Strategic Model in the Development of Economic Transformation in Gorontalo City
Abstract
This research aims to formulate a model for the development of economic transformation in Gorontalo City. The research approach used is mixed method explanatory design, which combines quantitative and qualitative analysis. Data was collected through questionnaires, observations, documentation, and Focus Group Discussions (FGD) with 10 experts consisting of OPDs, communities, and related stakeholders. Quantitative data analysis used the Analytical Hierarchy Process (AHP) method and the qualitative Miles and Huberman model. The results of the study show that local governments are the main actors in the development of a smart economy, supported by universities, investors, and research institutions. The dominant factors that affect economic transformation in Gorontalo City are human resource capacity and digital literacy, entrepreneurial ecosystem, and circular economy innovation. The key strategies identified include community empowerment, entrepreneurship digitalization, strengthening innovation centers, and developing digital infrastructure. Gorontalo City still faces challenges such as low digital literacy, uneven infrastructure, and limited access to technology, but multi-sector collaboration and exploration of creative economy potential have opened up opportunities for innovation-based economic growth. The priority strategies in the development of economic transformation in Gorontalo City are community empowerment and business model development to create jobs, digitalization of circular economy-based entrepreneurship and financial inclusion and optimization of smart economic innovation centers based on education, research, and technology. In conclusion, the progressive economic model implemented is able to encourage sustainable achievement through innovation, cross-sector collaboration, and policies that support digital transformation. Therefore, it is necessary to accelerate the equitable distribution of digital infrastructure, increase human resource capacity, and strengthen policies and collaboration to realize an inclusive and sustainable economic ecosystem in Gorontalo City, especially in optimizing the efforts of Gorontalo City as a City of Services.
References
Arifin, Z., & Prabowo, M. A. (2018). Digital infrastructure development to support inclusive economic growth in Indonesia. Journal of Economics and Development Studies, 19(2), 99–110.
Damayanti, R., Santoso, B., & Permana, F. A. (2020). Resilience and sustainability achievement in regional economic development. Journal of Economics and Development Studies, 21(2), 159–170.
Dewi, A. D., & Sari, D. K. (2020). The Role of Local Government in Supporting Smart City Development in Indonesia. Journal of Regional and City Planning, 31(2), 89–104.
Firman, T. (2016). Urbanization and Urban Development in Indonesia: Past, Present, and Future. Eurasian Geography and Economics, 57(3), 302–329.
Gill, I., & Kharas, H. (2015). The Middle-Income Trap Turns Ten. World Bank Policy Research Working Paper, 7403, 1–34.
Handayani, R., & Maulina, E. (2022). Sustainable investment policies in digital economy transformation in Indonesia. Journal of Finance and Banking, 26(4), 927–939.
Harjanto, P., & Lestari, D. (2020). Digitalization of MSMEs in Encouraging Regional Economic Transformation. Journal of Indonesian Economics and Development, 20(2), 87–102.
Hasan, F., Idris, A., & Hadi, S. (2023). Progressive Economic Model for Digital Transformation: Challenges and Achievements. Journal of Economics and Development Studies, 24(1), 10–22.
Herrendorf, B., Rogerson, R., & Valentinyi, A. (2014). Growth and Structural Transformation. Handbook of Economic Growth, 2, 855–941.
Hidayat, R., Susanto, T. D., & Rahmatullah, A. S. (2018). University-Industry Collaboration and Digital Innovation for Regional Development in Indonesia. Journal of Technology Management, 17(2), 173–182.
Kurniawan, A., & Kuncoro, M. (2022). Investment and Digital Economy: The Role of Investors in Smart City Acceleration in Indonesia. Journal of Development Economics, 23(1), 1–14.
Kurniawan, F. (2018). Regional Economic Development Based on Local Potential. Journal of Economics and Policy, 11(2), 123–134. https://jurnal.ugm.ac.id/jek/article/view/32952
Lubis, M., Siregar, N., & Amri, R. (2022). Digital Financial Access and Economic Transformation in Indonesian SMEs. Journal of Finance and Banking, 26(1), 123–134.
Marianingsih, S. S. (2021). The Role of Private Sector and Startups in Developing Digital Infrastructure in Indonesia. Journal of Information Technology and Computer Science, 8(3), 493–500.
Maryani, E., Susanto, T. D., & Suhendra, D. (2021). Adaptive Regulation in Supporting Indonesia's Digital Economy Growth. Journal of Administration and Public Policy, 12(3), 221–230.
