A Transition Towards Digital Economy and Digitalization of MSMEs as a Pathway for Achieving SDGs

Author:

Tambunan Tulus1

Affiliation:

1. Center for Industry, Universitas Trisakti, Indonesia

Abstract

By analyzing secondary data and reviewing key literature this chapter examines the transition process in the Indonesian economy towards digital technology (DT), including the process of digitalization of micro, small, and medium-sized enterprises (MSMEs). It shows that only a very small number of them, especially micro and small enterprises use DT, especially e-commerce for marketing, Finally, the chapter also discusses the importance of the DT transition, especially in MSMEs as they are the largest employment generator, for achieving SDGs in the country in 2030, especially with respect to Goal 1 (no poverty) and Goal 2 (no hunger). As explained in this chapter, from an economic perspective, the direct contribution of MSMEs to the achievement of SDGs is to create productive job and business opportunities, including for married women from poor/low-income households in rural areas, and economic growth.

Publisher

IGI Global

Reference68 articles.

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3. APEC. (2020). Overview of the SME Sector in the APEC Region: Key Issues on Market Access and Internationalization, April, APEC Policy Support Unit. Asia-Pacific Economic Cooperation Secretariat.

4. Barriers to ICT adoption in SMEs: how to bridge the digital divide?

5. Azam, M. S., & Quadddus, M. (2009a). Adoption of b2b e-commerce by the SMEs in Bangladesh: an empirical analysis. Paper presented at the Asian Business Research Conference,11-12 April, Dhaka.

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