Digitalization Strategy for MSME Development: Innovation, Partnership and Sustainable Solutions for Local Economy in Malang Regency

Muhammad Kamil, Aisyah Firanti Setyaningrum, Juli Astutik

Abstract


This study aims to discuss the government's strategy and collaboration in developing digital-based MSMEs to restore the regional economy. The fundamental problems of MSMEs in Malang Regency Government are declining sales (44%); capital (27%); distribution (12%); difficulty in raw materials (9%), and experiencing production problems (8%) decline in MSME sales turnover reaching (77.6%); asset decline reaching (42.7%) and workforce reduction reaching (46.1%). This study uses a qualitative research method with primary and secondary data collection. The data analysis uses Miles Huberman's theory to analyze data and draw conclusions. The results of this study indicate that the Malang government's strategy for restoring the community's economy is through a collaborative approach with the private sector and the community. The collaborative strategy is realized through digitalization with the "Pasti Bisa" application and virtual expo exhibitions to increase promotion and branding to increase business growth and improve the regional economy. Therefore, strategic partnerships and digital innovations encourage business growth and increase local revenue and stakeholder participation to improve transparency and accountability. Effective coordination between the government and private sector is often an obstacle to realizing a more robust and inclusive business ecosystem to enhance economic development.

Keywords


Digitalization of MSMEs; Economic development; Digital marketing innovation; Strategic collaboration

Full Text:

PDF

References


Adhiningsih, AH, As-Sahih, AA, & Oktamara, R. (2016). Rural MSME Development Strategy Towards an Entrepreneurs Village in the Global Market. Esa Unggul University.

Agus Supriyadi. (2020). This is the reason why micro businesses in Malang Regency are sluggish. Memorandum.Co.Id. https://memorandum.co.id/ini-pengebab-usaha-mikro-di-kabupaten-malang-lesu/#:~:text=Five factors that are believed to be the cause of micro businesses experiencing production problems.

Anggraeni, FD, Hardjanto, I., & Hayat, A. (2013). Development of Micro, Small and Medium Enterprises (MSMEs) through Facilitation of External Parties and Internal Potential. Journal of Public Administration, 1(6), 1286–1295.

Arianto, B. (2020). Development of Digital MSMEs during the Covid-19 Pandemic. ATRABIS: Journal of Business Administration (e-Journal), 6(2), 233–247.

Asaniyah, N. (2017). PRESERVATION OF RARE COLLECTION INFORMATION: Digitization, Restoration, Fumigation. Library Bulletin, 57, 85–94.

Astuti, II, & Kunci, K. (2021). MSMEs as Community Economic Generators during the Pandemic Based on Digital Marketing. Examination: Law Journal, 1(1), 59–65.

Budiarto, R., Putero, SH, Suyatna, H., Astuti, P., Saptoadi, H., Ridwan, MM, & Susilo, B. (2018). MSME development between conceptual and practical experience. UGM Press.

Choirul, S. (2020). Concept, Definition and Goals of Collaboration. Dapu6107, 1, 7–8.

Darmalaksana, W. (2020). Qualitative Research Methods Literature Study and Field Study. Pre-Print Digital Library UIN Sunan Gunung Djati Bandung, 1–6.

Department of Communication and Information. (2020). Malang Regency MSME data. Malang Regency Online. http://umkm.malangkab.go.id/Barang/register

Fizriyani, W. (2020). Regent: Malang Regency Has the Potential to Become a MSME Driver. Retrieved from Republika. Co. Id.

Hanim, L., Soponyono, E., & Maryanto, M. (2022). Development of Digital MSMEs during the Covid-19 Pandemic. Proceedings of the National Seminar on Research and Community Service, 2(1), 30–39. https://doi.org/10.24967/psn.v2i1.1452

Haryono, N. (2012). Networking to Build Public Sector Collaboration. Journal of Public Administration Networks, 1(4), 48–53.

HASAN, M., NOERCAHYO, A., RANI, AE, SALSHABILLA, NA, & IZZATI, SN (2021). Development of the Creative Economy in the MSME Sector During the Covid-19 Pandemic. Journal of Educational Economics and Entrepreneurship, 9(2), 125–138.

https://doi.org/10.26740/jepk.v9n2.p125-138

Helmi Supriyatno. (2021). During the Covid-19 Pandemic, Capital Assistance for MSMEs in Malang Regency Has Shrunk. Harianbhirawa.Co.Id. https://www.harianbhirawa.co.id/masa-pandemi-covid-19-helpan-modal-pelaku-umkm-di-kabupaten-malang-menyusut/

Huberman, & M. (1992). Qualitative Data Collection and Analysis Techniques. Journal of Communication and Media Studies, 02.

Islami, N., Supanto, F., & Soeroyo, A. (2021). The Role of Regional Government in Developing MSMEs Affected by Covid-19. Karta Rahardja Journal, 2(1), 45–47.

http://ejurnal.malangkab.go.id/index.php/kr/article/view/44/23

KKN-DR Group of 200 Hinai Kanan Village Langkat Regency State Islamic University of North Sumatra 2021. (2021).

