Stories from Local Entrepreneurs: Business Strategies of MSME in the Pandemic Time

Yogyakarta, September 25th 2020—BRIWORK FISIPOL UGM which was moderated by Karina Yusuf held another sharing session series that collaborated with Indonesia Mall in the #BRIWORKMikirBareng. This one-hour discussion session brought the theme Community as the Strength of Business in the Pandemic Era. It presented Susi Harini (Owner of AADS Foods) and Afiat Rasyid Rustamadji (Owner of Gue Giran and the Secretary of Regional Development Bank of DKI Jakarta). The discussion topic was interesting and it succeeded in inviting the public’s attention with the arrival of various participants from various regions, such as Sidoarjo, Malang, and Bogor. The discussion began with Alfiat Rasyid who sparked the discussion with an explanation regarding MSME in the context of a pandemic.

For Rasyid, MSME is one of the important economic cogs because it has contributed to Indonesian economics. But, during this pandemic, the MSME group became quite vulnerable because of the social distancing policy which hampered the running of these MSMEs. As for this, it can be seen from the various types of classified MSMEs groups, starting from the Apparent Death of MSMEs Group, the Fainting MSME Group, the Slowly Moving Economy Wheel MSME Group, and the Fast Moving Economy Wheel MSME Group. Rasyid considered the existence of several groups of MSMEs to be minimized by implementing several alternative solutions, including:

Offer of Alternative Solutions for the Apparent Death and Fainting of MSMEs Group

            For the first two groups of MSMEs, Rasyid gave four things that can be done to survive a pandemic. The first, to immediately seek and implement a new business model. Second, making products that are adaptable to the conditions in difficult times. Third, knit friendship and communication actively and effectively. Fourth, upgrade the businesses.

Offer of Alternative Solutions for the Slowly and Fast Moving Economy Wheel MSMEs Group

Basically, these two groups can be considered as groups that have settled with the conditions during this pandemic. Therefore, the solution offered to this group is to continue to maximize the use of the marketplace and social media to sell and help the Apparent Death and Fainting of MSMEs Group.

Basically, the offer of alternative solutions to how to survive for local MSMEs during this pandemic can also be minimized by applying the methods that are owned by the second speaker, Susi Harini. As the owner of a typical Sleman spinach chip product called AADS Foods, she shares her strategy to continue marketing her spinach chip products. Susi, who stated that she understood the production process better than the marketing aspect of this product, took advantage of the resellers in her area to sell AADS Foods products during the pandemic period. For her, this strategy can be a workable solution for other local entrepreneurs.

Interestingly, Susi also shared her unique experience in starting her spinach chips business. With the persistence of studying with the community she participated in to gather information and knowledge related to business, Susi then convinced herself to open her own stall with only Rp100,000. Uniquely, this capital is supported by the use of production materials that she owns at home, it was spinach. The knowledge she gained during training in the MSMEs community led her to do a series of stages before opening AADS Foods. Among them was registering the license to the local Health Office, seeking licensing for halal labels and brands for AADS Foods. The twists and turns of this business trip have been taken seriously by Susi. To the audience, Susi also emphasized that her business felt helped by the presence of Indonesia Mall which also accommodated its products to be marketed more massively.

Other than Susi, Rasyid who formerly sparked the discussion with the four groups of MSMEs also shared his story about Komunitas Sahabat UMKM which was established to help the local MSMEs in business training, etc. From Susi and Rasyid, participants were invited to understand that local MSMEs during this pandemic can continue to run to meet economic needs with the assistance of the MSMEs community who are ready to support between MSMEs. For Susi, the existence of the MSMEs community is not just a place to gather. More than that, the community is a place to learn, obtain, and distribute support to other MSMEs.