The Role of Regional Government in Growing Small and Medium Enterprises’ Performance towards Creative Industry in Jambi Province

Abstract

Globalization requires Small and Medium enterprises to increase its existence in order to compete in a global world. Small and Medium enterprises have to always increase the creativity to be able to create products that have innovated. Yet currently, SMEs still have obstacles in increasing its existence, such as the poor ability of businesses, the difficulty of access to capital and does not quickly follow the development of science and technology. The purpose of this study is to determine the role of government to grow the performance of SMEs towards creative industry in Jambi Province. The sampling technique for the location and respondents is in a purposive sampling. The provision of sample site and respondents selection is based on the already defined criteria. For locations, there are 7 (seven) locations selected as the samples and 200 for the sample of respondents. The analysis method used is the descriptive analysis depicting government role in improving SMEs performance. The results of the study explain that the government's support is still low to improve the quality of human resources through education and training. There are still SMEs which have never attended the training because the Department of Industry and Trade has not had a database of SMEs which have attended the training or not. SMEs still have capital problems. The government is not yet optimally introducing technological advances and not yet optimally assisting the development and marketing of products. There is overlapping of the same programs among SKPD that empower SMEs. From the other side, the business climate is already conducive as the government gives ease of permit and smoothness of business. The results of the study recommend (1) to provide education and training equally for SMEs (2) Creation of synergistic between the related SKPD and SMEs (3) Developing microfinance institution to solve the capital problem (3) Jambi Provincial Government needs to build cooperation with universities to do Transfer of science and technology.

Rural Assets Administration and Establishment of Village-Owned Enterprises for the Enhancement of Rural Economy

“…It is hoped that the establishment of this business unit will accommodate the business products of rural communities through strategic and planned marketing and collect community capital for guaranteeing the community towards prosperity. The priority, according to this research, is government cooperation to bring in investors and empower local communities to collaborate to form digital-based, environmentally friendly villages and focus on increasing the capacity or quality of modern human resources (Desmaryani, 2017;Kartika, 2017;Pasande & Suhendra. , 2017).…”

“…This business entity has an important goal of accommodating people's creativity in production and creating jobs (Paellorisky & Solikin, 2019;Peng et al, 2021;Rivai, 2017). Village-Owned Enterprises as economic institutions and social institutions aim to improve the welfare of rural communities and foster social capital for rural communities (Desmaryani, 2017;Kartika, 2017). They are increasing community welfare in the form of increasing income, reducing unemployment, reducing poverty, reducing inequality between villages, and increasing the quality of life of rural communities (Dobre et al, 2014;Şerbu, 2014) and fostering social capital in community participation in village development, such as cooperation and so on.…”

The Local Government and Creative Industry: Experience from Batik Tulis Lasem Industries

“…For instance about a product, namely how to make a marketable product from the stages of input, process, to output (Tahwin et al, 2015). There is also the problem of poverty and social inequality of the craftsman (Listyorini, 2012), and the limitations of batik entrepreneurs in utilizing capital and technological capabilities (Desmaryani, 2017;Haryono & Fathoni, 2017). In addition, the future of Batik Tulis Lasem is increasingly threatened by the arrival of imported batik, at a far cheaper price.…”

“…This argument is supported by Drab-Kurowska (2018) who describes that creative industries in the context of the economy are explored not only by scholars but also by government or political decision-makers, including those in economic development strategies. As a result, the government, both local and regional were asked to play their role in the development of the creative industries (Desmaryani, 2017). In the Indonesian Government context, it has many roles in relation to the welfare of the communities.…”

The Role of Tax Incentives During the Covid-19 Pandemic Period and Stable Sustainable Economic Growth

“…This condition strongly impacts all sectors, namely: micro, small, medium, and large (Harash, 2015). Entrepreneurs who previously focused on developing their business by adding product diversification and market expansion, are now very difficult to survive (Desmaryani, 2017). Employees are the main target who must bear the economic downturn.…”