Analysis of Creative Industries Development in Indonesia

Abstract

This study aims to identify the relative strengths of the creative industry subsector in Indonesia and analyze the determinants that affect the GDP of the creative industry sector in Indonesia. The analysis period from 2010 to 2016 used Klassen's typological analysis and panel data regression. The data used in this study from 2010 to 2016 (time series) and 16 sub-sectors of the creative industry sector. Based on typology Klassen creative industry sub-sector craft, fashion and culinary is a sub-sector that has a relative advantage over other subsectors, thus contributing more to the GDP of the creative industry. The panel data regression results show that the variable of the creative industry workforce, creative industry employee wages, and patents were able to increase the GDP of the creative industry. The vocational creative industry sector which is a proxy for education and creative industry sector policies can make the GDP value of Indonesia's creative industries in the future be higher. Some industrial sub-sectors such as photography, publishing, architecture, advertising, interior design, and fine arts need government support to catch up with other subsectors to make a better contribution to the GDP of creative industries. the promotion of patents and policies for small businesses must be improved, especially administrative and technical requirements to make it easier.

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