The Impact of Entrepreneurship Insight to Go–Food’s Innovation in Makassar, Indonesia

Abstract

The development of Small and Medium Enterprises (SMEs) in Indonesia has made a significant contribution to the national economy. The capacity of MSMEs to absorb labor has increased by an average of 2-3% per year from 2021 to 2023. This aligns with economic growth and post-pandemic recovery, as well as government efforts to support the MSME sector through digitalization programs and improved market access. In 2023, the number of workers absorbed by Micro, Small, and Medium Enterprises (MSMEs) in Indonesia reached approximately 117 million people. Furthermore, technological advances bring so many sector changes that have an impact on the development of quality of life and also the human standard of living. In the era of the industrial revolution 4.0, technological advances are changing people's habits from conventional to digital base.  The same goes for Go-jek, an online delivery app that provides food delivery ordering with Go-Food subservices. There are 766 SMEs in Makassar that cooperate with Go-food in 21 categories. These partners have a star rating of 4.5 or higher with price criteria between 40,000 and 100,000 (IDR). This study aims to examine and analyze the influence of business vision on innovation among entrepreneurs who have partnered with Go-Food. This study was conducted in Makassar city, in South Sulawesi province and involved small and medium enterprises in cooperation with Go-food as a model. The time of the study started from March to June 2024. A purposive random sampling approach with 100 Go-Food partners as respondents used in this study. The effect test between entrepreneurship insights on innovation was carried out with a linear regression test using the SPSS 20. The results of the study showed that entrepreneurship insight among Go-Food partners had a significant effect on innovation (Sig. <0.05). Thus, one can conclude that the more entrepreneurship is understood, the better the innovation.