Articles

Understanding Factors That Affect Social Media Advertisement Adoption for Small Medium Enterprises in Indonesia the Case of Facebook Advertisement

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Advancement of technology in the field of marketing has been one significant factor in assisting Small Medium Enterprises (SMEs) to increase their competitiveness. Meta, as a technological company, provide Facebook advertisement as a mean of digital social media advertising. One of the challenges that Meta faced is to attract more Facebook ads adoption especially in the Small Medium Enterprise sector. This research objective is to understand the factors that affect social media advertisement adoption, in this case Facebook advertisement, for small medium enterprises in Indonesia. There are eight variables that are believed to influence customer intention to adopt Facebook advertisement which are performance expectancy, effort expectancy, social influence, facilitating condition, hedonic motivation, price value, perceived technology security and self-efficacy.

The main data was collected by an online survey and 350 SMEs participated in it. The respondents are SMEs that operate in Indonesia and either have not use Facebook advertisement service or do not use the service anymore. The sample was gathered using non-probability convenience sampling and the data was analysed using structural equation model technique. The research found that Self-efficacy is the highest influencing variable that are statistically significant to influence SMEs intention to adopt Facebook advertisement. Effort expectancy and social influence are found to be statistically significant to influence SMEs intention to adopt Facebook advertisement. Hedonic motivation and price value factor are found to be statistically significant to influence intention to adopt Facebook ads for SMEs that have use the service but choose not to use it anymore. In the contrary, the factor of performance expectancy, facilitating condition and perceived technology security are found to be not statistically significant to influence intention to adopt Facebook ads among Indonesia SMEs.

The research suggests Meta to prioritize an effort to increase SMEs self-efficacy in using Facebook advertisement by giving free training and certification. Other suggestions are to partner with relevant key opinion leaders (KOL)/communities, creating engagement with SMEs through events and giving monetary incentives such as discount coupons. For future research, researcher suggest different/smaller respondent demography and/or different social media advertising platform. Research with respondent that are actively using Facebook advertising service could also give additional insight to the study.

Proposed Innovation Strategy for Streetwear MSMEs using TOWS: Asbhoel

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MSMEs in Indonesia, especially in the fashion sector, have experienced significant growth. One of the fashion lines that continues to grow and is popular among Indonesians is streetwear. As a fashion center, Bandung has one of the leading streetwear founded in 2013, namely Asbhoel. A company ideally has stable sales because it shows that the company has the right strategy to maintain sales levels. At Asbhoel, there is a problem of decreasing turnover from 2019 to 2022 due to changes in consumer behavior after the Covid-19 Pandemic. This research was conducted to provide proposed strategy innovation on the problem limitations of the suitable business strategy in dealing with changes in consumer behavior after the Covid-19 Pandemic, which decreased Asbhoel’s turnover. The research method used is qualitative. Data were obtained by exploring literature studies on the development of the fashion industry, streetwear trends in Indonesia, increase in the number and revenue of fashion MSMEs, the contribution of the fashion industry sector to Indonesia’s GDP, business development, and business strategies to increase sales. The data was also obtained from interviews with owners to get sales data for 2019 to 2022 and other analysis-supporting data. The data brought were then analyzed using PESTEL, Porter’s Five Forces, dan Competitor Analysis as an external analysis method to determine environmental conditions outside the company as well as Resource-Based View and Value Chain Analysis as an internal analysis method to determine environmental conditions within the company, which is then processed using TOWS to formulate strategic innovations for UMKM Asbhoel.

Integrative Negotiation Framework Case Study: “RUMAH DINAS TNI-AD-SBSN 2021 Project in CIRACAS”

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WIKA WG KSO is a joint company between PT. WIKA and PT. WEGE, which is engaged in the construction sector, is a temporary limited liability company that was deliberately built to complete the TNI-AD RUMDIS project which is located in 36 areas in Indonesia. One of the project areas is in Ciracas, East Jakarta, which was chosen by the author as the research subject. The location of the research project is in a residential area, so the construction process is carried out in the same place as the community’s activity and mobility area, which in turn raises several issues and criticisms.

The purpose of this research is to analyze the problem solving conducted by PT. WIKA WG KSO, the process taken, until the results obtained from solving problems that have been carried out, as well as to identify alternative methods that can be carried out by PT. WIKA WG KSO to get the best results. The author proposes the interactive negotiation method as a recommendation to achieve a win-win solution that is fair for both parties.

Based on the research that has been done, the authors conclude that there are several methods of integrative negotiation that can be carried out by PT. WIKA WG KSO to achieve a fair and profitable end result for PT. WIKA WG KSO and local residents affected by the TNI-AD RUMDIS development project.