Again, on Wednesday, March 11 2020, the Masters Study Program - Economics, Faculty of Economics and Business Universitas Airlangga (FEB Unair), under the leadership of Dr. Wisnu Wibowo (Coordinator of the Master of Economics Study Program), held a Public Lecture with the theme "E-COMMERCE IN INDONESIA: Development and Its Role in the Economy", which was delivered by Dr. H. Soekarwo (Member of the Presidential Advisory Council of the Republic of Indonesia for the 2019-2024 period), in the Fadjar Notonagoro Hall, 2nd floor, Faculty of Economics and Business, Universitas Airlangga .
Pakdhe Karwo's Public Lecture: "E-COMMERCE IN INDONESIA: Development and Its Role in the Economy"
Indonesia has quite large and promising digital economic potential, especially in the e-commerce sector and has the opportunity to become the largest in Asia.
As stated by Joko Widodo in the 2016 Declaration that: Indonesia as "The Digital Energy of Asia".
Research conducted by McKinsey states that the value of Indonesia's digital economy could reach US$ 150 billion, or around Rp. 2,040 trillion and contribute 10% to gross domestic product (GDP) by 2025.
In his lecture, Dr. H. Soekarwo (or who is often called Pakdhe Karwo), stated that currently the development of e-commerce in Indonesia has the potential to grow very rapidly, but it is still not very big. This can be seen from the results of the Central Statistics Agency (BPS) Survey that (the e-commerce survey was conducted with a sample of 3,504 census blocks spread across 101 regencies/cities in all provinces in Indonesia) results obtained were 15.08% of e-commerce businesses and 84. 92% of businesses do not have e-commerce, this means it is still not very big, but we still need to be careful, don't let us enjoy enjoying the efficiency brought about by e-commerce, but we forget other important aspects, such as whether, with e-commerce, we will be able to lead us to economic superiority in the long term? Which according to Dr. Wisnu Wibowo, as the event guide/moderator, stated that "advancing e-commerce without being accompanied by strengthening the industrial sector will result in us losing a lot of potential progress in the future."
From right to left: Dr. Wisnu Wibowo – Coordinator of the FEB Unair S2-IE Study Program (as well as Moderator of the Guest Lecture event); Dr. H. Soekarwo - Member of the Advisory Council for the President of the Republic of Indonesia for the 2019-2024 period.
Then there are other negative impacts of e-commerce businesses that need to be watched out for, according to Dr. Wisnu Wibowo is whether this online-based business will be at risk of increasing the number of unemployed in Indonesia, because "we also need to study whether with e-commerce, more people will get jobs compared to people who have to be eliminated from the job market as a result of the emergence of e-commerce. "So that the development of e-commerce is not balanced with the creation of job opportunities through supporting industrial developments that we have made, what will happen in the future will actually be reduced job opportunities."
In his presentation, Pakdhe Karwo explained that indeed in this digital era, countries (like it or not) must adapt in order to remain competitive, encouraging the transition from a traditional economy to a digital economy with industry 4.0, because as the World Economic Forum Survey noted that power Indonesia's investment competitiveness in 2019 fell to 50th position from 45th in 2018, where the decline was mainly due to the slow implementation of technology. So according to Pakdhe Karwo "it is very dangerous, because if you are late in that position, the company you own will also die."
And according to Pakdhe Karwo, efforts to strengthen MSMEs amidst global dynamics are also very important where "the key to success is collaboration between production, markets and financing, it must be good", to strengthen the commitment to build inclusive growth based on MSMEs. Where growth must be able to reduce poverty, reduce inequality in income distribution, and absorb more labor.
Regarding MSMEs, at the end of the session before questions and answers, Dr. Wisnu Wibowo, also expressed his concern and request that it be conveyed to all MSME business actors, that "Not all commodities can actually be e-commerce, for example, for the MSME Program which is a characteristic of a region, it is actually not suitable for e-commerce." "-commerce, right, because once the product is e-commerce, within a few months the item will be duplicated with much cheaper production costs, and our icon will disappear from the market."
Front from right to left (2-3-4 & 6): Dr. Rudi Purwono – Deputy Dean I FEB Unair; Dr. H. Soekarwo - Member of the Presidential Advisory Council of the Republic of Indonesia for the 2019-2024 period; Prof. Dr. Dian Agustia, SE., MSc., Ak., CMA., CA. – Dean of FEB Unair; Dr. Wisnu Wibowo – KPS S2-IE Study Program FEB Unair
Hopefully the public lecture which was attended by around 375 students from the Undergraduate Program, Masters Program and Doctoral Program, Faculty of Economics and Business, Universitas Airlangga , can provide enlightenment and open the views of our nation's children, Satria Airlangga, on how we should behave in the midst of opportunities, challenges and at the same time build awareness. about technological progress in the global era for the nation's economy. (iwl)
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