Strategy to Increase the Competitiveness of MSME Businesses in the Era of Digitalization for Rural Communities in the Medan Region of North Sumatra
DOI:
https://doi.org/10.47134/jpem.v1i3.409Keywords:
MSMEs, Rural Areas, Digitalization, Strategy, Digital TechnologyAbstract
The era of digitalization presents opportunities and challenges for Micro, Small and Medium Enterprises (MSMEs) in rural areas. To increase competitiveness in this era, an appropriate and comprehensive strategy is needed. This abstract discusses strategies that can be implemented to increase the competitiveness of MSMEs in rural areas, with a focus on aspects of using digital technology to reach wider markets, increase operational efficiency, and build brand image. This can be done through the use of social media, e-commerce and other digital platforms to market products and services. Use of online accounting and bookkeeping applications to manage finances more effectively. The research method used is a qualitative method by collecting interviews, observing challenges and opportunities in the era of digitalization in the North Sumatra region. By using digital technology, increasing human resource capacity, strengthening networks and collaboration, and getting conducive infrastructure and policy support, MSMEs in rural areas can develop and contribute to the national economy.
References
Aditi, B. (2018). Pengaruh inovasi dan kreativitas terhadap kepuasan konsumen pada UMKM di Kota Medan. Jumant, 7(1), 1-9. DOI: https://doi.org/10.31227/osf.io/ahxju
Aliyah, A. H. (2022). Peran usaha mikro kecil dan menengah (UMKM) untuk meningkatkan kesejahteraan masyarakat. WELFARE Jurnal Ilmu Ekonomi, 3(1), 64–72. DOI: https://doi.org/10.37058/wlfr.v3i1.4719
Anaqi, I., Kurniawan, D., Marcela, T. P., Jorger, D. C. V., Aziz, P. N., Sukmah, N. S. M., & Ariescy, R. R. (2023). Pengembangan digitalisasi marketing usaha UMKM untuk meningkatkan mengembangkan UMKM masyarakat. Jurnal ABDIMAS Indonesia, 1(2), 171-179. DOI: https://doi.org/10.58169/jpmsaintek.v2i2.150
Astari, A. R. N. (2021). Analisis Faktor Internal Dan Faktor Eksternal Pengorganisasian Dalam Lembaga Pendidikan Islam. Al-Khair Journal: Management …. http://download.garuda.kemdikbud.go.id/article.php?article=2607147&val=24473&title=ANALISIS%20FAKTOR%20INTERNAL%20DAN%20FAKTOR%20EKSTERNAL%20PENGORGANISASIAN%20DALAM%20LEMBAGA%20PENDIDIKAN%20ISLAM
Crittenden, A. B., Crittenden, V. L., & Crittenden, W. F. (2019). The digitalization triumvirate: How incumbents survive. Business Horizons. https://www.sciencedirect.com/science/article/pii/S0007681318301903 DOI: https://doi.org/10.1016/j.bushor.2018.11.005
Damanik, D., Tobing, M., Purba, E., Panjaitan, P. D., Tumanggor, B., Nainggolan, P., ... & Sinurat, A. (2022). Pelatihan ekonomi kreatif di Ecovillage Silimalombu Kabupaten Samosir: Creative economy training at Ecovillage Silimalombu, Samosir Regency. Jurnal Pengabdian Masyarakat Indonesia, 1(2), 54-59. DOI: https://doi.org/10.55606/jpmi.v1i2.220
Data UMKM. (n.d.). Kementerian Koperasi dan UKM. Retrieved from https://umkm.depkop.go.id/
Erhan, T., Uzunbacak, H. H., & Aydin, E. (2022). From conventional to digital leadership: exploring digitalization of leadership and innovative work behavior. Management Research Review. https://doi.org/10.1108/MRR-05-2021-0338 DOI: https://doi.org/10.1108/MRR-05-2021-0338
Gulin, D., Hladika, M., & Valenta, I. (2019). Digitalization and the Challenges for the Accounting Profession. ENTRENOVA-ENTerprise REsearch …. https://hrcak.srce.hr/clanak/365065 DOI: https://doi.org/10.2139/ssrn.3492237
Hervé, A., Schmitt, C., & Baldegger, R. (2021a). Digitalization, entrepreneurial orientation &internationalization of micro-, small-, and medium-sized enterprises. Technology Innovation …. https://arodes.hes-so.ch/record/7542?ln=en&v=%5B%22%5B%27pdf%27%5D%22%5D
Hervé, A., Schmitt, C., & Baldegger, R. (2021b). Internationalization and digitalization: Applying digital technologies to the internationalization process of small and medium-sized enterprises. Technology Innovation …. https://arodes.hes-so.ch/record/7543?ln=de&v=%5B%27%5B%22%5B%5C%27pdf%5C%27%5D%22%5D%27%5D
Knudsen, E. S., Lien, L. B., Timmermans, B., Belik, I., & ... (2021). Stability in turbulent times? The effect of digitalization on the sustainability of competitive advantage. Journal of Business …. https://www.sciencedirect.com/science/article/pii/S0148296321000850 DOI: https://doi.org/10.1016/j.jbusres.2021.02.008
Lichtenthaler, U. (2021). Digitainability: The combined effects of the megatrends digitalization and sustainability. Journal of Innovation Management. https://ijooes.fe.up.pt/index.php/jim/article/view/866 DOI: https://doi.org/10.24840/2183-0606_009.002_0006
