Research Article
Determinants of Product Competitiveness in Batu Bara Regency: Case of MSME Featured Product
@INPROCEEDINGS{10.4108/eai.22-9-2022.2337050, author={Paidi Hidayat and Fadli Fadli and Kanitsorn Terdpaopong}, title={Determinants of Product Competitiveness in Batu Bara Regency: Case of MSME Featured Product}, proceedings={Proceedings of the 3rd Economics and Business International Conference, EBIC 2022, 22 September 2022, Medan, North Sumatera, Indonesia}, publisher={EAI}, proceedings_a={EBIC}, year={2024}, month={4}, keywords={featured product economic development role of msme weighted factor}, doi={10.4108/eai.22-9-2022.2337050} }- Paidi Hidayat
Fadli Fadli
Kanitsorn Terdpaopong
Year: 2024
Determinants of Product Competitiveness in Batu Bara Regency: Case of MSME Featured Product
EBIC
EAI
DOI: 10.4108/eai.22-9-2022.2337050
Abstract
The current economic practices carried out by the local government had not been able to improve the overall welfare of the community. The root of this problem still too vast to pinpoint the exact problem. However, it affected the current economic development of regional economic in which often resulted as low economic competitiveness. Local governments were required to be able to explore and develop their economic potential independently. The government targeted One Village One Product (OPOV) program to support regional economic potential thus each village must have a competitive product to support their economy. The determination of potential featured products for each region in this study refers to criteria that affect economic development and competitiveness. The results showed that business capital became the strongest factor with a weight-value of 18.3%, followed by business facilities with a weight-value of 12.0%, and the availability of raw materials with a weight of 11.7%. The lowest factors in supporting competitiveness are value added potency and employment rate of business. In order to increase the potential of its featured products, Batu Bara Regency needs to be more effective and efficient in providing business capital access assistance that can support overall business development. The government needs to develop various business facilities that support production activities while maintaining the availability and quality of raw materials for superior products.