Tuesday, Sept 18th, 2018 – Last week, Devina from Angel Investor Network Indonesia (ANGIN) had a chance to attend the Report Launch: Empowering SMEs through Digital Integration that co-hosted by CSIS and Sea Jakarta. Conducted by Bain & Company in association with Google, Sea and Tan Sri Rebecca, the Advancing towards ASEAN Digital Integration surveyed over 2,300 small and medium enterprises (SMEs) across all 10 ASEAN member states. The report found that harnessing the collective power of the region’s digital economies could accelerate intra-regional trade and growth (digital integration) and stimulate a GDP uplift for US$1 trillion across ASEAN by 2025.
A Panel discussion on preparing SME’s for Indonesia 4 occurred during the event which was followed by Prof. Mari Elka Pangestu – Indonesia’s Former Minister of Trade, Eddy Siswanto0 – secretary Dir. Gen for Indonesia SME’s Ministry of Industry, Donny B.U – expert staff in Digital Literacy & Intenet Governance Ministry of Communication and Information and Haryo Aswicahyono – CSIS, Santitarn Sathirathai – Group Chief Economist Sea. The key discussion on digital integration were the opportunities & risks for Indonesia SME’s in the digital age, some binding constraints to digital integration for SMEs challenges to address, and role of the government vs private sectors. Prof. Mari Elka Pangestu assessed that the digital economy has greater opportunities for SMEs to develop their business. SMEs will get a lot of benefit from the growth of the e-commerce industry. This e-commerce development is part of learning on how business can learn to increase their businesses.
Here is some key takeaway from the panel discussion:
- Government to encourage MSME’s to use online platforms not only by providing internet, and encourage the ecosystem (infrastructure, literacy, partnership).
- A simple platform is needed, especially with a very low level of technological literacy to encourage MSME to use internet technology.
- The biggest factor on people does the online shopping is because its practical (63%). The other factor is only 5%
- E-commerce is an enabler for SME’s whichever element must be developed.
- E-commerce could increase goods variety in the market. Creating new goods that have not existed before.
- The main constraints in Indonesia are skill and knowledge. 60% stated that the reason for not using the online platform was due to not knowing how to use it and what the benefits.
Click here to read the report.