McMillan, M., Rodrik, D., & Verduzco-Gallo, I. (2014). Globalization, Structural Change, and Productivity Growth, with an Update on Africa. World Development, 63, 11–32.
Nugroho, Y., & Syarifudin, F. (2018). Digitalization and the circular economy to strengthen Indonesian MSMEs. Journal of Technology Management, 17(3), 273–283.
Nurhayati, N., Astuti, W., & Pradana, A. (2022). Good Governance and City Economic Transformation in the Digital Era. Journal of Administrative and Public Policy Sciences, 13(1), 45–60.
Owoo, N. S., & Naudé, W. (2016). Industrialization, Manufacturing and Economic Growth in Africa. Journal of African Economies, 25(suppl_1), i27–i49.
Pratama, B. C., & Wardhono, A. (2018). The Role of Digital Infrastructure in Economic Development of Indonesian Regions. Journal of Economics and Development Studies, 19(2), 112–123.
Priyono, A., Moin, A., & Putri, V. N. A. O. (2020). Identifying digital transformation paths in the business model of SMEs during the COVID-19 pandemic. Journal of Open Innovation: Technology, Market, and Complexity, 6(4), 104.
Rahayu, S., Wicaksono, A., & Yuliana, L. (2018). The Role of the Service Sector in the Transformation of the City Economy. Journal of Economics and Development, 26(2), 125–138.
Rahman, F., & Aziz, A. (2023). Digital Literacy and MSME Adaptation in Indonesian Economic Transformation. Journal of Economics and Development, 23(1), 45–56.
Rahmawati, Y., Sari, D. K., & Prabowo, R. (2019). Smart waste management as a driver of the circular economy: A study in Indonesian cities. Journal of Environmental Engineering, 25(2), 115–124.
Rodrik, D. (2016). Premature Deindustrialization. Journal of Economic Growth, 21(1), 1–33.
Sitorus, T. A., Widodo, T., & Santoso, B. (2021). The Role of Innovation Ecosystems in Digital Economy Acceleration in Indonesia. Journal of Economics and Development Studies, 23(1), 15–28.
Suharto, E., & Mulyani, N. (2017). Local economic potential exploration as a resilience strategy in the digital era. Journal of Economics and Development Studies, 18(2), 77–85.
Sulastri, E. (2019). Digital Literacy and Human Resources Development in Indonesian Economic Transformation. Journal of Technology Management, 18(1), 87–97.
Suryani, A., Prasetyo, A., & Siregar, A. P. (2021). Collaboration and innovation for sustainable economic achievement in Indonesian cities. Journal of Administration and Public Policy, 12(2), 151–160.
Susanti, H., & Mahmudiono, T. (2020). Circular Economy Innovation for Sustainable Regional Development: Evidence from Indonesia. Journal of Economics and Public Policy, 11(2), 132–145.
Syaifudin, S., & Syamsuddin, S. (2017). Strengthening the Creative Economy and MSMEs in Urban Economic Transformation. Journal of Economics and Business, 20(1), 34–47.
Szirmai, A. (2015). Socio-Economic Development (2nd ed.). Cambridge: Cambridge University Press, 251–273.
Tranos, E., & Gertner, D. (2019). Smart Cities: A Spatialised Intelligence. Annals of Regional Science, 62, 757–780.
Wicaksono, F., & Suryaningsih, I. B. (2021). University-based Innovation Center as an Engine for Regional Economic Growth. Journal of Public Administration, 8(1), 53–62.
Wijaya, F., & Simatupang, T. M. (2019). Addressing pain points in digital transformation: Policy and strategy in Indonesian regions. Journal of Administrative Sciences, 16(1), 23–35.
Wijaya, R. (2019). The Role of Digital Media and Influencers in Promoting Smart Economy in Indonesia. Journal of Communication Sciences, 16(2), 151–165.
Yuliana, S. (2020). Policy Synchronization between Central and Local Governments in Smart City Implementation in Indonesia. International Journal of Public Administration, 43(5), 393–404.
Zainuddin, M., & Setiawan, R. (2021). Digital Financial Inclusion and the Role of Banking in Indonesian MSMEs' Transformation. Journal of Finance and Banking, 25(4), 927–939.





.png)















Contact Person +6282139474255
Email : ijebir@citakonsultindo.or.id / editor.ijebir@gmail.com