The Implementation of Crowdfunding-Based OVOB Program : An Improvement Effort of Global Competitiveness in MSME of Indonesia

Micro, Small, and Medium Enterprises (MSME) sector in Indonesia is recently developing in a rapid way. However, there are still some obstacles to widen its market and to compete in the field of business. Financial Services Authority (FSA) is legalizing crowdfunding system to be implemented in the MSME funding and start-up business in Indonesia. This study is aimed at offering one solution to deal with funding problems in MSME to efficiently increase domestic sector and to strengthen global competitiveness through crowdfunding-based One Village One Business (OVOB) application. The study applied literature review related to MSME problems and other relevant solutions. The data were collected from varied sources and were analyzed using GAP analysis. The core problems were then concluded. The results of the study show that the solution for this problem is the use of Electric-Business Crowdfunding (E-BC) application. Within the application, there are some complete-specified MSME. Investors and banking are able to access all information contented in the application because both become the funding sources. It is implied that the innovation of this application can be run by MSME or other trading institutions. By implementing the OVOB program, the problems of funding access in MSME can be covered in order to increase the domestic efficiency and to strengthen the global competitiveness