Main Article Content
Abstract
Purpose: This study examines the strategic role of the Bandung City Department of Trade and Industry in empowering small and medium industries (SMIs) and developing their competitiveness through digitalization, certification, capacity building, and Octa Helix collaboration.
Research Method: A descriptive qualitative design was applied using in-depth interviews, field observations, and document analysis. Data were analyzed through an interactive qualitative model, IFAS–EFAS, and SWOT analysis, with source and method triangulation supporting trustworthiness.
Results and Discussion: The IFAS and EFAS scores place Bandung’s SMIs in a growth-oriented strategic position. Digitalization and certification assistance expanded, while export performance improved. However, financing constraints, unequal digital capabilities, and fragmented coordination remain. The Octa Helix framework connects government, academia, businesses, communities, media, financial institutions, supporting organizations, and society in SME development.
Implications: Disdagin should expand continuous digital mentoring, simplify certification, improve access to financing, strengthen industrial clusters, and formalize stakeholder coordination.
Originality: This study integrates the Octa Helix framework with IFAS–EFAS and SWOT analyses to formulate municipal-level SME development strategies.
Keywords
Article Details

This work is licensed under a Creative Commons Attribution 4.0 International License.
References
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- Badan Pusat Statistik Kota Bandung. (2025). Kota Bandung dalam angka 2025. BPS Kota Bandung.
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- Chatterjee, S., Chaudhuri, R., Vrontis, D., & Thrassou, A. (2022). SME entrepreneurship and digitalization – the potentialities and moderating role of demographic factors. Technological Forecasting and Social Change, 179, 121648. https://doi.org/https://doi.org/10.1016/j.techfore.2022.121648
- Chaudhuri, A., Subramanian, N., & Dora, M. (2022). Circular economy and digital capabilities of SMEs for providing value to customers: Combined resource-based view and ambidexterity perspective. Journal of Business Research, 142, 32–44. https://doi.org/https://doi.org/10.1016/j.jbusres.2021.12.039
- Clemente-Almendros, J. A., Nicoara-Popescu, D., & Pastor-Sanz, I. (2024). Digital transformation in SMEs: Understanding its determinants and size heterogeneity. Technology in Society, 77, 102483. https://doi.org/https://doi.org/10.1016/j.techsoc.2024.102483
- Cloitre, A., Dos Santos Paulino, V., & Theodoraki, C. (2023). The quadruple/quintuple helix model in entrepreneurial ecosystems: an institutional perspective on the space case study. R&D Management, 53(4), 675–694. https://doi.org/10.1111/radm.12547
- Fidanoski, F., Simeonovski, K., Kaftandzieva, T., Ranga, M., Dana, L.-P., Davidovic, M., Ziolo, M., & Sergi, B. S. (2022). The triple helix in developed countries: when knowledge meets innovation? Heliyon, 8(8). https://doi.org/10.1016/j.heliyon.2022.e10168
- Iskamto, D., Tresnamurti, G., & Indrajaya, D. (2024). The Influence of The Entrepreneurial Environment And Government Support on The Performance of MSMEs in Bandung. International Journal of Entrepreneurship and Business Management, 3(1), 12–22. https://doi.org/10.54099/ijebm.v3i1.969
- Jeppesen, S. (2005). Enhancing competitiveness and securing equitable development: Can small, micro, and medium-sized enterprises (SMEs) do the trick? Development in Practice, 15(3–4), 463–474. https://doi.org/10.1080/09614520500076100
