The role of government is needed to solve the financial difficulties through the provision of credit with low interest rates. However, not all companies take advantage of this facility. Therefore, another way is needed to encourage small and medium companies improve their performance. The research aims to reveal small and medium business in a different perspective such as generally observing intangible capital, e.g. social and local culture capital. The result shows that social and local culture capitals owned by the business are able to improve capital growth as well as financial performance.
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