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This literature review synthesizes findings from fifteen peer‑reviewed studies published between 2020 and 2026 to examine the determinants of sustainable competitive advantage in the furniture industry. The analysis reveals that green innovation, environmental performance, and market orientation interact as core drivers of competitiveness, supported by theoretical perspectives including the Resource‑Based View, Natural Resource‑Based View, Institutional Theory, Circular Economy, and Strategic Management frameworks. The review highlights how internal capabilities, regulatory compliance, and responsiveness to consumer preferences collectively shape the ability of micro, small, and medium enterprises to adapt to sustainability demands in global markets. Evidence shows that eco‑innovation practices, waste recovery strategies, and clustering models enhance efficiency and legitimacy, while indicators of green growth and brand performance provide practical tools for evaluating sustainability outcomes. The synthesis underscores that competitive advantage in this sector is not determined by isolated variables but by systemic integration across resources, operations, and market dynamics. This study contributes theoretically by consolidating fragmented insights into a coherent conceptual model and practically by offering guidance for enterprises and policymakers to foster green transformation. The findings emphasize the urgency of aligning industrial practices with ecological integrity and suggest that future research should examine cross‑country variations, longitudinal impacts, and the integration of digital technologies with sustainability strategies to strengthen the resilience of furniture enterprises in the global economy.

The rapid growth of the global halal economy has positioned halal products and services as important contributors to international trade, economic development, and evolving consumer markets. This study investigates the role of halal consumer protection law in supporting the advancement of the halal economy from both legal and economic perspectives. Employing a qualitative approach with a juridical normative framework, this research examines regulatory structures, halal certification mechanisms, consumer protection principles, and the broader economic implications of halal governance. The findings indicate that effective halal consumer protection frameworks are essential for establishing legal certainty, preserving product authenticity, strengthening consumer trust, and improving market transparency. From an economic perspective, comprehensive halal regulations contribute to enhancing product competitiveness, expanding global market access, encouraging industrial innovation, attracting investment, and promoting sustainable economic growth. Nevertheless, this study highlights several ongoing challenges, including the lack of harmonization among international halal standards, limited regulatory enforcement capacity, the financial burden of certification processes for micro, small, and medium enterprises (MSMEs), and the increasing complexity of digital trade and cross-border e-commerce.

The internationalization of micro, small, and medium-sized enterprises (MSMEs) has become a strategic issue in addressing global economic dynamics, particularly within the framework of the Global Value Chain (GVC) in the digital age. Although Indonesian MSMEs have great potential to support the national economy, their level of involvement in the global value chain remains relatively limited. This study aims to analyze the challenges and strategies for the internationalization of Indonesian MSMEs within the GVC in the digital age. The study employs a qualitative approach using a case study design, along with thematic analysis and value chain analysis techniques. The findings indicate that MSMEs are already involved in the GVC across various stages of the value chain—from raw material processing to global distribution—yet they continue to face numerous challenges, such as technological limitations, human resource competencies, production capacity, and international distribution networks. On the other hand, digitalization has proven to be a key factor in expanding access to global markets through the use of digital platforms. An effective internationalization strategy requires the integration of product innovation based on local resources, the utilization of digital technology, and the strengthening of global business networks. This study contributes to integrating the perspectives of GVCs, digitalization, and SME internationalization strategies into a comprehensive analytical framework, and provides practical implications for SME actors and policymakers in enhancing competitiveness in the global market

The rapid advancement of artificial intelligence (AI) has significantly altered the landscape of business decision-making, particularly for Micro, Small, and Medium Enterprises (MSMEs) in Indonesia. Despite their critical role in economic growth and employment generation, MSMEs frequently encounter substantial barriers related to technological adoption, digital literacy, and resource allocation. This research systematically investigates the utilization of artificial intelligence as a responsive innovation mechanism designed to optimize decision-making processes within the MSME sector. By employing a comprehensive systematic literature review methodology, analyzing peer-reviewed publications from globally recognized academic databases between 2018 and 2024, this study delineates the multifaceted benefits, complex challenges, and contextualized adoption strategies associated with AI integration. The findings reveal that artificial intelligence holds transformative potential for enhancing operational efficiency, refining predictive analytics, and sustaining long-term competitiveness. Conversely, critical challenges, including inadequate digital infrastructure, financial constraints, and organizational resistance, remain pervasive obstacles. Consequently, the study advocates for a gradual, responsive innovation approach that aligns technological adoption with specific business needs and environmental pressures. The insights derived from this research offer substantial theoretical and practical implications, providing a strategic framework for policymakers and MSME owners to accelerate digital transformation inclusively.