- Khizar, H. M. U., Iqbal, J., Khalid, J., & Hameed, Z. (2023). Unlocking the complementary effects of multiple strategic orientations on firm performance: an interplay of entrepreneurial, sustainability and market orientation. Kybernetes, 53(6), 1939–1957. https://doi.org/10.1108/K-03-2022-0319
- Kusendang, A., Mulyana, A., & Febrian, F. (2023). The Influence of Digital Marketing and Product Innovation Product Innovation on Competitive Advantage And its Implications on Performance Marketing (A Survey of Smes Assisted by The Department of Trade and Industry of Bandung City). Greenation International Journal of Law and Social Sciences, 1(4), 173–180. https://doi.org/10.38035/gijlss.v1i4.245
- Maswin, M., & Sudrajad, O. Y. (2023). Analysis of financial indicator literacy determinants on the performance of Bandung City SMEs. International Journal of Current Science Research and Review, 6(06), 3792–3804. https://doi.org/10.47191/ijcsrr/V6-i6-68
- Morisson, B., & Fikri, A. A. H. S. (2025). Digitalisasi UMKM sebagai strategi meningkatkan daya saing di era ekonomi digital. E-BISNIS: Jurnal Ilmiah Ekonomi dan Bisnis, 18(1), 289–299. https://doi.org/10.51903/e-bisnis.v18i1.2215
- Murillo-Luna, J. L., & Hernández-Trasobares, A. (2023). Cooperation with the Triple Helix and corporate environmental innovation. Journal of Cleaner Production, 384, 135479. https://doi.org/https://doi.org/10.1016/j.jclepro.2022.135479
- Mushtaq, R., Gull, A. A., & Usman, M. (2022). ICT adoption, innovation, and SMEs’ access to finance. Telecommunications Policy, 46(3), 102275. https://doi.org/https://doi.org/10.1016/j.telpol.2021.102275
- OECD. (2021). The digital transformation of SMEs. OECD Publishing. https://doi.org/10.1787/bdb9256a-en
- OECD. (2023). OECD SME and entrepreneurship outlook 2023. OECD Publishing. https://doi.org/10.1787/6b5a6cd3-en
- Pardo-del-Val, M., Cerver-Romero, E., Martinez-Perez, J. F., & Mohedano-Suanes, A. (2025). From Startup to Scaleup: Public Policies for Emerging Entrepreneurial Ecosystems. Journal of the Knowledge Economy, 16(2), 7874–7907. https://doi.org/10.1007/s13132-024-02175-6
- Prasannath, V., Adhikari, R. P., Gronum, S., & Miles, M. P. (2024). Impact of government support policies on entrepreneurial orientation and SME performance. International Entrepreneurship and Management Journal, 20(3), 1533–1595. https://doi.org/10.1007/s11365-024-00993-3
- Purnamasari, M., & Wahyutari, S. (2025). Analysis Of The Role Of The Department of Indonesia and Indonesia in Sme Development In Boyolali Regency. Jurnal Ekonomi, Manajemen, Akuntansi, Bisnis Digital, Ekonomi Kreatif, Entrepreneur (JEBDEKER), 6(1), 154–166. https://doi.org/10.56456/jebdeker.v6i1.901
- Rehman, F. U., Gyamfi, S., Rasool, S. F., Akbar, F., Hussain, K., & Prokop, V. (2023). The nexus between circular economy innovation, market competitiveness, and triple bottom lines efficiencies among SMEs: evidence from emerging economies. Environmental Science and Pollution Research, 30(58), 122274–122292. https://doi.org/10.1007/s11356-023-30956-0
- Sagala, G. H., & Őri, D. (2024). Toward SMEs digital transformation success: a systematic literature review. Information Systems and E-Business Management, 22(4), 667–719. https://doi.org/10.1007/s10257-024-00682-2
- Shkarupeta, E., & Babkin, A. (2024). Eco-innovative development of industrial ecosystems based on the quintuple helix. International Journal of Innovation Studies, 8(3), 273–286. https://doi.org/https://doi.org/10.1016/j.ijis.2024.04.002
- Sugar, K., Wade, F., & Webb, J. (2024). Local authority engagement with small and medium‐sized enterprises in energy efficiency: Governance approaches used in the Energy Efficient Scotland Programme. Environmental Policy and Governance, 34(6), 709–723. https://doi.org/10.1002/eet.2119
