The Central Java Cooperatives and Small and Medium Enterprises (SMEs) Agency has responded to public scrutiny regarding the choice of locations for Merah Putih Village/Sub-district Cooperative (KDKMP) outlets, which are considered unusual. Several outlets in various regions were reportedly built in challenging spots, ranging from mountain slopes and cemetery areas to locations that obstruct public road access.

The phenomenon gained attention after videos circulated widely on social media showing KDKMP outlets in less-than-ideal locations. For example, an outlet located on a mountain slope in Kendal Regency and another in Temanggung that encroaches on the road have drawn criticism from netizens concerning the cooperative's operational effectiveness.

Responding to the issue, the Acting Head of the Central Java Cooperatives and SMEs Agency, Desy Arijani, encouraged managers not to be discouraged. Instead, she views these geographical constraints as an incentive to drive innovation so that cooperative services remain relevant and attractive to the local community.

"These locations, considered less strategic, are actually a challenge for management to be more perceptive in reading local potential. Ultimately, the success of a cooperative heavily depends on how well the management can stimulate the economy of the community around the outlet," Desy said in a statement on Monday (7/6/2026).

Furthermore, Desy emphasized the importance of synergy with local village governments. The active role of village officials is considered crucial in mobilizing residents to join as members and use the KDKMP as a hub for village economic activity, rather than focusing solely on physical location factors.