• Darynaufal Mulyaman
    Darynaufal Mulyaman
    Dary adalah seorang peneliti di INADIS yang juga seorang dosen muda di Prodi HI UKI. Dia memfokuskan diri pada studi Korea dan Ekonomi Politik Internasional. https://www.linkedin.com/in/darynaufalm/

Collaborative Link & Match for SMEs as Solutions of COVID19 Pandemic

April 18, 2020

The Coronavirus has now become a global pandemic. Although this outbreak has first become a phenomenon at the end of January, yet the first case appeared long before that. It was only at the end of December that Chinese officials realized that they had a new kind of virus disease. The Chinese health authority itself reported the first case of COVID-19 to WHO on 31 December 2019. Moreover, from the data which was the result of research by scientists, the "zero patient" or first carrier of this virus was a 55-year-old man from Hubei Province, China. Then, the COVID-19 pandemic affects not only global population health but also the global economy. As many states try to curb COVID-19 through lockdowns, many small enterprises across the globe are threatened by the economic recession resulted from the slowing transactions and daily gains, including Indonesian small enterprises.

The coronavirus outbreak that has disrupted various activities creates an increased risk to the global economy. The optimism of the world economy could grow to 3.3% in 2020 will almost certainly not be achieved. Some large companies reduce business activities significantly. Supply to several large industries in other countries is also hampered. Many small and medium enterprises (SMEs) with short-term business contracts are under pressure.

China becomes a global concern because of its position as the second-largest economy in the world. The size of the country's economy has reached US$ 13.6 trillion. With such a size, China contributes 17% of world GDP. China is the world's largest exporter of intermediate goods. Some experts estimate the coronavirus outbreak will have a greater economic impact than the SARS outbreak. Therefore, with China’s economic slowdown, it could give a chain reaction to, not only large countries but also small countries.  Amid the economic crisis, not only large enterprises that will be affected by the slowdown, but also small and medium enterprises across the globe. Meanwhile, in Indonesia, currently, the economy is still dominated by micro and small enterprises (MSEs). Thus, based on the results of the Indonesian Statistics Agency (2020), the number of businesses reached more than 26 million. The SMEs sector is also able to absorb more than 59 million workers.

In preventing the collapsing of SMEs sector in Indonesia because of the outbreak of COVID-19, Indonesian Institute of Advanced of International Studies (INADIS) offers solutions in reducing the impact of COVID -19 pandemic on small and medium enterprises in Indonesia consists of three programs of Collaborative Link and Match that consist two points, namely Education and Product Marketing that explained further below,

            A. Education:

In this section, representative communities from various provinces in Indonesia are given a briefing or education on sustainable development or sustainable production that can help SMEs in dealing with the economic and COVID-19 crisis. The first stage can use online media such as google meets or zoom, which can save learning costs and avoid the spread of COVID-19 in accordance with government regulations.

Moreover, in this section, the community is given training on important production aspects, especially in conducting production in the time of crisis like these days from experts, both from the economic and medical experts.

            B. Product Marketing:

In this section, the community is assisted by the Ministry of Trade through a 'Link and Match' procedure from various countries' trading chambers, especially Indonesia's non-tradition markets including Indonesia's domestic market, in order to determine which countries that fit for certain products.