Figure 3.3.10. Main Caused for The Unconducive Business 

Climate

No delegation of authority 

from central government

12%

Incompetence of Pemda

Don t know

17%

36%

Pemda is agains business

Lack of infrastructure

16%

19%

Different Business Categories Perspectives On The Main Causes of 

Unconducive Business Climates 

The availability and accessibility of infrastructure and facilities were of the most 

important aspect to ensure the flow of goods, especially for export. Figure 3.3.11 

shows that the lack of infrastructure is the main caused for the unconducive 

business climate much expressed by the SMEs with higher annual turnover. It is 

indicated that as the export volume grows bigger there are also growing demand 

of the availability of infrastructure. In the context of the human resource 

capabilities at the region, the commerce or trader SME and the smallest turn over 

SME were among the categories that the local government were not capable in 

undertaking the responsibility of the implementation of OTDA (see figure 3.3.12). 

VI    36