International Business Management

Year: 2020
Volume: 14
Issue: 1
Page No. 7 - 11

Feasibility Study of Sago Processing in Southeast Sulawesi Province

Authors : Murdjani Kamaluddin, Ayub Mangalla Padangaran, Surni , Alida Palilati and Samdin

Abstract: This study aims to determine the feasibility of sago processing business of three forms of selling (bulk, bulk in the market, instant sago). Sago background research was a local food commodity pride for indigenous people of Southeast Sulawesi. Application of appropriate technology to get relatively clean water is highly recommended for the production process to produce hygienic sago and safe in terms of health. The research data was primary data through observation and direct interview with sago processing group and sago retailer in traditional market. This research uses the analysis: BEP (Break Even Point), ROI (Return of Investments) and B/C Ratio (Benefit Cost Ratio) to three types of sales (bulk sales, bulk selling and sago flour sales). The analysis results show: wholesale sales, reaching BEP at Rp 1,298,53 kg–1 and production 1,731.37 kg–1 month. ROI analysis shows that capital of Rp100.000 obtained revenue of Rp 135,980 and Analysis B/C with capital of 100 rupiah obtained profit 0,73 times retail sales, reaching BEP when price Rp 1,798,53 kg–1 and production 1,079,12 kg–1 month. ROI analysis shows that with a capital of Rp 100,000 received revenue of Rp 278,000. Analysis of B/C with capital 100 rupiah obtained profit 1.78 times instant sago sale reaches BEP at Rp 3,164,22 kg–1 and production 632,84 kg. ROI analysis shows that with capital Rp 100,000 obtained revenue Rp 284.430. Analysis of B/C with capital 100 rupiah obtained profit 1.84 times. It was concluded that the business of sago starch/sago starch products by Lameuru sago processing group is feasible and economically profitable.

How to cite this article:

Murdjani Kamaluddin, Ayub Mangalla Padangaran, Surni , Alida Palilati and Samdin , 2020. Feasibility Study of Sago Processing in Southeast Sulawesi Province. International Business Management, 14: 7-11.

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