- Thawesaengskulthai, N., Chatmarathong, A., & Koiwanit, J. (2024). Impact and policy supporting Thailand innovation driven enterprise: orchestrating university innovation and entrepreneurship ecosystem with public and private stakeholders. Journal of Innovation and Entrepreneurship, 13(1), 16. https://doi.org/10.1186/s13731-024-00371-x
- Umam, H. S., & Mafruhat, A. Y. (2022). Strategi Optimalisasi Smart Economy Dalam Peningkatan Daya Saing UMKM Di Kota Bandung. Nuansa Akademik: Jurnal Pembangunan Masyarakat, 7(2), 355–368. https://doi.org/10.47200/jnajpm.v7i2.1317
- van Bueren, B. J. A., Argus, K., Iyer-Raniga, U., & Leenders, M. A. A. M. (2023). The circular economy operating and stakeholder model “eco-5HM” to avoid circular fallacies that prevent sustainability. Journal of Cleaner Production, 391, 136096. https://doi.org/https://doi.org/10.1016/j.jclepro.2023.136096
- van Bueren, B. J. A., Leenders, M. A. A. M., Argus, K., Lim, W. M., Iyer-Raniga, U., & Sabani, A. (2025). Integrating sustainability into helix models for eco-innovation: The eco-5HM. Technovation, 143, 103211. https://doi.org/https://doi.org/10.1016/j.technovation.2025.103211
- Vega-Pascual, M., di Pietro, F., Palacín-Sánchez, M.-J., & Alfalla-Luque, R. (2025). Linking financial ecosystem and the growth of young SMEs: evidence from Spanish regions. Review of Managerial Science, 19(6), 1859–1888. https://doi.org/10.1007/s11846-024-00815-4
- Wang, H., Zhao, T., Cooper, S. Y., Wang, S., Harrison, R. T., & Yang, Z. (2023). Effective policy mixes in entrepreneurial ecosystems: a configurational analysis in China. Small Business Economics, 60(4), 1509–1542. https://doi.org/10.1007/s11187-022-00658-x
- World Bank. (2022). Small and medium enterprises (SMEs) finance. World Bank.
- Wube, M. C., & Atwal, H. (2023). The entrepreneurial ecosystem and the performance of micro and small enterprises (MSEs) in Amhara region, Ethiopia: the political–legal perspective. Journal of Innovation and Entrepreneurship, 12(1), 62. https://doi.org/10.1186/s13731-023-00334-8
- Zemtsov, S., Barinova, V., Semenova, R., & Mikhailov, A. (2022). Entrepreneurship Policy and SME Development during Pandemic Crisis in Russia. Regional Research of Russia, 12(3), 321–334. https://doi.org/10.1134/S2079970522700071
References
Almeida, F., & Deutsch, N. (2025). Urban living labs as catalysts for innovation: Advancing urban ecosystems within the quintuple helix model. Urban Governance, 5(2), 133–141. https://doi.org/https://doi.org/10.1016/j.ugj.2025.05.005
Badan Pusat Statistik Kota Bandung. (2025). Kota Bandung dalam angka 2025. BPS Kota Bandung.
Bartoloni, S., Calò, E., Marinelli, L., Pascucci, F., Dezi, L., Carayannis, E., Revel, G. M., & Gregori, G. L. (2022). Towards designing society 5.0 solutions: The new Quintuple Helix - Design Thinking approach to technology. Technovation, 113, 102413. https://doi.org/https://doi.org/10.1016/j.technovation.2021.102413
Batool, S., Baig, S., Khalid, M., & Alam, K. M. (2024). Fostering entrepreneurship and development in rural mountainous regions: the role of SEZs and local economic dynamics in Gilgit-Baltistan. International Journal of Emerging Markets, 20(9), 3654–3674. https://doi.org/10.1108/IJOEM-08-2023-1310
Chatterjee, S., Chaudhuri, R., Vrontis, D., & Thrassou, A. (2022). SME entrepreneurship and digitalization – the potentialities and moderating role of demographic factors. Technological Forecasting and Social Change, 179, 121648. https://doi.org/https://doi.org/10.1016/j.techfore.2022.121648
Chaudhuri, A., Subramanian, N., & Dora, M. (2022). Circular economy and digital capabilities of SMEs for providing value to customers: Combined resource-based view and ambidexterity perspective. Journal of Business Research, 142, 32–44. https://doi.org/https://doi.org/10.1016/j.jbusres.2021.12.039