Luo, Y. (2022). A general framework of digitization risks in international business. Journal of International Business Studies. https://www.ncbi.nlm.nih.gov/pmc/articles/PMC8157526/ DOI: https://doi.org/10.1057/s41267-021-00448-9
Mezghani, K., & Aloulou, W. (2019). Business transformations in the era of digitalization. books.google.com. https://books.google.com/books?hl=en&lr=&id=_PCCDwAAQBAJ&oi=fnd&pg=PR1&dq=businesses+in+the+era+of+digitalization&ots=fNwr5vuVjX&sig=sVGlIgKvnZl1uXc5L-8lYkKdww4
Niemand, T., Rigtering, J. P. C., Kallmünzer, A., & ... (2021). Digitalization in the financial industry: A contingency approach of entrepreneurial orientation and strategic vision on digitalization. European Management …. https://www.sciencedirect.com/science/article/pii/S0263237320300608 DOI: https://doi.org/10.1016/j.emj.2020.04.008
Olsson, A. K., & Bernhard, I. (2021). Keeping up the pace of digitalization in small businesses–Women entrepreneurs’ knowledge and use of social media. International Journal of Entrepreneurial …. https://doi.org/10.1108/IJEBR-10-2019-0615 DOI: https://doi.org/10.1108/IJEBR-10-2019-0615
Pardiman, P., Susyanti, J., Heriyawati, D. F., & ... (2022). Impact of financial capital, social capital, and business digitalization on business sustainability of SMEs in Indonesia. Jurnal Manajemen …. https://www.e-journal.trisakti.ac.id/index.php/jasa/article/download/13114/8116 DOI: https://doi.org/10.25105/jmpj.v15i1.13114
Perifanis, N. A., & Kitsios, F. (2023). Investigating the influence of artificial intelligence on business value in the digital era of strategy: A literature review. Information. https://www.mdpi.com/2078-2489/14/2/85 DOI: https://doi.org/10.3390/info14020085
Rachmad, Y. E. (2021). Next Gen Commerce: Revolutionizing Digital Markets. … Business Book Publishing, New ….
Riduwan, V. P., & Claretta, D. (2022). Strategi humas SSC Kacapiring Surabaya dalam era digitalisasi pada pandemi Covid-19. Jurnal Ilmu Komunikasi Dan Media Sosial (JKOMDIS), 2(2), 251-253. DOI: https://doi.org/10.47233/jkomdis.v2i3.344
Rozak, H. A., Adhiatma, A., Fachrunnisa, O., & ... (2021). Social media engagement, organizational agility and digitalization strategic plan to improve SMEs’ performance. IEEE Transactions on …. https://ieeexplore.ieee.org/abstract/document/9460311/
Shpak, N., Kuzmin, O., Dvulit, Z., Onysenko, T., & Sroka, W. (2020). Digitalization of the marketing activities of enterprises: Case study. Information. https://www.mdpi.com/2078-2489/11/2/109 DOI: https://doi.org/10.3390/info11020109
Sugiyanti, L., Rabbil, M. Z., Oktavia, K. C., & Silvia, M. (2022). Strategi pemasaran digital untuk meningkatkan penjualan UMKM. Masarin, 1(2), 100-110.
Susanti, A. P., Utama, A. S., & Kamilah, F. (2021). Pelaksanaan pemberdayaan usaha mikro oleh Pemerintah Kota Pekanbaru di Kecamatan Rumbai berdasarkan Undang-Undang Nomor 20 Tahun 2008 tentang Usaha Mikro, Kecil dan Menengah. Jurnal Daya Saing, 7(1), 12-18. DOI: https://doi.org/10.56445/jrbl.v1i1.22
Tagscherer, F., & Carbon, C. C. (2023). Leadership for successful digitalization: A literature review on companies’ internal and external aspects of digitalization. Sustainable Technology and Entrepreneurship. https://www.sciencedirect.com/science/article/pii/S2773032823000032 DOI: https://doi.org/10.1016/j.stae.2023.100039
Udovita, P. (2020). Conceptual review on dimensions of digital transformation in modern era. International Journal of Scientific and Research …. https://www.researchgate.net/profile/Viduni-Udovita/publication/339412785_Conceptual_Review_on_Dimensions_of_Digital_Transformation_in_Modern_Era/links/5e4ff449299bf1cdb93cc256/Conceptual-Review-on-Dimensions-of-Digital-Transformation-in-Modern-Era.pdf DOI: https://doi.org/10.29322/IJSRP.10.02.2020.p9873
Urbach, N., Ahlemann, F., Böhmann, T., Drews, P., & ... (2019). The impact of digitalization on the IT department. Business & Information …. https://doi.org/10.1007/s12599-018-0570-0 DOI: https://doi.org/10.1007/s12599-018-0570-0
Witschel, D., Döhla, A., Kaiser, M., Voigt, K. I., & ... (2019). Riding on the wave of digitization: Insights how and under what settings dynamic capabilities facilitate digital-driven business model change. Journal of Business …. https://doi.org/10.1007/s11573-019-00950-5 DOI: https://doi.org/10.1007/s11573-019-00950-5
Zeng, H., Ran, H., Zhou, Q., Jin, Y., & Cheng, X. (2022). The financial effect of firm digitalization: Evidence from China. Technological Forecasting and …. https://www.sciencedirect.com/science/article/pii/S0040162522004723 DOI: https://doi.org/10.1016/j.techfore.2022.121951
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2024 Anindiya Salsabila, Tengku Narasiya Adiza, Ananda Jaya Irdianti, Dwi Saraswati

This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.