Implementation of Capital Budgeting for MSME in Fixed Assets Investment Decisions Through Andragogy Approachment

Abstract

Small Micro Enterprises become solution for society to eradicating poverty, providing job vacancies and strengthening micro economic sector. One of weakness for MSMEs are budgeting management and decision maker in investment, especially in fixed assets becomes major problem, because the owner of MSMEs not all of them is well educated in business and investment. Because ineffective decision can effect their economic condition and business sustainability. So, it is a necessary to learn about analyzing investment by capital budgeting through Andragogy approachment for the owner of MSMEs. It is really important for society development. Andragogy learning is special methods that used for teach in grand training for adults. Majority of the MSME sectors are adults, so we need to provide special approachment. This type of research is qualitative used are qualitative methods. Most of the data were collected by reviewing and exploring a variety of theories and praxis through literatures. The results of this study indicate that MSMEs generally have a basic strategy of inadequate management, besides the lack of ability of MSMEs in terms of management and strategy led to business failures and difficult business to flourish. This study is determining the best learning method for the owner of MSMEs to analyze condition in decision making in investment of fix assets.