Micro, Small, and Medium Enterprises (MSMEs) have a strategic role in supporting the Indonesian economy, but still face many limitations in terms of marketing and product packaging. This article presents the results of mentoring Sempol BAGONG MSMEs in Malang City who are engaged in sempol-based food products in the form of frozen food and ready-to-eat cooked products. The assistance is focused on strengthening marketing strategies, optimizing digital marketing, redesigning frozen product packaging, developing  mature product packaging, and utilizing halal certificates as added value for branding. The method used is a participatory qualitative approach through observation, in-depth interviews, and direct intervention on prioritized business aspects. The results of the assistance show an increase in MSME marketing capacity, packaging attractiveness, and digital promotion reach. In addition, halal certificates have been proven to provide added value in building consumer trust. This finding is in line with previous research that confirms that packaging innovation and the use of digital media contribute significantly to increasing the competitiveness of food MSMEs. Thus, this assistance provides practical implications for strengthening MSMEs through creative marketing strategies, packaging innovation, and sustainable use of digital technology.

This community service activity aimed to strengthen the branding and improve the digital marketing capacity of the Tape Ketan MSME in Mondoteko Village through the utilization of social media and packaging innovation. The business partner faced several major problems, including weak business visual identity, limited use of social media as a promotional tool, and simple product packaging designs that were less attractive to consumers. These conditions resulted in low product appeal and limited marketing reach. The implementation method used a participatory approach through direct assistance to business owners. The activity stages included initial observation, identification of partner needs, design of promotional banners, creation and optimization of social media accounts, and redesign of product packaging to make it more modern, informative, and marketable. In addition, MSME owners were educated about the importance of branding, digital marketing strategies, and consistency in building a business image. The results showed an increase in the understanding and skills of MSME owners in utilizing digital media for promotion. Product packaging became more attractive and professional, while the use of social media became more active and organized. These improvements had a positive impact on increasing consumer interest, expanding market reach, and enhancing the competitiveness of MSMEs in a sustainable manner.

The results of the study show that pricing strategy contributes dominantly to increasing sales, but the lack of digital promotion causes limited market reach. Micro, Small, and Medium Enterprises (MSMEs) play a crucial role in driving national economic development and providing employment. However, in facing an increasingly competitive market, MSMEs need to implement efficient marketing strategies to ensure sustainability and sustainable growth. This community service activity aims to provide knowledge and assistance to Indonesian Es Teh MSMEs regarding the implementation of flexible marketing strategies, both through digital and traditional channels. The activity took place at the Es Teh Kampung Solo outlet in Kramatwatu Square. The methods used included counseling, training, and assessment of marketing strategy implementation, with a primary focus on optimizing social media as an interactive and competitive digital promotional tool. The results of this activity demonstrated a significant increase in MSMEs' understanding of strategic marketing planning, promotional innovation, and the use of digital platforms to expand market reach. Thus, it is hoped that digital-based marketing strategies can strengthen the competitiveness and sustainability of MSMEs. This activity is expected to contribute to increasing the competitiveness and sales volume of the Kampung Solo Es Teh MSME in a sustainable manner through the implementation of a modern marketing approach that is responsive to technological changes.

This study explores the development strategies of sweet pastry Micro, Small, and Medium Enterprises (MSMEs) based on Islamic economic principles in improving the local economy in Betungan, Bengkulu City. MSMEs play a crucial role in supporting economic growth and creating employment opportunities, particularly in the culinary sector, which has experienced significant expansion in recent years. In Betungan, sweet pastry businesses have shown promising potential; however, their development is still hindered by several challenges, including limited capital, low product innovation, and less effective marketing practices. This research employs a qualitative approach with a case study method. Data were collected through observation, interviews, and documentation at Jl. Ar-Rahman, Sepakat 7, Betungan, Selebar District, Bengkulu City. The study also considers the application of Islamic business values, emphasizing ethical conduct such as honesty, fairness, accountability, and the avoidance of riba and uncertainty in transactions. The findings indicate that the sustainability and competitiveness of sweet pastry MSMEs can be enhanced through several key strategies, including continuous product innovation, improving product quality, optimizing digital marketing, and strengthening business networks. In addition, integrating Islamic principles into business operations helps build consumer trust and ensures ethical business practices. Overall, these strategies not only improve business performance but also contribute to strengthening the local economy and community welfare.

