Abstract
Strengthening the competitiveness of SMEs in Indonesia was essential by the era of global competition in line with the implementation of the ASEAN economic community in 2015. The purpose of this research is designing a model and strategy of strengthening the international competitiveness of SMEs through LEDI - 9F approach. This research is using content analysis and Analytic Networking Process. This research found that the model of strengthening the international competitiveness of SMEs could be done through a model of partnership between the various stakeholders both at district, provincial and state levels. The most priority aspect to strengthen SME's competitiveness is business context with the most priority strategy that is the strategy of management and business. Based on the results of the analysis, the government can use as a reference for the government to strengthen SME's competitiveness through anticipate problems and optimize the solutions that arise in enhancing SME's competitiveness.DOI: 10.15408/etk.v17i1.6826
Highlights
Strengthening the competitiveness of Small and Medium Enterprises (SMEs) is one of achieving the objectives Indonesian nation as mandated in the preamble of Republic Indonesia constitution to promote the social welfare
Through optimization of the role that has done at all levels, the expected output is the strengthening the competitiveness of SMEs in Indonesia
The expected goal is the strengthening the competitiveness of SMEs in Indonesia that can be looked through increasing value-added and marketing range, improving institution by business modernization, increasing capacity and business protection with policy and incentive, increasing access into financing, and improving quality of human resource
Summary
Strengthening the competitiveness of Small and Medium Enterprises (SMEs) is one of achieving the objectives Indonesian nation as mandated in the preamble of Republic Indonesia constitution to promote the social welfare. The urgency of strengthening the competitiveness of SMEs in Indonesia is essential by the era of global competition in line with the implementation of the ASEAN economic community in 2015. It needs to get more attention because of the contribution of SMEs in Indonesia reached 57.5 percent of the national income and be able to employ 17.65 million (Ministry of Cooperative and SMEs, 2015). SMEs are influenced by (1) customer relation/ service; (2) technological innovation; (3) corporate strategies (Suh and Kim, 2014; O’Cass and Weerawardena, 2009); (4) international entrepreneurial orientation; (5) key strategic activities (Knight, 2001); (6) adoption of government export programs; (7) details the main implications for managers of small international firms (Hutchinson et al, 2006). Hagen et al (2012) research found that only strategic orientation that leads to improved international performance
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