Strategic digitalization of UMKM business as an alternative to survive the COVID-19 pandemic

Raden Achmad Harianto; Pratiwi Nila Sari

doi:10.21744/lingcure.v5nS1.1446

Authors

Raden Achmad Harianto
haribast@gmail.com
Universitas Bhayangkara Jakarta Raya, Bekasi, Indonesia
Pratiwi Nila Sari Universitas Bhayangkara Jakarta Raya, Bekasi, Indonesia

Keywords:

COVID-19, digitalization, strategic, UMKM business

Abstract

The purpose of this study is to implement a business digitalization strategy so that micro, small and medium enterprises (UMKM) can survive the COVID-19 pandemic. This research method is descriptive qualitative based on UMKM survey data from the Katadata Insight Center (KIC) June 2020 in the Jabotabek area. From the results of this study it appears that UMKM business activities carried out with a conventional strategy (Offline System) contributed to a decrease in sales turnover by more than 30%. Meanwhile, UMKM business activities carried out with the strategy of digitalization UMKM (Online System) businesses such as Smart phones (PCs or lap tops) connected to the Internet only amounted to 3.8% of UMKM which experienced an increase in sales turnover. For this reason, it is necessary to build an infrastructure that supports the digitalization of UMKM in terms of online marketing of UMKM products.

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