Creative Economy Sectors Have Opportunity to Endure Amid Global Economic Situation

Economist from the Indonesia Strategic and Economic Action Institution (ISEAI) Ronny P Sasmita stated that several creative economy sectors still have the opportunity to endure amidst geopolitical uncertainty and the global economic slowdown. Some of these creative economy sectors, particularly those based on digital technology, have the greatest chance of survival, as their primary added value comes from human resources and creativity, not from large imported raw materials. “Industries such as game development, animation, digital content, film, digital music, graphic design, artificial intelligence, and technology-based creative services are relatively more resilient to global supply chain disruptions,” Ronny said. Ronny stated that creative industry players currently need to enhance their global competitiveness by embedding three main factors into their products: quality, innovation, and efficiency. Therefore, investment in digital technology, automation of production processes for efficiency, strengthening branding, and mastering data-based marketing becomes very important amidst global conflicts and economic barriers. “When the global economy slows down, consumers tend to be more selective, but they remain willing to pay more for products that are authentic, exclusive, and have a strong identity. This is where Indonesia’s cultural wealth becomes a competitive advantage that is difficult for other countries to imitate,” Ronny said. He noted that many creative business players are still trapped in artistic excellence alone, whereas the international market also demands consistency in quality, delivery accuracy, and competitive pricing. Products that have a cultural story, environmental sustainability, a strong local identity, and clear differentiation will be harder to imitate and hold a higher bargaining position in the international market. Therefore, Ronny said that Indonesia’s creative economy must think about selling creativity and intellectual property, not just physical products. Meanwhile, creative industries related to the green economy and sustainability are also expected to be among the long-term winners. This is based on global trends showing that investors, consumers, and regulators are increasingly paying attention to environmental, social, and governance (ESG) aspects. “Creative products that promote eco-friendly concepts, circular economy, and the use of sustainable materials have a greater chance of being accepted by the international market in the coming years,” Ronny said. In facing global competitiveness amid economic uncertainty, Ronny said it is necessary to strengthen product added value because global competition is no longer about price but is moving towards value competition.