OPTIMALISASI PERAN LEMBAGA INTERMEDIASI DALAM MEMBANGUN KEUNGGULAN BERSAING UMKM DI ERA PERDAGANGAN BEBAS DAN OTONOMI DAERAH

Abstract

This paper is trying to illustrate the role of Intermediary Organisations as initiators and
facilitators to overcome challenges and barriers to SMEs in the era of regional autonomy and
free trade. Small and medium sized enterprises (SMEs) are a key engine of growth for
Indonesia’s economy. Related with the globalization of economy and the liberalization of
trade, Government must be seriously support the capacity building in local SMEs.
Despite the important role of SMEs in economy, the inherent characteristics of SMEs can be
advantages or obstacles. Various programs strengthening the competitiveness of SMEs that
have been implemented by the Government has not been applied effectively. One major cause
is the lack of information channels between the Government and SMEs. Intermediation
Organisations, as initiators and facilitators has a strategic role in improving the
competitiveness of SMEs.