Kusumastuti, A., & Khoiron, AM (2019). Qualitative Research Methods (F. Annisya & Sukarno (Eds.)). Sukarno Pressindo Educational Institute. http://lib.unnes.ac.id/40372/1/Qualitative Research Methods.pdf

Maulida, M. (2020). Data Collection Techniques in Research Methodology. Darussalam, 21(2).

Nilasari, AP, Hutajulu, DM, Retnosari, & Astutik, EP (2019). Empowerment Strategy and Contribution of MSMEs Facing the Digital Economy. “Fintech and E-Commerce to Encourage the Growth of MSMEs and Creative Industries,” 576–594. https://jurnal.untidar.ac.id/index.php/semnasfe/article/download/2113/1177

Raharja, SJ, & Natari, SU (2021). Developing MSME businesses during the pandemic through optimizing the use and management of digital media. Kumawula: Journal of Community Service, 4(1), 108–123.

Rohmah, Nurruli, F. (2018). My Human Resources Training and Development. Journal of Islamic Education Management, 2(1), 1–11.

Sarwoko, E. (2009). Analysis of the Role of Savings and Loans Cooperatives / Savings and Loans Units in MSME Development Efforts. Modernization, Vol 5, 172–188.

Siagian, AO (2021). E-Commerce Marketing Strategy for Indonesian MSMEs to Improve the Indonesian Economy. Champion Familiar Journal, 6(1), 1–15.

Soedjito, YCD (2018). Implementation of Malang City Government Policy in the Development and Empowerment of Micro, Small and Medium Enterprises (MSMEs). http://repository.ub.ac.id/id/eprint/164280

Sukmana, E. (2016). Library Digitization. The Role of Librarians in the Digital Era, November, 1. https://www.researchgate.net/publication/236965703_DIGITALIZATION_PUSTAKA

Sulistyo. (2010). Development of Small and Medium Enterprises on a Community Basis in Malang Regency. Modernization Economics, 6(1), 58–73.

Sumadi, S. (2021). Dynamics of MSME Transformation in the Digitalization Era of the Covid-19 Pandemic. Proceedings of the National Seminar & Call for Paper STIE AAS, 4(1), 119–127.

Syamsiyah, Nnur (2018). Analysis Of Strengthening Employee Welfare Through Convection Business In Klumpit Village, Gebog District (Case Study of Naura Collection Klumpit Convection). HOLY IAIN.

Tirtana, A., Zulkarnain, A., Kristanto, BK, Suhendra, S., & Hamzah, MA (2020). Design and Build E-Commerce Applications to Increase MSME Income. Asian Information Technology Scientific Journal, 14(2), 101. https://doi.org/10.32815/jitika.v14i2.473

Ukkas, I., & Kasran, M. (2023). HR Development Strategy: Efforts to Support MSME Competitiveness in the Covid 19 Pandemic Era. Journal of Management and Finance, 12(1), 92–102.

Law of the Republic of Indonesia Number 20 of the Year. (2008). Law of the Republic of Indonesia Number 20 of 2008. 1.

Vii, BAB, Usaha, AM, Small, M., Usaha, P., & Small, M. (2008). No Title.

Wastutiningsih, SP, & Dewi, TP (2019). Community Empowerment Based on the Development of Micro, Small and Medium Enterprises in the Era of Industrial Revolution 4.0. Flashlight of Development: Journal of Extension and Development, 1(2), 90–96. https://doi.org/10.23960/jsp.v1i2.20

Wulansari, N., Wahyu, & Kurniawan, Y. (2017). Accelerate economic growth through the synergy of MSMEs and Good Governance in Indonesia. Proceedings of the National Seminar and Call for Papers on Economics and Business, 2017, 262–268. https://www.google.com/url?sa=t&rct=j&q=&esrc=s&source=web&cd=4&ved=2ahUKEwjAtJmEo_XjAhWXb30KHTDbDXAQFjADegQIBRAC&url=https://jurnal.unej.ac.id/index.php/prosiding/article/download/ 6719/4875/&usg=AOvVaw3TmC8BzQ9Ef193GRW4gVm3

Wuryantai, AEW (2013). Digitalization of Society: Examining the Strengths and Weaknesses of the Dynamics of the Digital Information Age and the Information Society. Journal of COMMUNICATION SCIENCE, 1(2), 131–142. https://doi.org/10.24002/jik.v1i2.163

Yunianto, D. (2021). Analysis of population growth and density on economic growth. Economic Forum, 23(4), 688–699. https://doi.org/10.30872/jfor.v23i4.10233




DOI: https://doi.org/10.35308/jpp.v10i3.8011

Refbacks

  • There are currently no refbacks.


Copyright (c) 2024 Muhammad Kamil, Aisyah Firanti Setyaningrum, Juli Astutik

Jurnal Public Policy
p-ISSN: 2477-5738  I  e-ISSN: 2502-0528  I  DOI: 10.35308
Jl. Alue Peunyareng, Ujong Tanoh Darat, Meureubo, Kabupaten Aceh Barat, Aceh 23681, Indonesia
(0655) 7110535 l +621260313742 l +6285277110911
License Creative Commons is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License