Tiur Roida Simbolon


The purpose of this study is to determine whether the creative economy is able to increase the competitiveness of the local economy. The economy has entered a new phase which the source of competitive advantage has changed. Source of the latest competitive advantage is innovation and creativity. Competitive advantage based on innovation and creativity should be preferred because it has the durability and longer term. The phenomenon of low interest and motivation for entrepreneurship Indonesian youth today is a serious concern for many parties, including government, education, industry, and society. SMEs problems related to the productivity, among others a lack of protection of copyright on innovation and creativity. Small and Medium Enterprises (SMEs) as part of the economy also should improve their competitiveness by innovation. Creativity and innovation are closely linked with efforts to seize opportunities in an increasingly competitive world, so that creativity and innovation is a critical success factor in improving the competitiveness of the economy. Thus the creative economy felt able to improve the competitiveness of local economies surrounding communities armed with the knowledge, creativity, innovation can even develop jobs. Furthermore, this paper is expected to enhance the economic competitiveness of the creative for creativity and art creators a higher level.

Keywords : Creative Economy, Local Economic, UMKM


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