DIGITAL BUSINESS MODEL INNOVATION FOR MSMES IN INDONESIA'S CREATIVE ECONOMY ERA: A STRATEGIC MANAGEMENT APPROACH

Abstract

This study examines digital business model innovation (DBMI) among Indonesia’s creative-economy MSMEs through a strategic management lens. Using a qualitative literature review, we synthesized peer-reviewed articles, conference papers, and academic reports published between 2015 and 2024 from Scopus, Web of Science, Google Scholar, and DOAJ. An initial pool of > 150 records underwent title/abstract screening and full-text assessment, yielding 54 studies for in-depth analysis. Guided by RBV, dynamic capabilities, ambidexterity, and platform/ecosystem strategy, we coded themes on DBMI patterns, enablers/barriers, technological adoption, and ecosystem support, followed by narrative synthesis. Five recurrent DBMI patterns emerged—omnichannel/platformization, servitization/experience, data-driven pricing & personalization, community-based/creator, and sustainability-oriented—with clear cross-sector variation (community/creator in fashion and digital media; servitization in culinary; sustainability/made-to-order in crafts). Internal enablers include digital leadership, absorptive capacity, brand/community equity, content quality, and agile operations; external enablers encompass payments and logistics infrastructure, platform features, mentoring, and policy support. Salient barriers are platform commissions and price competition, limited data access/analytics skills, IP risks, and regulatory uncertainty. Reported outcomes span sales growth, customer retention, market reach, faster experimentation cycles, and resilience. The review proposes a contextual DBMI framework linking capabilities, model design, and ecosystem rails, and calls for standardized performance metrics and sector-specific, locally grounded interventions.