Digitalization in Indonesian Cooperatives: Is It Necessary?

Digitalization has already penetrated all sectors of life and dominates business models. This study evaluates the extent to which small businesses should adopt digitalization. We focus on the cooperative's business model currently fighting with another fast-growing and popular business model, t...

Full description

Bibliographic Details
Main Authors: Achmad Nurdany, Anniza Citra Prajasari
Format: Article
Language:English
Published: Departemen Ilmu Ekonomi Fakultas Ekonomi dan Bisnis Universitas Airlangga 2020-12-01
Series:JDE (Journal of Developing Economies)
Online Access:https://e-journal.unair.ac.id/JDE/article/view/19447
_version_ 1811230729421455360
author Achmad Nurdany
Anniza Citra Prajasari
author_facet Achmad Nurdany
Anniza Citra Prajasari
author_sort Achmad Nurdany
collection DOAJ
description Digitalization has already penetrated all sectors of life and dominates business models. This study evaluates the extent to which small businesses should adopt digitalization. We focus on the cooperative's business model currently fighting with another fast-growing and popular business model, the start-up. Then, we used direct field research, including descriptive analysis and in-depth interviews with cooperatives in the Yogyakarta Special Region, Indonesia. We found that that the use of digital media by cooperatives in our study was minimal. From in-depth interviews, we found that some non-digital cooperatives insist on not using digitalization due to the lack of digital media penetration of their targeted customers and a preference for word-of-mouth marketing. One practical implication of this study is that digitalization depends somewhat on the addressed customer market model. Keywords: Digitalization, Cooperatives, Word of Mouth JEL: D22, G23, O14
first_indexed 2024-04-12T10:32:56Z
format Article
id doaj.art-a602d1bf90ea44bb83cc1ccf6826fa61
institution Directory Open Access Journal
issn 2541-1012
2528-2018
language English
last_indexed 2024-04-12T10:32:56Z
publishDate 2020-12-01
publisher Departemen Ilmu Ekonomi Fakultas Ekonomi dan Bisnis Universitas Airlangga
record_format Article
series JDE (Journal of Developing Economies)
spelling doaj.art-a602d1bf90ea44bb83cc1ccf6826fa612022-12-22T03:36:48ZengDepartemen Ilmu Ekonomi Fakultas Ekonomi dan Bisnis Universitas AirlanggaJDE (Journal of Developing Economies)2541-10122528-20182020-12-015212013110.20473/jde.v5i2.1944715875Digitalization in Indonesian Cooperatives: Is It Necessary?Achmad Nurdany0https://orcid.org/0000-0001-7018-1589Anniza Citra Prajasari1Universitas Islam Negeri Sunan Kalijaga YogyakartaUniversitas Islam Negeri Sunan Kalijaga YogyakartaDigitalization has already penetrated all sectors of life and dominates business models. This study evaluates the extent to which small businesses should adopt digitalization. We focus on the cooperative's business model currently fighting with another fast-growing and popular business model, the start-up. Then, we used direct field research, including descriptive analysis and in-depth interviews with cooperatives in the Yogyakarta Special Region, Indonesia. We found that that the use of digital media by cooperatives in our study was minimal. From in-depth interviews, we found that some non-digital cooperatives insist on not using digitalization due to the lack of digital media penetration of their targeted customers and a preference for word-of-mouth marketing. One practical implication of this study is that digitalization depends somewhat on the addressed customer market model. Keywords: Digitalization, Cooperatives, Word of Mouth JEL: D22, G23, O14https://e-journal.unair.ac.id/JDE/article/view/19447
spellingShingle Achmad Nurdany
Anniza Citra Prajasari
Digitalization in Indonesian Cooperatives: Is It Necessary?
JDE (Journal of Developing Economies)
title Digitalization in Indonesian Cooperatives: Is It Necessary?
title_full Digitalization in Indonesian Cooperatives: Is It Necessary?
title_fullStr Digitalization in Indonesian Cooperatives: Is It Necessary?
title_full_unstemmed Digitalization in Indonesian Cooperatives: Is It Necessary?
title_short Digitalization in Indonesian Cooperatives: Is It Necessary?
title_sort digitalization in indonesian cooperatives is it necessary
url https://e-journal.unair.ac.id/JDE/article/view/19447
work_keys_str_mv AT achmadnurdany digitalizationinindonesiancooperativesisitnecessary
AT annizacitraprajasari digitalizationinindonesiancooperativesisitnecessary