Clemente-Almendros, J. A., Nicoara-Popescu, D., & Pastor-Sanz, I. (2024). Digital transformation in SMEs: Understanding its determinants and size heterogeneity. Technology in Society, 77, 102483. https://doi.org/https://doi.org/10.1016/j.techsoc.2024.102483
Cloitre, A., Dos Santos Paulino, V., & Theodoraki, C. (2023). The quadruple/quintuple helix model in entrepreneurial ecosystems: an institutional perspective on the space case study. R&D Management, 53(4), 675–694. https://doi.org/10.1111/radm.12547
Fidanoski, F., Simeonovski, K., Kaftandzieva, T., Ranga, M., Dana, L.-P., Davidovic, M., Ziolo, M., & Sergi, B. S. (2022). The triple helix in developed countries: when knowledge meets innovation? Heliyon, 8(8). https://doi.org/10.1016/j.heliyon.2022.e10168
Iskamto, D., Tresnamurti, G., & Indrajaya, D. (2024). The Influence of The Entrepreneurial Environment And Government Support on The Performance of MSMEs in Bandung. International Journal of Entrepreneurship and Business Management, 3(1), 12–22. https://doi.org/10.54099/ijebm.v3i1.969
Jeppesen, S. (2005). Enhancing competitiveness and securing equitable development: Can small, micro, and medium-sized enterprises (SMEs) do the trick? Development in Practice, 15(3–4), 463–474. https://doi.org/10.1080/09614520500076100
Khizar, H. M. U., Iqbal, J., Khalid, J., & Hameed, Z. (2023). Unlocking the complementary effects of multiple strategic orientations on firm performance: an interplay of entrepreneurial, sustainability and market orientation. Kybernetes, 53(6), 1939–1957. https://doi.org/10.1108/K-03-2022-0319
Kusendang, A., Mulyana, A., & Febrian, F. (2023). The Influence of Digital Marketing and Product Innovation Product Innovation on Competitive Advantage And its Implications on Performance Marketing (A Survey of Smes Assisted by The Department of Trade and Industry of Bandung City). Greenation International Journal of Law and Social Sciences, 1(4), 173–180. https://doi.org/10.38035/gijlss.v1i4.245
Maswin, M., & Sudrajad, O. Y. (2023). Analysis of financial indicator literacy determinants on the performance of Bandung City SMEs. International Journal of Current Science Research and Review, 6(06), 3792–3804. https://doi.org/10.47191/ijcsrr/V6-i6-68
Morisson, B., & Fikri, A. A. H. S. (2025). Digitalisasi UMKM sebagai strategi meningkatkan daya saing di era ekonomi digital. E-BISNIS: Jurnal Ilmiah Ekonomi dan Bisnis, 18(1), 289–299. https://doi.org/10.51903/e-bisnis.v18i1.2215
Murillo-Luna, J. L., & Hernández-Trasobares, A. (2023). Cooperation with the Triple Helix and corporate environmental innovation. Journal of Cleaner Production, 384, 135479. https://doi.org/https://doi.org/10.1016/j.jclepro.2022.135479
Mushtaq, R., Gull, A. A., & Usman, M. (2022). ICT adoption, innovation, and SMEs’ access to finance. Telecommunications Policy, 46(3), 102275. https://doi.org/https://doi.org/10.1016/j.telpol.2021.102275
OECD. (2021). The digital transformation of SMEs. OECD Publishing. https://doi.org/10.1787/bdb9256a-en
OECD. (2023). OECD SME and entrepreneurship outlook 2023. OECD Publishing. https://doi.org/10.1787/6b5a6cd3-en
Pardo-del-Val, M., Cerver-Romero, E., Martinez-Perez, J. F., & Mohedano-Suanes, A. (2025). From Startup to Scaleup: Public Policies for Emerging Entrepreneurial Ecosystems. Journal of the Knowledge Economy, 16(2), 7874–7907. https://doi.org/10.1007/s13132-024-02175-6
Prasannath, V., Adhikari, R. P., Gronum, S., & Miles, M. P. (2024). Impact of government support policies on entrepreneurial orientation and SME performance. International Entrepreneurship and Management Journal, 20(3), 1533–1595. https://doi.org/10.1007/s11365-024-00993-3
