<![CDATA[Digital transformation has emerged as a key strategy for enhancing the competitiveness of Micro, Small, and Medium Enterprises (MSMEs). However, its relationship with the creation of inclusive employment through the creative economy remains underexplored, particularly in the context of urban Indonesia. This study aims to examine the role of MSME digital transformation and the creative economy in fostering inclusive job creation in Tangerang City. A qualitative research approach was employed, with data collected through in-depth interviews and document analysis involving MSME owners, local government officials, academics, and supporting institutions. The data were analyzed using thematic analysis techniques. The findings reveal that digital transformation expands market access, improves business efficiency, and creates new employment opportunities. Nevertheless, its implementation continues to face significant challenges, including limited digital literacy, restricted access to financing, and entrepreneurial mindsets that are not yet fully adaptive to technological and market changes. The study concludes that successful MSME digital transformation requires the integration of creative economy initiatives, active youth engagement, and collaborative governance involving government, business actors, academia, communities, and the media. These findings contribute to the development of more inclusive, innovative, and sustainable local economic policies. ]]>
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