<![CDATA[The Trusmi small-scale batik industry is one of Indonesia’s prominent cultural heritage clusters, yet it faces challenges related to limited customer reach, intense competition from mass-produced batik, and inadequate financial management. This study aims to redesign its business model to strengthen competitiveness while preserving cultural authenticity. The Business Model Canvas (BMC) framework was employed to identify existing weaknesses and formulate strategic improvements. Data were collected through in-depth interviews with 15 batik artisans, direct observations of production and marketing activities, and benchmarking against successful batik enterprises. The analysis comprised three stages: problem identification, solution formulation, and BMC redesign. The findings identified critical weaknesses in customer segmentation, sales channels, customer relationships, resource management, and cost structure. To address these issues, the study proposes expanding customer segments through digital marketing, developing innovative and environmentally friendly designs, strengthening partnerships with government institutions and tourism stakeholders, implementing cooperative-based procurement systems, and improving financial management practices. The redesigned BMC integrates diversified revenue streams, hybrid production techniques, and customer loyalty programs to enhance business sustainability and market responsiveness. The proposed business model is expected to improve market penetration, operational efficiency, financial performance, and customer loyalty while maintaining the cultural and artistic heritage of Trusmi batik. This study contributes to the literature on creative industries and small and medium-sized enterprise development by presenting a practical, culturally grounded framework for business model innovation. The framework may also serve as a reference for other traditional craft industries seeking to balance cultural preservation, digital transformation, and sustainable economic growth in increasingly competitive markets]]>
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