IMPLEMENTATION OF DIGITAL TECHNOLOGY IN THE ECONOMIC SECTOR OF SUMEDANG RESIDENTS USING A DESCRIPTIVE QUALITATIVE METHOD

Abstract

The rapid development of digital technology has transformed the pattern of community economic activities, including in Sumedang Regency, West Java, where most micro, small, and medium enterprises (MSMEs) have begun shifting from conventional marketing methods toward digital platforms. However, this transition has not been evenly distributed, as disparities in infrastructure and digital literacy still exist between urban and rural areas, raising questions about the extent to which technology truly affects regional economic development as a whole. This phenomenon underlies the importance of research on the influence of technology on local economic development in Sumedang. This study aims to explore the positive and negative impacts of technology on the local economy using a descriptive qualitative method. Data were collected through literature review, empirical analysis, and in-depth interviews. The results show that technology adoption has had a positive impact on the growth of MSMEs in Sumedang. Approximately 65% of MSMEs have adopted digital platforms, which have improved distribution and sales efficiency by up to 50%. The technology sector's contribution to the Regional Gross Domestic Product (GRDP) also increased by 7% in 2023. In addition, technology adoption has created more than 1,200 new jobs and provided digital skills training to over 3,200 individuals. However, the study also found a digital divide between urban and rural areas: technology integration reached 78% in urban areas, compared to only 42% in rural areas, due to poor internet connectivity. This gap has led to income disparities and difficulties for rural MSMEs in optimally utilizing technology. The study concludes that technology plays a vital role in improving regional economic development, but strategic measures are needed to ensure equitable access, particularly for MSMEs in rural areas, to support inclusive economic growth.