESSR.2023.6602