Implementing Digital Transformation, Indonesian MSMEs Need To Learn From China

Minister of Cooperatives and SMEs (Menkop UKM) Teten Masduki. (Photo: Theresia Agatha/VOI)

JAKARTA - Minister of Cooperatives and SMEs (Menkop UKM) Teten Masduki emphasized that micro, small and medium enterprises (MSMEs) need to implement digital technology such as artificial intelligence (AI).

Because, this can help MSMEs to improve the quality of their products.

Teten assessed that MSMEs need to learn from China, which China is considered one of the countries that has succeeded in implementing digital transformation.

He said many products produced by China proved to have low prices, but the quality could compete in the market.

"Why did China succeed, now this is what we have to learn. First, how do they make goods using digital technology, IOT, use AI, so that their products can be so cheap and have good quality to compete globally," said Teten at Smesco Indonesia, Jakarta, quoted Friday, October 6.

According to him, currently China is the only country that is quite successful in carrying out digital transformation in the world. This is because the impact of the economic value is quite large on the country.

China is even said to have accelerated its economic impact over the United States (US) which began its transformation in the 1990s.

"In China, indeed, the digital economic share of their GDP can be 41.5 percent, it is the largest in the world," said Teten.

Furthermore, Teten assessed that the Indonesian people still have not carried out digital transformations completely like China. "We are not like that, so we are just busy selling online," he said.