Top 10 Provinces with the Highest Business Competition in 2023

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Adi Ahdiat 13/06/2024 10:05 WIB

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According to KPPU data, DKI Jakarta had the highest national business competition index in 2023.

Top 10 Provinces in Indonesia with the Highest Business Competitiveness Index (2023)

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Top 10 Provinces with the Highest Business Competition in 2023

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Top 10 Provinces in Indonesia with the Highest Business Competitiveness Index (2023)

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Healthy business competition can spur businesses to innovate and produce affordable products.

According to a report by the Business Competition Supervisory Commission (KPPU), the province with the highest level of business competition currently is DKI Jakarta.

KPPU, together with the Center for Economics and Development Studies, Padjadjaran University (CEDS Unpad), measured the business competition index across all Indonesian provinces through a survey of various stakeholders.

Respondents included provincial-level representatives from the Department of Industry/Trade, the Indonesian Chamber of Commerce and Industry (Kadin), Bank Indonesia offices, and local academics.

The dimensions surveyed included industry structure, behavior, and performance; supply and demand factors; and regulations and institutions related to business competition.

The survey results were then analyzed and formulated into a score on a scale of 1-7. A score of 1 indicates a very low level of competition, while a score of 7 indicates very high competition.

Based on this method, in 2023 DKI Jakarta achieved a business competition index score of 5.71, the highest among other provinces.

"All respondents stated that there are no regulations that burden business competition in DKI Jakarta Province, and all respondents stated that using digital shopping platforms can increase business competition," said the CEDS Unpad team in their report.

Other provinces with high national business competition include Central Java, Yogyakarta Special Region, Southeast Sulawesi, North Sumatra, East Java, West Java, South Sumatra, North Sulawesi, and West Sumatra.

According to CEDS Unpad, regions or sectors with high business competition generally have a competitive market structure, with a large number of businesses, relatively low barriers to entry into the industry/market, relatively low market concentration, and many product variants.

Editor : Adi Ahdiat

"Disclosure: This is an AI-generated translation of the original article. We strive for accuracy, but please note that automated translations may contain errors or slight inconsistencies."

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Top 10 Provinces with the Highest Business Competition in 2023

Top 10 Provinces with the Highest Business Competition in 2023

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Top 10 Provinces with the Highest Business Competition in 2023

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