KnE Social Sciences

ISSN: 2518-668X

The latest conference proceedings on humanities, arts and social sciences.

Perception of SMEs in East Java on Digitalization Transformation in Business

Published date: Jul 31 2024

Journal Title: KnE Social Sciences

Issue title: The 3rd International Conference on Business, Economics, and Sustainability Science (BESS 2023)

Pages: 1–19

DOI: 10.18502/kss.v9i21.16653

Authors:

Vika Annisa Qurratavika.annisa.fe@um.ac.idDepartment of Economic Development, Faculty of Economic and Business, Universitas Negeri Malang

Budi Eko SoetjiptoDepartment of Management, Faculty of Economic and Business, Universitas Negeri Malang

Dwi Nikmah PuspitasariDepartment of Psychology, Faculty of Psychology, Universitas Negeri Malang

Ermita YusidaDepartment of Economic Development, Faculty of Economic and Business, Universitas Negeri Malang

Jumadil SaputraDepartment of Economics, Faculty of Business, Economics and Social Development, Universiti Malaysia Trengganu

Abstract:

The COVID-19 pandemic has forced SMEs to be able to innovate and transform their businesses into business digitization. It certainly changes the traditional way of selling with an online system. This study aims to analyze the perception of SMEs toward digitalization in business, marketing strategies, and SMEs interest in digital marketing. This research method used is the descriptive quantitative method. Data collection was done using a Google survey. The study results showed that SMEs’ perception toward business digitization was excellent, as its easier for the sellers and buyers to make transactions without meeting. Business digitization can increase revenue turnover, have clearer operating hours, and make it easier to recap sales results. However, SMEs are still in the transition stage to online marketing. Some who have digitized their business prefer ads on free social media. Some still use the traditional method of distributing posters and pamphlets. The interest of SME actors is very high, but it is not followed by effective practice.

Keywords: business, digitalization transformation, perception, small medium enterprise

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