Yangon University of Economic

Master of Applied Statistics Programme

Factors Influencing Labor Productivity of MSMEs

in Tanintharyi Region

Supervised by Submitted by
Daw Thida Win Ma Hnin Yu Hlaing
Associate Professor MAS- 5
Department of Applied Statistics MAS Programme

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 CONTENTS
Chapter(1)
Introduction
1.1 Rationale of the Study
1.2 Objectives of the Study
1.3 Method of Study
1.4 Scope and Limitation of the Study
1.5 Organization of the Study

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 Chapter (I)
Introduction
 MSMEs in Myanmar
MSMEs dominate Myanmar's economy in terms of quantity,
output, employment, and investment.
 Labor Productivity and Economic Growth
Labor productivity is a key indicator of business performance
and economic growth.
 Government Initiatives
Myanmar prioritizes MSME development through policies and
strategies
 Challenges and Opportunities
Empirical research on MSME labor productivity in Myanmar is
limited.
 Future Outlook and Interventions
Empirical research gaps must be filled to inform targeted
interventions and maximize outcomes.
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1.1 Rationale of the Study
 Importance of Labor Productivity
Crucial for developing economies to enhance competitiveness.
Fundamental source of improved living standards and real
wage growth.
Sustained productivity gains lead to higher value added per
worker, raising incomes and prosperity.
 Macrolevel Impact of Productivity
Main determinant of long-run economic growth rates.
Understanding micro-level drivers provides insights into
growth-enhancing policies.
 Firm and Industry Level Productivity
Higher wages serve as a proxy indicator for greater
productivity.

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1.1 Rationale of the Study
 Firm Size and Productivity
Firm size is a key determinant of productivity.
Labor productivity systematically increases with firm size.
 Relevance to Tanintharyi Region, Myanmar
MSMEs represent over 90% of private sector activity in
Tanintharyi.
Findings will guide policy interventions and strategies for
growth.
 Challenges and the Role of Labor Productivity
Despite government initiatives, MSMEs face challenges hindering
growth.
Labor productivity is a key aspect for understanding and
enhancing SME performance.

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 1.2 Objectives of the Study
 To describe the firms and owner, manager characteristics of MSMEs
in Tanintharyi Region.
 To explore the factors influencing the labor productivity of MSMEs
in Tanintharyi Region.
 To find out the moderation effects of the labor productivity of
MSMEs in Tanintharyi Region.

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1.3 Method of Study

 Descriptive Analysis

 Describes the nature of owners and employees in MSMEs. Focuses on

owner and employee characteristics.

 Multiple Regression Analysis

 Identify independent variables with substantial coefficients and high

statistical significance as the key influencers on SME labor
productivity.

 Examines potential interaction effects between independent variables.

 Incorporates moderation analysis with relevant terms into the

regression model.
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1.4 Scope and Limitation
 The study relies on secondary data obtained from the Myanmar
Micro, Small, and Medium Enterprise (MSMEs)
Survey conducted in 2019 within the Tanintharyi Region. All
studies will base sample firms 118 in Tanintharyi Region.

 The surveys were nationwide, covering 35 townships across 14

states and regions, including Nay Pyi Taw council .

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 1.5 Organization of the Study
 Chapter I: Introduction:, Rationale, objectives, method,
scope and limitations.
Organization overview.
 Chapter II: Literature review.
 Chapter III : Methodology explanation.
 Chapter IV: Data analysis.
 Chapter V: Conclusion.

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 Conceptual Framework for Factors Influencing Labor Productivity of MSMEs
in Tanintharyi Region

Independent Variables Moderator Variables Dependent Variable

Employee Demographic and

Work Factors Employee Wages

 Employee Education
Firm Nature and Utilities
 Employee Experience
Owner
Employee Gender and
Characteristics  Firm Size
 Business Attributes
Employee Marital Status  Age of Firm

 LaboureGender
Owner Contract  Firm Internet Access
 Owner
DistanceEducation
Of Workplaces  Firm Public Water System
 Ownership Type
 Firm Public Electricity grid
 Owner Age
 Firm Product Production
 Using Equipment
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 Distance of Market
Thank you

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