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Reply from Ms. Windasari Rachmawati
2024.11.05 12:46:53
The research targeted micro, small, and medium enterprises (MSMEs) in Semarang City, specifically within prominent sectors like culinary, fashion, and other leading areas. These sectors were chosen based on their relevance to the green economy and their importance in the local economy. The sample was selected using non-probability purposive sampling, focusing on business owners and managers who meet specific criteria, including having complete financial statements and a workforce size between five and seven employees.
While validity and reliability testing
Validity: The study employed outer loadings and the Average Variance Extracted (AVE) as criteria for validity. Indicators with loading values above 0.70 were considered valid. An AVE above 0.50 was also required to confirm validity, although indicators with loadings between 0.40 and 0.70 could be retained if they still contributed to a valid AVE.
Reliability: Construct reliability was assessed using Cronbach^s Alpha and Composite Reliability values. For reliability, both metrics needed to exceed the threshold of 0.70. The results indicated that while some variables met the Composite Reliability threshold, none met the Cronbach^s Alpha requirement. Despite this, the study continued with indicators deemed suitable based on the outer loading and AVE values
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