This study aims to analyze innovative strategies that can be implemented by Micro, Small, and Medium Enterprises (MSMEs) in East Java to improve competitiveness through digital marketing and e-commerce. This study uses a descriptive qualitative approach with a library research method by reviewing various scientific literature, government reports, and previous studies related to MSME innovation and digital transformation. The results of the study indicate that digital marketing and e-commerce innovation can increase market reach, operational efficiency, product differentiation, and MSME sales. However, the implementation of innovation still faces several challenges such as low digital literacy, limited capital, limited technology, and lack of system integration. Therefore, innovative strategies are needed, including integrated digital marketing, marketplace optimization, social commerce, digital payment systems, logistics integration, digital branding strengthening, and digital literacy training. In addition, collaboration between MSMEs, government, universities, communities, and digital platforms is an important factor in accelerating MSME digital transformation. This study produces recommendations for an innovative strategy model based on digital marketing and e-commerce to improve the competitiveness and sustainability of MSMEs in East Java.

Increasingly digitalised and globally integrated market competition demands that micro, small and medium-sized enterprises (MSMEs) no longer merely excel in local markets, but are also capable of building sustainable competitiveness in broader markets. Recent literature indicates that innovation, digital capabilities, and international networks are increasingly viewed as strategic determinants of MSME competitiveness, although the relationships between these variables are often examined in isolation and are not always consistent. This study aims to analyse the influence of innovation, digital capabilities, and international networks on the global competitiveness of MSMEs. The research employs an explanatory quantitative approach with a cross-sectional design. The sample consists of 200 owners or principal managers of SMEs in East Java, selected using purposive sampling. Data were collected via a structured questionnaire and analysed using Structural Equation Modelling–Partial Least Squares (SEM-PLS). The results of the analysis indicate that innovation, digital capabilities, and international networks have a positive and significant influence on the global competitiveness of SMEs. The path coefficient values indicate that digital capabilities are the strongest predictor, followed by international networks and innovation. These findings confirm that strengthening the global competitiveness of MSMEs requires an integrated strategy that links value renewal, digital transformation, and the sustainable development of external networks.

The rapid development of digital technology requires greater adaptive capacity in both the economic and educational sectors, including in rural areas. However, limited digital literacy and the continued use of conventional learning methods remain common challenges. This activity aims to enhance the competitiveness of micro, small, and medium enterprises (MSMEs) as well as the quality of primary education in Baharen Village, Sidamanik District, through the implementation of a Community Service Program (Kuliah Kerja Nyata/KKN). A descriptive qualitative approach with a participatory model was employed, actively involving MSME actors, teachers, and students throughout all stages of the program. The activities included assistance in the digitalization of the MSME Gerai Mumtazah through Google Maps registration and the implementation of the QRIS cashless payment system, as well as the application of interactive learning methods based on joyful learning at the Baharen Village State Elementary School. The results indicate an increase in students’ learning motivation and classroom participation, along with improved accessibility and transaction efficiency for the MSME partner. These findings suggest that community-based participatory service activities can make a tangible contribution to strengthening the local economy and improving the quality of education in rural areas.

Local food innovation is not only focused on product development but also requires effective communication strategies to build positive perceptions and enhance market competitiveness. This study aims to analyze the implementation of innovation communication strategies by micro, small, and medium enterprises (MSMEs) in developing papaya-based chili chips as a flagship product in Nagori Karang Anyar, Gunung Maligas District, Simalungun Regency. The research employs a descriptive qualitative approach, focusing on the product innovation process, marketing communication patterns, and efforts to build product image amid competition in the local food industry. The findings indicate that innovation communication strategies play a crucial role in creating product differentiation through narratives of unique taste, utilization of local raw materials, and promotional strategies combining traditional methods and digital media. Papaya chili chips are positioned as a product that blends distinctive local flavors with a modern touch, attracting consumer interest and increasing the added value of papaya as a local commodity. This study emphasizes that the success of local food innovation depends not only on product quality but also on the ability of MSMEs to manage adaptive and persuasive communication strategies.

