IDEAS home Printed from https://ideas.repec.org/a/tec/journl/v31y2022i1p22-43.html
   My bibliography  Save this article

Designing Strategies to Improve the Competitiveness of Special Economic Zones

Author

Listed:
  • Achmad Fauzi

    (Faculty of Administrative Science, Universitas Indonesia, Indonesia)

  • Martani Huseini

    (Faculty of Administrative Science, Universitas Indonesia, Indonesia)

  • Amy Yayuk Sri Rahayu

    (Faculty of Administrative Science, Universitas Indonesia, Indonesia)

Abstract

The development of Special Economic Zones (SEZs) is a way for many countries to increase their economic growth and competitiveness. Indonesia has been one of the countries that has developed the SEZ model since 2009, although long before the economic zone model in other forms had been implemented. SEZ's main activities currently cover the processing and tourism industries. However, the development of SEZs in Indonesia has not been entirely able to become a driving force for the economy to increase economic growth and regional and national competitiveness. This study aims to identify the determinants and design strategies that can improve the competitiveness of SEZs in Indonesia. The qualitative multiple-case study method was applied to answer the research problem. Focus Group Discussions, Group Interviews, in-depth interviews, and document studies were carried out to obtain data, then processed by compiling them into open coding, axial coding, and selective coding, and then identification, looking at the patterns formed and interpretation of the existing data using techniques cross-case synthesis analysis. There are six determinant factors in research findings: innovation, collaboration, human resources, governance, location, and incentives. Furthermore, these six factors become the basis for designing strategies to improve the competitiveness of SEZs in Indonesia.

Suggested Citation

  • Achmad Fauzi & Martani Huseini & Amy Yayuk Sri Rahayu, 2022. "Designing Strategies to Improve the Competitiveness of Special Economic Zones," Technium Social Sciences Journal, Technium Science, vol. 31(1), pages 22-43, May.
    • Handle: RePEc:tec:journl:v:31:y:2022:i:1:p:22-43
    DOI: 10.47577/tssj.v31i1.6358
    as

