Adaptation and Innovation: Rejomulyo Fashion MSMES's Strategy in Facing Competition in the Free Trade Era

Adaptation and Innovation: Rejomulyo Fashion MSMES's Strategy in Facing Competition in the Free Trade Era

Dita Riyanto Putro

Adaptation and Innovation: Rejomulyo Fashion MSMES's Strategy in Facing Competition in the Free Trade Era

This study aims to analyze the adaptation and innovation strategies implemented by fashion MSMEs in Rejomulyo, Kediri City, in facing competition in the free trade era. With a qualitative approach and a single case study, data were collected through in-depth interviews, participant observation, and document analysis. The results of the study indicate that MSMEs adapt in the form of product diversification and customization, although they are still reactive due to limited capital and information. Product innovation is carried out by combining traditional motifs and modern designs, as well as the use of alternative raw materials. However, process and marketing innovation is still limited, and the organizational structure of MSMEs tends to be informal. The main supporting factors are entrepreneurial spirit and local communities, while the obstacles include access to information, capital, and HR skills. This study strengthens the theory of dynamic capabilities and provides practical implications for the development of MSME strategies and government policies.

2025/06/20

https://insyma.org/proceedings/files/articles/DONE_Dita Riyanto Putro.pdf

https://insyma.org/proceedings/items/show/472

MSMES, Free Trade Era, Product Innovation, Adaptation, Dynamic Capabilities, Qualitative Research, Case Study

997

1002

3047-857X

Proceedings of the International Symposium on Management (INSYMA)

22

Fakultas Bisnis dan Ekonomika, Universitas Surabaya

Dita Riyanto Putro

Bothy Dewandaru

Dika Dimas Putra

160

Dita Riyanto Putro, Bothy Dewandaru, Dika Dimas Putra