This article discusses the strengthening of business management at Gerai Puan Hayati, an MSME in Central Java, through participatory mentoring. The partner faced problems including disorganised financial records, ad-hoc business planning, inconsistent branding, and limited use of digital media for promotion and market expansion. The programme was carried out through observation, interviews, focus group discussions, training, guided practice, and mentoring. The materials covered bookkeeping, cash flow management, business strategy, service enhancement, digital marketing, and mapping local cultural values as product strengths. Evaluation was conducted qualitatively by comparing the partner’s condition before and after the activities, supported by field notes and reflection. The results showed improved business administration, better understanding of cost and revenue separation, more planned use of digital media, and confidence in developing product innovation and marketing networks. This initiative also strengthened women’s participation, motivation, and awareness that local culture can serve as a sustainable competitive resource for MSMEs.

This community service was carried out at the Sebesi Island Coconut Brown Sugar Artisans Group, South Lampung Regency, which faced the problem of low product competitiveness due to the use of conventional plastic packaging that was simple, unattractive, and environmentally unfriendly. This topic was chosen because it is relevant to the issue of the plastic waste crisis and the urgency of implementing a circular economy in island regions that are vulnerable to environmental pollution. The objective of this activity was to improve the hard and soft skills of partners through the innovation of environmentally friendly packaging designs based on local materials, while also increasing the economic value of coconut brown sugar products. The community service was carried out using a participatory approach through socialization, training, co-design of packaging, and assistance with production and marketing for 40 partners consisting of brown sugar craftsmen, BUMDes administrators, and local natural material weavers. The results of the activity showed an increase in the partners' skills in product design and packaging, strengthening of soft skills in the form of confidence and marketing readiness, as well as an increase in the selling value and image of the product in the local market. This activity confirms that environmentally friendly packaging innovation based on local resources is an effective strategy in empowering MSMEs as well as implementing a circular economy at the village level.

This study aims to analyze the role of the digital economy in increasing the competitiveness of MSMEs in Medan City. The rapidly developing digital transformation provides opportunities for MSMEs to expand their markets, improve operational efficiency, and strengthen their competitive position. However, the use of digital technology among MSMEs in Medan remains limited due to low digital literacy, limited capital, lack of training, and minimal use of digital platforms such as e-commerce, social media, and Google My Business. This study uses a descriptive qualitative method through a literature review of research conducted in 2024–2025. The results of the analysis indicate that the digital economy plays a significant role in increasing the competitiveness of MSMEs, particularly through digital marketing, technological innovation, and optimization of digital platforms that can increase visibility and interaction with customers. Based on the Resource-Based View (RBV) approach, the competitive advantage of MSMEs is determined by the quality of internal resources, especially digital literacy, innovation capabilities, and technology management. With the support of training and government policies, the implementation of the digital economy has the potential to strengthen the growth and sustainability of MSMEs in Medan City.

The increasingly rapid digital transformation demands that MSMEs optimize technology not only in business processes but also in human resource management. Although HR digitalization is believed to improve organizational effectiveness, research on the psychological mechanisms and role of leadership in the context of e-commerce MSMEs is still limited. This study used a quantitative approach with an explanatory survey method and involved 366 respondents from e-commerce MSMEs in various regions of Indonesia. Data analysis was conducted using Partial Least Squares–Structural Equation Modeling (PLS-SEM) techniques to test direct relationships, mediation, and moderation. The results showed that digital HR practices have a positive and significant effect on employee performance. The digitalization of HR functions, such as e-recruitment, e-learning, HRIS, and digital performance management, can improve work effectiveness and the quality of work output. Furthermore, work engagement was shown to mediate this relationship, meaning that employees perform better when they feel more passionate, dedicated, and involved in their work. This mediating role emphasizes the importance of psychological aspects in the successful implementation of digital HR. Leaders who possess a digital vision, provide technological support, and encourage innovation have been shown to increase employee motivation and comfort in working using digital systems. Overall, this study confirms that the success of digital transformation in e-commerce MSMEs is determined not only by the technology used, but also by leadership support and employee engagement. These findings provide important contributions to the digital HR management literature and offer practical implications for MSME owners in increasing competitiveness in the digital era.

