International Journal of Multidisciplinary Approach Research and Science
Том 3 № 01 (2025): International Journal of Multidisciplinary Approach Research and Science

Barriers and Opportunities for MSME Development in Indonesia: Internal and External Perspectives

Ratnaningtyas, Heny (Unknown)
Wicaksono, Haryo (Unknown)
Irfal, Irfal (Unknown)



Article Info

Publish Date
11 Jan 2025

Abstract

Micro, Small and Medium Enterprises (MSMEs) have a strategic role in the Indonesian economy, contributing to GDP, creating jobs and reducing poverty. However, MSMEs in Indonesia face various challenges that hinder their development, such as limited managerial skills, lack of product innovation, and limited access to financing. This research aims to identify internal and external factors that influence the development of MSMEs in Indonesia and provide recommendations to support their growth. The approach used in this research is descriptive qualitative, with data collection methods through in-depth interviews, focus group discussions (FGD), and document studies in several large cities such as Jakarta, Bandung, Yogyakarta, and Surabaya. The research results show that the main internal factors hindering the development of MSMEs are a lack of managerial skills and product innovation. Meanwhile, external factors include limited access to financing and uneven government policies. Technology and digitalization provide excellent opportunities for MSMEs to increase their competitiveness, but limited digital skills remain an obstacle. In conclusion, managerial training, product innovation, and simplifying access to financing are necessary to encourage the growth of MSMEs. The government must also improve its socialization policy and ensure its implementation is evenly distributed throughout Indonesia.

Copyrights © 2025






Journal Info

Abbrev

ijmars

Publisher

Subject

Agriculture, Biological Sciences & Forestry Chemical Engineering, Chemistry & Bioengineering Economics, Econometrics & Finance Immunology & microbiology Social Sciences

Description

The mission of the International Journal of Multidisciplinary Approach Research and Science (IJMARS) is to promote excellence by providing a venue for academics, students, and practitioners to publish current and significant empirical and conceptual research or builds theory. The journal is a ...