BIC

GOVERNMENT RESPONSE TOWARD ONLINE BUSINESS

           Sumber Gambar: techinasia.com

              By supporting online business, government bring a great contribution to increase the economic growth. Online business is becoming an opportunity for the small businesses to increase their sales and make them easier to promote their product to the world. Online business can be done anywhere and it only cost a little, you only need to have a gadget and internet connections. Through this not only surrounding people that can see our products but the world can take a look the products specification and photos. Then if they want to buy it they will contact the online store and do the payments by indirect payment method, such as credit card, internet banking or through ATM.

            Online business enlarge the opportunity for a company to go global, which means it will increase the borderless trade. The government should be open up to the competition with foreign market because it is good to have more competitors so there will be no monopoly activities and domestic market can be more developed with the better good and services to gain competitive advantages.

            Many things can be done by the government to support online business in Indonesia. Government should expands electronic government operations, for example e-ktp, e-passport and many more. Indeed, the government holds the central role to review digital technology implementation that can make the society use gadget as their habit. When the Government already aware and always using digital technology tools then society will have a better knowledge toward online transactions and they will not afraid to do it. As stated in bisniskeuangan.kompas.com, government plans to require businesses that conduct commercial transactions over electronic systems or online-based to create an identification numbers before opening their business in order to protect consumers and businesses themselves.

            Second, government should improve the internet quality. Although there has been increasing internet speeds and coverage than in previous years, but it is considered not sufficient to reach all levels of Indonesian society. Internet speed is still relatively slow compare to e-commerce ideal. Because the future of business in online sector is depends on how strong the internet access speed and the basic capital in the development of online business. Government should apply a flexible regulation in this activity so many investor will be interested in creating online business. In a long-term effect, unemployment rate will be decrease and Indonesia’s GDP will increase, which will lead to a higher life standard.

Sumber Penulisan/Daftar Pustaka : Kit, T. S. (2016). Indonesia to open up more sectors to foreign investment: President Widodo. Retrieved May 03, 2016, from Indonesia to open up more sectors to foreign investment: President Widodo. http://www.channelnewsasia.com/news/business/indonesia-to-open-up-more/2503128.html

Bernice