ISSN : 2663-2187

The Intersection of Innovation and Sustainability: Unpacking the Role of MSMEs in Depok’s Agricultural Sector

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Yanto, S.Saiful , Febriandru Kurniasih
» doi: 10.48047/AFJBS.6.6.2024.6414-6426

Abstract

This research actively investigates the role of Micro, Small, and Medium Enterprises (MSMEs) in the agricultural development of Depok City, West Java. A case study forms the core of the research method, involving the collection of qualitative data through interviews, observations, and document analysis. Surveys serve as a tool for gathering data on the challenges faced by MSMEs, including issues related to finance, infrastructure, human resources, technology, and regulatory compliance. Policy analysis is another method employed, focusing on the research and evaluation of government policies that support MSMEs. The research also includes an economic impact analysis to assess the influence of MSMEs on local economies. Participatory action research forms part of the methodology fostering collaboration between researchers and communities to address problems or enhance conditions. This approach can help identify strategies to overcome the challenges in MSMEs. MSMEs have demonstrated their crucial role in job creation, local economy stimulation, and income distribution support. They also contribute to economic growth by adhering to circular economic principles. A notable innovation by MSMEs in Depok’s agricultural sector is Urban Farming, which leverages limited urban land to boost productivity and welfare. Despite their contributions, these MSMEs encounter challenges such as access to finance, infrastructure, human resources, technology, regulatory compliance, and electricity. In response, regional governments have implemented various strategies and policies to support MSMEs. These include skill enhancement, market opportunity creation, tourism development, quality improvement, marketing facility development, empowerment of local MSME sectors, and digital and technological inclusion. The study culminates with suggestions for additional research on the economic implications of Micro, Small, and Medium Enterprises (MSMEs), instances of innovation, the influence of governmental regulations, the hurdles and impediments faced by MSMEs, the utilization of technology, and the repercussions of climate change on MSMEs within the agricultural domain of Depok. The research will deep the understanding of the dynamics and potential of MSMEs in Depok’s agricultural sector.

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