    Download full text from publisher

    File URL: https://techniumscience.com/index.php/socialsciences/article/view/6358
    Download Restriction: no
    File URL: https://techniumscience.com/index.php/socialsciences/article/view/6358/2272
    Download Restriction: no
    File URL: https://libkey.io/10.47577/tssj.v31i1.6358?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Nur Mohd Zawawi & Sazali Abd Wahab & Abdullah Al-Mamun & Abu Sofian Yaacob & Naresh Kumar AL Samy & Syed Ali Fazal, 2016. "Defining the Concept of Innovation and Firm Innovativeness: A Critical Analysis from Resorce-Based View Perspective," International Journal of Business and Management, Canadian Center of Science and Education, vol. 11(6), pages 1-87, May.
    2. Douglas Zhihua Zeng, 2010. "Building Engines for Growth and Competitiveness in China : Experience with Special Economic Zones and Industrial Clusters," World Bank Publications - Books, The World Bank Group, number 2501.
    3. Arifah Hidayati, 2020. "Performance and Competitiveness of Private Universities in Bengkulu Province," Technium Social Sciences Journal, Technium Science, vol. 3(1), pages 26-36, February.
    4. Saira Naeem & Abdul Waheed & Muhammad Naeem Khan, 2020. "Drivers and Barriers for Successful Special Economic Zones (SEZs): Case of SEZs under China Pakistan Economic Corridor," Sustainability, MDPI, vol. 12(11), pages 1-18, June.
    5. Richard Chauke & Thobeka Ncanywa, 2021. "Infrastructure development and economic complexity in South Africa. Running title: Can infrastructure development influence economic complexity?," Technium Social Sciences Journal, Technium Science, vol. 26(1), pages 488-501, Decembrie.
    6. Aggarwal, Aradhna, 2010. "Economic impacts of SEZs: Theoretical approaches and analysis of newly notified SEZs in India," MPRA Paper 20902, University Library of Munich, Germany.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Tritto, Angela & Camba, A., 2022. "State-facilitated Industrial Parks in the Belt and Road Initiative: Towards a framework for understanding the localization of the Chinese development model," World Development Perspectives, Elsevier, vol. 28(C).
    2. Kopczewska Katarzyna, 2019. "Can public intervention improve local public sector economic performance? The analysis of Special Economic Zones in Poland," Central European Economic Journal, Sciendo, vol. 6(53), pages 221-245, January.
    3. Pietrobelli, Carlo, 2019. "Modern industrial policy in Latin America: Lessons from cluster development policies," MERIT Working Papers 2019-031, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    4. Lord, Montague, 2012. "Evaluation of Support to Lao PDR’s Special Economic Zones (SEZs)," MPRA Paper 61053, University Library of Munich, Germany.
    5. Hassan Sallahuddin, 2018. "Fdi Oriented Exports And Role Of Free Industrial Zones In Malaysia," Post-Print hal-03455842, HAL.
    6. Anthony Harris & Anthony D'Agostino & Sara Litke-Farzaneh & Beryl Seiler & Matt Sloan, "undated". "Morocco Land Productivity Project: Evaluation Design Report," Mathematica Policy Research Reports f3fc788501b64608b17e1cb23, Mathematica Policy Research.
    7. Lu, Ren & Ruan, Min & Reve, Torger, 2016. "Cluster and co-located cluster effects: An empirical study of six Chinese city regions," Research Policy, Elsevier, vol. 45(10), pages 1984-1995.
    8. Khuong Minh Vu, 2013. "The Dynamics of Economic Growth," Books, Edward Elgar Publishing, number 14689.
    9. Virginia Trigo & Qin Lang, 2014. "China: emergence of an entrepreneurial economy in an uncertain environment," Chapters, in: Jerome S. Engel (ed.), Global Clusters of Innovation, chapter 10, pages 247-268, Edward Elgar Publishing.
    10. Florian Butollo, 2015. "Growing against the odds: government agency and strategic recoupling as sources of competitiveness in the garment industry of the Pearl River Delta," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 8(3), pages 521-536.
    11. Shenggen Fan & Ravi Kanbur & Shang-Jin Wei & Xiaobo Zhang, 2013. "The Economics of China: Successes and Challenges," NBER Working Papers 19648, National Bureau of Economic Research, Inc.
    12. Richard Adu-Gyamfi & Simplice A. Asongu & Tinaye S. Mmusi & Herbert Wamalwa & Madei Mangori, 2020. "A comparative study of export processing zones in the wake of sustainable development goals: Cases of Botswana, Kenya, Tanzania and Zimbabwe," Research Africa Network Working Papers 20/025, Research Africa Network (RAN).
    13. Khan, Karim, 2019. "Special Economic Zones (SEZs) and Prospects for the Domestic Economy of Pakistan," MPRA Paper 103337, University Library of Munich, Germany.
    14. Douglas Zhihua Zeng, 2021. "The Dos and Don’ts of Special Economic Zones," World Bank Publications - Reports 36663, The World Bank Group.
    15. Solomon Tsehay Feleke & Alemnesh Gebreselassie & Zerayehu Eshete & Asmayit Tekeste & Lulit Mitik Beyene, 2019. "Resource Allocation across Industrial Sectors, Growth, Poverty, and Income Inequality in Ethiopia: A Macro-Micro Approach," Working Papers MPIA 2019-16, PEP-MPIA.
    16. Simon Alder & Lin Shao & Fabrizio Zilibotti, 2016. "Economic reforms and industrial policy in a panel of Chinese cities," Journal of Economic Growth, Springer, vol. 21(4), pages 305-349, December.
    17. Giorgio Prodi & Francesco Nicolli & Federico Frattini, 2020. "Embeddedness and local patterns of innovation: evidence from Chinese prefectural cities," Economic Complexity and Evolution, in: Andreas Pyka & Keun Lee (ed.), Innovation, Catch-up and Sustainable Development, pages 283-307, Springer.
    18. Jiabo Xu & Xingping Wang, 2020. "Reversing Uncontrolled and Unprofitable Urban Expansion in Africa through Special Economic Zones: An Evaluation of Ethiopian and Zambian Cases," Sustainability, MDPI, vol. 12(21), pages 1-20, November.
    19. Barbieri, Elisa & Di Tommaso, Marco R. & Pollio, Chiara & Rubini, Lauretta, 2020. "Getting the specialization right. Industrialization in Southern China in a sustainable development perspective," World Development, Elsevier, vol. 126(C).
    20. Liashenko Viacheslav & Pidorycheva Iryna & Mytsenko Ivan & Chebotarova Nataliia, 2021. "The modern concept of special economic zones in Ukraine," Bulletin of Geography. Socio-economic Series, Sciendo, vol. 52(52), pages 85-94, June.

    More about this item

    Keywords

    Special Economic Zones; Competitiveness; Strategy; Determinant Factors; Multiple-Case Study;
    All these keywords.

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:tec:journl:v:31:y:2022:i:1:p:22-43. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Tasente Tanase The email address of this maintainer does not seem to be valid anymore. Please ask Tasente Tanase to update the entry or send us the correct address (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.