A PORTRAIT OF THE MICRO AND SMALL INDUSTRY MAP IN INDONESIA: IDENTIFYING GROWTH CENTERS AND REGIONAL DISPARITIES

Abstract

This research aims to map the micro and small industry (MSI) landscape in Indonesia by identifying growth centers and existing regional disparities. MSIs are a crucial pillar of the national economy, but their uneven distribution often creates economic disparities between regions. The study used a descriptive quantitative research method to analyze data and provide a comprehensive overview of MSI dynamics across various provinces. The analysis focused on distribution patterns, dominant industry types, factors supporting growth, and the obstacles encountered. The results show a significant spatial dominance of MSIs on the island of Java, particularly in provinces with more advanced infrastructure and better market access. Conversely, significant regional disparities were found in eastern Indonesia, where the number of MSIs is still relatively low and their growth is hampered by limited capital, technology access, and inadequate policy support. This study concludes that targeted, region-specific policy interventions are essential to promote more equitable economic growth. The implications of this research include improving access to micro-financing, providing relevant skills training, and developing supporting infrastructure in lagging regions.