MSME Activists Hope Business Actors Optimize Optimization Opportunities For TikTok-Tokopedia Collaboration

Illustration. (Photo: Pixabay)

JAKARTA - Indonesian MSME activist Dewi Meisari Haryanti assessed that the collaboration between TikTok and Tokopedia will revive declining economic transactions recently. In addition to making it easier for millions of digital traders to access a wider market, consumers also get more options to meet their needs.

The return of the TikTok Shop through collaboration with e-commerce by the nation's children, Tokopedia is very positive for the MSME business. This method is more efficient because the two companies only need to carry out their technological integration. This collaboration will benefit MSMEs to reach a wider market and faster," explained Dewi in her statement in Jakarta, Tuesday, December 12.

TikTok has finally officially formed a strategic partnership with PT GoTo Gojek Tokopedia Tbk (GOTO). This strategic partnership was marked by the return of TikTok Shop to operate in Indonesia through PT Tokopedia, starting Tuesday 12 December 2023.

The company under the auspices of Bytedance from China invested more than 1.5 billion US dollars or around Rp. 23.43 trillion. This value is part of a long-term commitment to support Tokopedia's operations.

However, Dewi also reminded that the return of TikTok through Tokopedia must also be accompanied by improving the quality of local MSME products. That way consumers will be more stable to choose domestic products than imports. Other positive effects, affiliates who have not had products but also sell MSME products will find it easier to find buyers and increase their transactions.

"MSMEs must be committed to improving product quality so that they can become a choice of spending for consumers. The affiliates will certainly also welcome positively if our MSME products are of high quality," added the Lecturer of the Department of Economic Science, Faculty of Economics and Business, University of Indonesia.

According to Dewi, MSMEs must make improvements by prioritizing the quality and uniqueness of their products. Thus, every SME product will have a value or better benefit even though the price tends to be higher than imported products.

On the other hand, Dewi added, the government must also apply strict rules for the entry of imported products, especially in transactions at e-commerce.

"We hope that Tokopedia will remain consistent after the joining of TikTok not to open cross-border trading like other e-commerce. This is a principle, I am sure Tokopedia will remain committed to this," he added.

Minister of Trade (Mendag) Zulkifli Hasan ensured that TikTok would only sell through Tokopedia.

"The e-commerce is Tokopedia, in collaboration with TikTok. So TikTok is not e-commerce, the e-commerce, which sells Tokopedia," said the man called Zulhas at Tokopedia Tower, Jakarta, Tuesday 12 December.

Zulkifli Hasan also ensured that the Tokopedia and TikTok partnerships would not pose a threat to local MSME players.

He said the government had regulated electronic trading trading procedures through the Regulation of the Minister of Trade (Permendag) Number 31 of 2023 concerning Business Licensing, Advertising, Guidance, and Supervision of Business Actors in Actions Through Electronic Systems

"Domestic industries can no longer be threatened because there is already Permendag 31/2023," Zulhas concluded.