A Strategic Framework for the Advancement of Digital Creative Industry in Indonesia

Abstract

Indonesia's digital creative industry is a key driver of national economic growth,
thanks to a young population that is comfortable with technology. But even
though it has a lot of potential, the industry has ongoing structural problems that
make it hard to stay competitive in the long run. These include a big gap between
the skills that schools teach and what businesses need, uneven digital
infrastructure, weak protection of intellectual property, and broken governance.
People want free content and businesses that compete on price, which makes it
even harder for businesses to innovate and stay in business. This study presents a
strategic framework aimed at fortifying the industry, utilizing Porter’s Diamond
Model as the analytical foundation. We use a quantitative explanatory approach
backed by secondary data to look at factor conditions, demand conditions, related
and supporting industries, firm strategy and competition, and the effects of
government and chance. The results show that we need a development strategy
that is based on four pillars: improving human capital, digital infrastructure, and
ecosystem support; boosting innovation and business competitiveness; and
making regulatory coordination more efficient. By following these steps,
Indonesia can become a leader in the global digital economy by creating a more
competitive, inclusive, and sustainable creative ecosystem.