E-COMMERCE PLATFORMS AND THEIR ROLE IN STRENGTHENING MSME AND CREATIVE INDUSTRY COMPETITIVENESS IN INDONESIA
Arsinta Ersya Ramadhan 1, Nuri Mufida2, Vira Aulia Harahap3, Sri Tania Lumbanraja4, Ferdinan Simorangkir5
Abstract
This paper examines the contribution of e-commerce platforms to the enhancement of competitiveness among Micro, Small, and Medium Enterprises (MSMEs) and the creative industry in Indonesia. As the backbone of the national economy, MSMEs must continuously adapt to global technological change in order to maintain relevance and sustainability. The increasing use of the internet, along with the rapid growth of digital platforms, has created new opportunities for entrepreneurs to expand their markets, increase efficiency, and develop innovative approaches to business. The research adopts a qualitative descriptive method through literature review and document analysis, focusing on studies and reports that highlight the opportunities and obstacles associated with e-commerce adoption.
The results indicate that digital platforms play a significant role in addressing long-standing challenges faced by MSMEs, particularly in overcoming geographic restrictions, reducing operational costs, and widening promotional access. Through online marketplaces, entrepreneurs are able to reach a broader customer base both domestic and international while reducing dependence on physical infrastructure. The synergy between e-commerce and social media platforms such as Instagram, TikTok, and Facebook has further strengthened marketing strategies by enabling interactive promotion, fostering stronger consumer trust, and supporting brand development. Moreover, continuous feedback from customers through digital platforms encourages innovation in product design, service quality, and creative marketing, thereby sustaining business competitiveness.
Nevertheless, the adoption of e-commerce is not without difficulties. Many MSMEs continue to encounter limitations in digital literacy, access to financial resources, and technological infrastructure, particularly in rural areas. In addition, issues of online security and consumer protection remain a concern that undermines trust in digital transactions. These barriers underline the need for comprehensive support from multiple stakeholders, including government initiatives for training and infrastructure, financial institutions providing accessible funding, and platform providers offering user-friendly and secure systems. By addressing these challenges, e-commerce can function not only as a tool for business growth but also as a catalyst for inclusive and sustainable economic development in Indonesia