Purnamasari, M., & Wahyutari, S. (2025). Analysis Of The Role Of The Department of Indonesia and Indonesia in Sme Development In Boyolali Regency. Jurnal Ekonomi, Manajemen, Akuntansi, Bisnis Digital, Ekonomi Kreatif, Entrepreneur (JEBDEKER), 6(1), 154–166. https://doi.org/10.56456/jebdeker.v6i1.901
Rehman, F. U., Gyamfi, S., Rasool, S. F., Akbar, F., Hussain, K., & Prokop, V. (2023). The nexus between circular economy innovation, market competitiveness, and triple bottom lines efficiencies among SMEs: evidence from emerging economies. Environmental Science and Pollution Research, 30(58), 122274–122292. https://doi.org/10.1007/s11356-023-30956-0
Sagala, G. H., & Őri, D. (2024). Toward SMEs digital transformation success: a systematic literature review. Information Systems and E-Business Management, 22(4), 667–719. https://doi.org/10.1007/s10257-024-00682-2
Shkarupeta, E., & Babkin, A. (2024). Eco-innovative development of industrial ecosystems based on the quintuple helix. International Journal of Innovation Studies, 8(3), 273–286. https://doi.org/https://doi.org/10.1016/j.ijis.2024.04.002
Sugar, K., Wade, F., & Webb, J. (2024). Local authority engagement with small and medium‐sized enterprises in energy efficiency: Governance approaches used in the Energy Efficient Scotland Programme. Environmental Policy and Governance, 34(6), 709–723. https://doi.org/10.1002/eet.2119
Thawesaengskulthai, N., Chatmarathong, A., & Koiwanit, J. (2024). Impact and policy supporting Thailand innovation driven enterprise: orchestrating university innovation and entrepreneurship ecosystem with public and private stakeholders. Journal of Innovation and Entrepreneurship, 13(1), 16. https://doi.org/10.1186/s13731-024-00371-x
Umam, H. S., & Mafruhat, A. Y. (2022). Strategi Optimalisasi Smart Economy Dalam Peningkatan Daya Saing UMKM Di Kota Bandung. Nuansa Akademik: Jurnal Pembangunan Masyarakat, 7(2), 355–368. https://doi.org/10.47200/jnajpm.v7i2.1317
van Bueren, B. J. A., Argus, K., Iyer-Raniga, U., & Leenders, M. A. A. M. (2023). The circular economy operating and stakeholder model “eco-5HM” to avoid circular fallacies that prevent sustainability. Journal of Cleaner Production, 391, 136096. https://doi.org/https://doi.org/10.1016/j.jclepro.2023.136096
van Bueren, B. J. A., Leenders, M. A. A. M., Argus, K., Lim, W. M., Iyer-Raniga, U., & Sabani, A. (2025). Integrating sustainability into helix models for eco-innovation: The eco-5HM. Technovation, 143, 103211. https://doi.org/https://doi.org/10.1016/j.technovation.2025.103211
Vega-Pascual, M., di Pietro, F., Palacín-Sánchez, M.-J., & Alfalla-Luque, R. (2025). Linking financial ecosystem and the growth of young SMEs: evidence from Spanish regions. Review of Managerial Science, 19(6), 1859–1888. https://doi.org/10.1007/s11846-024-00815-4
Wang, H., Zhao, T., Cooper, S. Y., Wang, S., Harrison, R. T., & Yang, Z. (2023). Effective policy mixes in entrepreneurial ecosystems: a configurational analysis in China. Small Business Economics, 60(4), 1509–1542. https://doi.org/10.1007/s11187-022-00658-x
World Bank. (2022). Small and medium enterprises (SMEs) finance. World Bank.
Wube, M. C., & Atwal, H. (2023). The entrepreneurial ecosystem and the performance of micro and small enterprises (MSEs) in Amhara region, Ethiopia: the political–legal perspective. Journal of Innovation and Entrepreneurship, 12(1), 62. https://doi.org/10.1186/s13731-023-00334-8
Zemtsov, S., Barinova, V., Semenova, R., & Mikhailov, A. (2022). Entrepreneurship Policy and SME Development during Pandemic Crisis in Russia. Regional Research of Russia, 12(3), 321–334. https://doi.org/10.1134/S2079970522700071