EVALUATION OF MARKETING RISK AT THE PRODUCER LEVEL OF HYDROPONIC PRODUCTS IN BOGOR CITY

Abstract

Hydroponics is increasingly recognized and practiced by the community for various reasons such as the increasing need for vegetables, limited land and space, realizing food self-sufficient areas, efficiency in land use, and little weed growth. Bogor City is a city located in the central part of Bogor Regency which is very close to the national capital, making Bogor City has a very strategic potential for business development and growth, especially the hydroponic vegetable business. Along with the development of hydroponic methods, the marketing of hydroponic products is becoming increasingly complex and prone to risk. The purpose of this study is to analyze the level of risk of hydroponic product marketing at the producer level in Bogor City and to formulate strategies and actions for handling hydroponic product marketing risks in Bogor City. This research was conducted in Bogor City, West Java. The selection of this location was purposive. The data used in this research are primary and secondary data. The method of determining respondents in this study using the census method on all hydroponic vegetable producers in Bogor City. The analytical tool used is Enterprise Risk Management (ERM). The results showed that the marketing functions carried out by producers were exchange functions (sales), physical functions (transportation) and facility functions (standardization or sorting, financing, risk coverage and market information). The risks faced by producers identified 9 types of risks, namely the risk of errors in recording orders, the risk of excess inventory, the risk of running out of inventory stock, the risk of late delivery to customers, the risk of damaged products during delivery, the risk of disconnection of product weights, the risk of complaints from consumers, the risk of price fluctuations, and the risk of losing products in one marketing cycle.