Digital Innovation And The Blue Economy: Enhancing The Competitiveness Of Coastal Micro, Small, And Medium Enterprises
DOI:
https://doi.org/10.65254/ijese.v3i5.93Keywords:
Digital Innovation, Blue Economy, Coastal MSMEs, Competitiveness, Digital Transformation, SustainabilityAbstract
Purpose: This article aims to examine the role of digital innovation in enhancing the competitiveness of coastal Micro, Small, and Medium Enterprises (MSMEs) within the framework of the blue economy. Coastal MSMEs play an important role in generating employment, supporting local livelihoods, and utilizing marine and coastal resources. However, these enterprises frequently face challenges related to limited market access, low technological capabilities, inadequate infrastructure, environmental pressures, and intense competition.
Design/methodology/approach: This study employs a qualitative literature-based approach to examine the relationship between digital innovation, MSME competitiveness, and blue economy development. The analysis is based on relevant academic literature, policy reports, and recent studies concerning digital transformation, innovation, MSMEs, sustainability, and the blue economy. The analytical framework focuses on digital marketing, digital platforms, process innovation, data utilization, digital capabilities, and sustainable business practices.
Findings: The literature indicates that digital innovation can strengthen coastal MSME competitiveness through broader market access, improved operational efficiency, enhanced customer engagement, product innovation, and stronger business networks. Digital technologies can also support blue economy objectives by improving resource efficiency, traceability, waste reduction, and environmentally responsible production. However, digital adoption is constrained by digital literacy, financial limitations, technological infrastructure, cybersecurity concerns, and unequal access to digital ecosystems.
Research limitations/implications: This article is based on secondary literature and does not provide primary empirical evidence from specific coastal MSMEs. Future studies should employ quantitative, qualitative, or mixed-method approaches involving coastal entrepreneurs across different regions.
Originality/value: This article contributes to the discussion by integrating digital innovation and blue economy perspectives into the competitiveness of coastal MSMEs. Rather than viewing digitalization solely as a technological process, the article positions digital innovation as a strategic capability that can simultaneously generate economic value, strengthen social inclusion, and support environmental sustainability.
Downloads
References
Akbar, T., & Amir, H. (2024). The role of innovation in enhancing MSME competitiveness in the digital era: A case study of MSMEs in Indonesia. Journal of Business Administration and Entrepreneurship Innovation, 1(1). https://doi.org/10.32722/baei.v1i01.7323
Arfah, A. (2026). Conceptual Design of a Maritime Startup Incubation Center: An Innovative Initiative to Promote the Blue Economy in Indonesia’s Coastal Region. IOP Conference Series: Earth and Environmental Science, 1585(1), 12049.
Arifin, S., Yudhotomo, I., Sam, T. H., & Jannah, M. (2026). Blue Economy Implementation As A Strategy For Sustainable Coastal Economic Development. International Journal of Economics, Science, and Education, 3(3), 127–135.
Arzakiyah, M. M., Yuliandari, P., Nasution, F. B., Hadibrata, M., & Sofia, M. (n.d.). Transformation toward a Smart Maritime Economy: An Analysis of Entrepreneurial Strategies in Supporting Digital Trade in Bintan.
Bank, W. (2021). A sustainable ocean economy is key to Indonesia’s prosperity. World Bank.
Bank, W. (2022). The World Bank’s Blue Economy Program and PROBLUE: Supporting integrated and sustainable economic development in a healthy ocean. World Bank.
Barney, J. (1991). Firm resources and sustained competitive advantage. Journal of Management, 17(1), 99–120.
Bharadwaj, A., El Sawy, O. A., Pavlou, P. A., & Venkatraman, N. (2013). Digital business strategy: Toward a next generation of insights. MIS Quarterly, 37(2), 471–482. https://doi.org/10.25300/MISQ/2013/37:2.3
Blue economy implementation and sustainability in coastal MSMEs. (2026). Marine Economics and Management. https://doi.org/10.1108/MAEM-03-2026-0003
Firdaus, F., Yacob, S., Octavia, A., & Indrawijaya, S. (2026). Digital Transformation and the Performance of Coastal MSMEs in Blue Economy Perspective: Systematic Literature Review. Inovbiz: Jurnal Inovasi Bisnis, 14(1), 137–147.
Fitrianti, R., Fatmawati, F., & Zaenal, M. (2026). The Blue Economy in Indonesia: Analyzing Digital Literacy and Economic Resilience Among Fisheries MSMEs in Gowa Regency, South Sulawesi. Egyptian Journal of Aquatic Biology and Fisheries, 30(1), 2399–2417.
Handoko, L., Sihombing, S. O., & Layman, C. V. (2022). Promoting blue economy: factor identification and model development for micro small & medium enterprises (msme) in bitung, north sulawesi: a research proposal. 57–61.
Mappatunru, M. M., Rusli, A. M., & Syamsu, S. (2026). Digitalization and sustainability synergies: Empowering coastal SMEs in the blue economy era. KOMPLEKSITAS: Jurnal Ilmiah Manajemen, Organisasi Dan Bisnis, 15(1).
OECD. (2024). The blue economy in cities and regions: A territorial approach. OECD Publishing.
Perdana, T. A., Purusa, N. A., Kurniawan, R., & Suryawijaya, T. W. E. (2025). E-Blue: Implementation Of An Integrated Blue Economy Ecosystem To Increase Coastal Msmes Competitiveness. Journal of Indonesian Economy & Business, 40(2), 256.
Pratama, D. P. A., & Farida, N. (2025). Unveiling the Interplay of Triple Bottom Line and Blue Economy in Empowering Coastal MSMEs of East Java towards Sustainable Export Capacity (SDGs). JPEKA: Jurnal Pendidikan Ekonomi, Manajemen Dan Keuangan, 9(2), 145–162.
Rifa’i, A. (2026). Governance Model for Blue Economy Policy Implementation Developing Marine MSMEs Based on Processed Fishery Products to Foster Self-Reliance Among the Coastal Community of Karangantu, Serang Regency. CARONG: Jurnal Pendidikan, Sosial Dan Humaniora, 3(3), 410–420.
Verhoef, P. C., Broekhuizen, T., Bart, Y., Bhattacharya, A., Dong, J. Q., Fabian, N., & Haenlein, M. (2021). Digital transformation: A multidisciplinary reflection and research agenda. Journal of Business Research, 122, 889–901. https://doi.org/10.1016/j.jbusres.2019.09.022
Yudistia, T. T., Hasrullah, H., Yahya, M., & Rahmadiansyah, A. (2025). Strategic Integration of Creative and Blue Economies through Digital Media: A Case Study of PT Digipedia Karya Pratama in Indonesia’s Maritime Region. CHANNEL: Jurnal Komunikasi, 13(1), 100–112.
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2026 abdul Tholib Bon, Syamsul Arifin, Miftahul Jannah S
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.
