1st Edition

Development of Small-scale Industries During the New Order Government in Indonesia

By Tulus Tahi Hamonangan Tambunan Copyright 2000

    This title was first published in 2000:  As in many other LDCs, in Indonesia small-scale industries (SSIs) are important, particularly with respect to the creation of employment opportunities. SSIs are expected to absorb many millions of workers who have been displaced by current economic crisis. This work seeks to explain the pattern of development of SSIs in Indonesia within a broader theoretical framework. It also deals with a number of SSI development-related aspects that in Indonesia so far have never or rarely been studied, such as the formation of strategic alliance, cluster development, and application of theories of flexible specialization to the LDCs. The book also tries to examine empirically the effects of the current economic crisis and to assess theoretically the likely impact of the full implementation of the agreed IMF reform package on SSI development in the country. Main problems faced by small producers and the government policy environment are highlighted through several detailed examples.

    Pattern of development of small-scale industries - a survey of literature; the importance and development of SSIs in Indonesia; production linkages and development of small-scale supporting industries; strategic alliances; development of SSI cluster; the effect of the economic crisis and the likely impact of the IMF agreement on SSIs; main problems of SSIs and the role of government.