Document Type : CASE STUDY

Authors

Department of Economics and Business, Udayana University, Denpasar, Indonesia

Abstract

This study aims to analyze: 1) the development of demand for craft SMIs products through the use of e-commerce, 2) the effect of e-commerce utilization, macroeconomic conditions, prices, and the intensity of promotion on product demand, 3) the effect of e-commerce utilization, macroeconomic conditions, prices, promotion intensity, and product demand for performance; and 4) the role of product demand in mediating the effect of e-commerce utilization, macroeconomic conditions, prices, and the intensity of promotion on performance. The results of the study show that the product demand variable gives a value of 0.371 while influence of the business performance variable gives a value of 0.486. The results of the study show that the development of demand for handicraft products in Denpasar through low e-commerce utilization, craft SMIs that utilize e-commerce demand more products than those who do not utilize, macroeconomic conditions have a positive and significant effect on product demand, the price has a negative effect and significant to product demand, while promotion intensity has a positive but not significant effect on product demand. Crafting SMIs that utilize e-commerce have better performance than those that do not use, macroeconomic conditions, prices, and product demand have a positive and significant effect on performance. Promotion intensity has a positive but not significant effect on performance.Product demand variables mediate the effect of e-commerce utilization variables, perceptions of macroeconomic conditions, and price variables on the performance variables of small and medium scale industries

Keywords

Abukhader, S.; Jönson, G., (2003). The environmental implications of electronic commerce – A critical literature review. Manage. Environ. Qual.: An Int. J., A special issue, 14: 4.

Abouzeedan, A., Busler, M. and Khodabandehloo, A. (2003), “Electronic commerce and small enterprises possibilities and problems,” Proceedings at the EURAM Conference, Managing Through Variety: the European Style?, April 3 – 5, Milan, Italy.

Al-Qirim, N., (2007). The Adoption of ecommerce Communications and Applications Technologies in Small Businesses in New Zealand. E-commerce Res. Appl., 6(4): 62-73 (12 pages).

Atkinson, R., (2010). Pengantar Psikologi. Jilid, Diterjemahkan oleh: Widjaja Kusuma. Tanggerang : Interkasara Publisher.

Boschma, R.; Weltevreden, J., (2008). An evolutionary perspective on Internet adoption by retailers in the Netherlands. Environ. Plann., A 40(9): 2222–2237 (16 pages).

Cao, X., (2012). The relationships between e-shopping and store shopping in the shopping process of search goods, Transportation Research Part A: Policy Pract., 46(7): 993-1002 (10 pages).

DBICDY, (2016). Directory book of industrial companies in Denpasar year.

Dheany, A., (2012). Analisis pengaruh kualitas produk, harga dan promosi terhadap keputusan pembelian air minum dalam kemasan (AMDK) Merek Aqua (Studi pada Konsumen Toko Bhakti Mart KPRI Bhakti Praja Provinsi Jawa Tengah). Skripsi Fakultas Ekonomika dan Bisnis Universitas Diponegoro; Semarang.

Dholakia, U., Kahn, B., Reeves, R., Rindfleisch, A., Stewart, D. and Taylor, E., (2010). Consumer Behavior in a Multichannel, Multimedia Retailing Environment, J. Interact. Marketing, 24(2): 86 – 95 (10 pages).

Fichter, K., (2001). Environmental effects of e-business and Internet economy”, Working Paper for the German Federal Environment Ministry (BMU), Borderstep Institute for Innovation and Sustainability, Berlin.

GER, (2017). Global ecommerce report.

Govindaraju, R.; Chandra, D.R., (2011). E-commerce adoption by Indonesian small, medium, and micro enterprises (SMMEs): Analysis of goals and barriers. In 2011 IEEE 3rd International Conference on Communication Software and Networks (ICCSN), 113–117 (5 pages).

Keshnee,P., (2008). Utilizing e-commerce and m-commerce applications to address the effect of global warming. E-Leader Karakow, School of Computing University of South Africa Unisa, South Africa.

Kreitner, R.; Kinicki, A., (2001). Organizational Behavior. Fifth Edition. Irwin McGraw-Hill.

Li, Y., (2000) ‘Greening of local E-commerce, how to realize the environmental potential of online grocery trade: A case study in the City of Lund’, M.Sc. thesis, LUMES program, Lund University, Sweden.

Liao, Z.; Cheung, M.T., (2001). Internet-based eshopping and consumer attitudes: An empirical study. Info. Manage., 38: 299-300 (2 pages).

MacGregor, R.; dan Vrazalic, L.V., (2007). E-commerce in Regional Small to Medium Enterprises, New York: IGI Publishing.

Nuryanti, (2013). Peran E-Commerce untuk meningkatkan daya saing usaha kecil dan menengah UKM, J. Ekonomi, 21(4): 1–15 (15 pages).

Tehrani, S.M.; Karbassi, A.R., (2005). Application of E-commerce in local home shopping and its consequences on energy consumption and air pollution reduction. Iran J. Environ. Health Sci. Eng., 2(4): 247-250 (4 pages).

Tehrani, S.M.; Karbassi, A.R.; Monavari, S.M.; Mirbagheri, S.A., (2010). Role of e-shopping management strategy in urban environment. Int. J. Environ. Res., 4(4): 681-690 (10 pages).

Triandini, Evi dan Atmojo, Yohanes P. (2014). Pengembangan model e-Commerce Untuk Peningkatan Kinerja UKM Kota Denpasar. J. Ekplora Info., 3(2).

Wang, Y.S.; Liao, Y.W., (2008). Assessing e-government systems success: Avalidation of the DeLone and McLean model of information systems success. Govern. Info., Q., 25(4): 717-733 (17 pages).

Weltevreden, J.W.J.; van Rietbergen, T., (2009). The implications of e-shopping for in-store shopping at various shopping locations in the Netherlands, Environ. Planning B: Planning and Design, Pion Ltd, London, 36(2): 279-299 (21 pages).


LETTERS TO EDITOR

International Journal of Human Capital in Urban Management (IJHCUM) welcomes letters to the editor for the post-publication discussions and corrections which allows debate post publication on its site, through the Letters to Editor. Letters pertaining to manuscript published in IJHCUM should be sent to the editorial office of IJHCUM within three months of either online publication or before printed publication, except for critiques of original research. Following points are to be considering before sending the letters (comments) to the editor.


[1] Letters that include statements of statistics, facts, research, or theories should include appropriate references, although more than three are discouraged.

[2] Letters that are personal attacks on an author rather than thoughtful criticism of the author’s ideas will not be considered for publication.

[3] Letters can be no more than 300 words in length.

[4] Letter writers should include a statement at the beginning of the letter stating that it is being submitted either for publication or not.

[5] Anonymous letters will not be considered.

[6] Letter writers must include their city and state of residence or work.

[7] Letters will be edited for clarity and length.

CAPTCHA Image