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INDONESIA
JOURNAL OF BUSINESS AND ECONOMICS RESEARCH (JBE)
ISSN : -     EISSN : 27164128     DOI : -
Core Subject : Economy, Science,
1. Human Resource Management, 2. Financial Management, 3. Marketing Management, 4. Strategic Management, 5. Organizational Behavior, 6. Operations Management, 7. Change Management, 8. Management of Sharia, 9. Knowledge Management 10.Entrepreneurship, 11.E-Business, 12.Business Management, 13.Capital Market, 14.Risk Management, 15.Syariah banking, 16.Economics of Sharia, and 17.Islamic Capital Market
Articles 322 Documents
Manufacturing Village Development for Structural Transformation: A Policy Design Study for Indonesia Fadillah, Abi; Wibowo, Bintang Satrio
Journal of Business and Economics Research (JBE) Vol 7 No 1 (2026): February 2026
Publisher : Forum Kerjasama Pendidikan Tinggi

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.47065/jbe.v7i1.9359

Abstract

National development constitutes a constitutional mandate to achieve social welfare, as affirmed in the Preamble of the 1945 Constitution of the Republic of Indonesia. Nevertheless, Indonesia’s development trajectory has remained predominantly growth-oriented, resulting in persistent structural disparities between urban and rural areas. Although policy initiatives such as the Asta Cita framework and village fund allocation have been implemented, the economic contribution of rural areas to national Gross Domestic Product (GDP) remains limited. At the same time, the declining share of manufacturing at the national level signals emerging deindustrialization. This condition highlights the absence of an integrated rural-based industrialization model capable of driving structural transformation. This study adopts a policy design approach based on normative policy analysis and comparative institutional review. The analytical procedure involves synthesizing structural transformation theory, examining Indonesia’s regulatory framework on rural and industrial development, and reviewing selected international experiences to construct a contextually relevant policy design. The study does not employ primary or econometric data, but develops a structured policy design derived from theoretical and institutional analysis. The paper proposes the policy of a Manufacturing Village as a region-based development paradigm aimed at strengthening manufacturing activities in rural areas through the integration of bottom-up participation and top-down coordination. Contribution of this research lies in extending structural transformation discourse toward a village-level governance framework and providing an operational institutional architecture that connects national industrial policy with rural administrative systems. The proposed framework is expected to enhance rural value-added production, expand non-agricultural employment, reduce regional disparities, and support inclusive and sustainable structural transformation in Indonesia.
Analisis Sektor Unggulan dan Pergeseran Struktur Ekonomi dengan Pendekatan Location Quotient dan Shift Share Khafifah Indahsari Arif Sulnas; Basri Bado; Muhammad Syafri; Abdul Rajab; Citra Ayni Kamaruddin
Journal of Business and Economics Research (JBE) Vol 7 No 1 (2026): February 2026
Publisher : Forum Kerjasama Pendidikan Tinggi

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.47065/jbe.v7i1.9296

Abstract

The economic structure of Pinrang Regency shows the diversity of business sectors with the contribution of GDP which is still dominated by the primary sector. Based on BPS data for 2015-2024, it shows that the growth rate in the agriculture, forestry, and fisheries sectors is only 4.23 percent and this value is smaller than the average GDP growth of Pinrang Regency, which is 5.71 percent. On the other hand, the information and communication sector recorded the highest growth, namely 9.08 percent. The increase in the growth rate in the secondary and tertiary sectors with a high percentage shows that there are changes in several economic sectors that support economic growth in Pinrang Regency. This research aims to find out the leading sectors and shifts in economic structure as the basis for development planning in Pinrang Regency. The research was carried out quantitatively by utilizing secondary data from BPS, especially GDP data for Pinrang Regency and South Sulawesi Province in 2015–2024. The analysis was carried out using location quotient analysis techniques and shift share analysis. The results of the location quotient analysis show that Pinrang Regency has three leading sectors, namely (1) agriculture, forestry, and fisheries with an average LQ of 2.19; (2) electricity and gas procurement with an average LQ of 1.22; and (3) wholesale and retail trade, car and motorcycle repair with an average LQ of 1.02. Furthermore, the findings of the shift share analysis reveal that Pinrang Regency has experienced a shift in economic structure during the 2015–2024 period, shifting from the primary sector to the tertiary sector. This structural change is reflected in the increase in the contribution of the tertiary sector, especially the increase in dominance in the large trade and retail sectors, car and motorcycle repair with a net shift of 38.85 billion rupiah.