The Development of Business Clusters in Indonesia

This book outlines the ambivalence of Indonesian economic policies and reveals problems faced by small and medium-sized enterprises (SMEs) in the footwear and ceramic industries in Cibaduyut and Plered, West-Java. Indonesian SMEs are being encouraged to become more innovative, productive, and competitive. However, a lack of coordination among the national, regional, and sub-regional authorities and cultural issues undermine the ambitious business cluster initiatives. This highlights the necessity to consider the Indonesian decentralization process as well as Javanese and Sundanese customs in day-to-day economic activity.