The development of digital technology and the Industrial Revolution 4.0 have driven significant changes in marketing activities, including for Micro, Small, and Medium Enterprises (MSMEs). The use of e-commerce has become an important digital marketing strategy for MSMEs to increase competitiveness and business revenue. This study aims to examine the role of e-commerce implementation as a digital marketing tool for MSMEs in facing the Industrial Revolution 4.0 and analyze its impact on increasing MSME revenue and competitive advantage. The research method used is a qualitative descriptive approach with data collection techniques through literature studies of various literature sources such as books, scientific journals, and online publications relevant to the research topic. The results of the study indicate that the implementation of e-commerce has a positive impact on MSMEs, including expanding market reach, increasing marketing efficiency, and driving increased business revenue. In addition, e-commerce also plays a role in increasing MSME competitive advantage through product innovation, improving service quality, and strengthening relationships with consumers. However, the implementation of e-commerce in MSMEs still faces several challenges, such as low digital literacy, limited human resources, and minimal technical assistance. Therefore, ongoing support from various parties is needed so that the use of e-commerce by MSMEs can run optimally and sustainably in the digital era.

This community service program focuses on the theme of creative economy with the aim of encouraging innovation in agricultural products to increase added value and income for Micro, Small, and Medium Enterprises (MSMEs) in Sumber Urip Village, Selupu Rejang District, Rejang Lebong Regency. Although the village has abundant agricultural potential, local products have not been optimally developed due to limited knowledge in processing, packaging, and marketing. The program employed a participatory-educative approach that emphasized active community involvement at every stage, including potential identification, socialization of creative economy concepts, product innovation training, and practical assistance in packaging and marketing. The participants consisted of farmers, MSME actors, and the Bukit Kaba Tourism Awareness Group (Pokdarwis) as strategic partners in developing a tourism-based market. The results indicate that the implementation of creative economy principles improved community understanding of product innovation, hygienic and value-added packaging, and appropriate marketing strategies targeting Bukit Kaba visitors. The strategic selling location at the Bukit Kaba tourism post further enhanced product visibility and market reach. Overall, this program demonstrates that creative economy-based community assistance can effectively strengthen MSME competitiveness, increase household income, and promote sustainable integration between agriculture, local entrepreneurship, and rural tourism development.

This community service activity aims to strengthen the marketing strategy of FUNN Maumere as a culinary business operating in an increasingly competitive market environment. The program was conducted using a qualitative descriptive approach through field observations, interviews with business owners and employees, and direct mentoring in implementing more effective marketing strategies. The results indicate that FUNN Maumere has applied a combination of traditional and digital marketing strategies, including brochure distribution and active promotion through social media platforms such as Instagram, TikTok, and Facebook. The mentoring activities focused on optimizing digital marketing, improving service quality, and strengthening brand consistency. These efforts contributed positively to increased brand awareness, customer interest, and wider promotional reach. However, sales performance remains fluctuative due to external factors, such as weather conditions and differences in outlet location characteristics. Therefore, this community service emphasizes the importance of continuous product innovation, enhancement of customer experience, and optimization of digital marketing strategies to reduce dependency on external conditions. This activity is expected to serve as a practical reference and mentoring model for other culinary MSMEs in developing adaptive, innovative, and sustainable marketing strategies to improve competitiveness and business continuity.

This community service program aims to enhance the understanding and awareness of Micro, Small, and Medium Enterprises (MSMEs) regarding the importance of Intellectual Property Rights (IPR) certification as a form of legal protection and a means to improve business competitiveness. The activity was conducted in RW 04, Pondok Rajeg Village, Cibinong District, Bogor Regency, targeting local MSME actors. The program employed a Community Based Research (CBR) approach, emphasizing active community participation through problem analysis, target assessment, program development, and implementation stages. The main activity consisted of counseling sessions covering the concept of IPR, types of IPR, benefits of ownership, and online registration procedures through the Directorate General of Intellectual Property (DGIP). Evaluation was carried out using pre- and post-activity questionnaires. The results indicate that although all participants recognized the importance of IPR protection, their initial level of understanding was relatively low. Following the counseling session, there was a significant improvement in participants’ knowledge of IPR types and registration procedures. This program is expected to encourage MSMEs to register their intellectual property to protect innovation and enhance sustainable business competitiveness.