Venture & Innovation Journal

DIGITAL TRANSFORMATION: MSME INNOVATION STRATEGY IN INDONESIA'S STARTUP ECOSYSTEM

2025-08-04T07:13:08+00:00

Digital transformation has become a crucial factor in enhancing the competitiveness of Micro, Small, and Medium Enterprises (MSMEs) in Indonesia. Despite their significant contribution to the economy, many MSMEs are not fully aware of and have not adopted digital technology, resulting in low competitiveness in the market. Objective: This study aims to identify effective innovation strategies for MSMEs in carrying out digital transformation and to explore the challenges they face in the process within Indonesia's startup ecosystem. Method: This research employs a mixed-method approach combining qualitative and quantitative designs through case studies. Data was collected via surveys and in-depth interviews with 100 MSMEs that have undertaken digital transformation. Results: The findings indicate that approximately 75% of MSMEs have adopted digital technology, with digital marketing and collaboration with startups as the most effective strategies. However, challenges such as a lack of technological understanding and high investment costs continue to hinder the transformation process. The conclusions of this study emphasize the importance of educational support and government policies in assisting MSMEs to overcome these obstacles in order to achieve sustainable digital transformation

FROM CARBON TO CIRCULAR: INNOVATING A CIRCULAR ECONOMY-BASED STARTUP BUSINESS MODEL IN THE MIDST OF THE GLOBAL CLIMATE CRISIS

2025-08-04T07:12:02+00:00

The global climate crisis necessitates a paradigm shift in business practices, one of which is through the implementation of a circular economy. Startups in Southeast Asia have significant potential to become agents of change by developing sustainable business models. Objective: This study aims to explore the innovative circular economy-based business models implemented by startups in Southeast Asia and to understand the challenges and strategies faced in their implementation. Method: This research adopts a qualitative approach with a case study design. Data was collected through semi-structured interviews with startup founders and analysis of related documents. The sample consists of 10-15 startups that have applied the principles of circular economy. Results: Findings show that startups innovating in circular economy-based products and services not only reduce environmental impact but also create significant economic value. However, challenges such as low consumer awareness, limited access to resources, and regulatory complexities remain obstacles. Education and collaboration strategies with various stakeholders proved effective in overcoming these challenges. This study provides in-depth insights into innovative practices within the startup sector and offers strategic recommendations to accelerate the transition towards a circular economy in Southeast Asia

SUSTAINABLE INNOVATION IN THE DIGITAL AGE: FACING CHALLENGES AND OPPORTUNITIES IN GLOBAL MARKETS

2025-08-04T07:10:39+00:00

Amid the wave of digital transformation during the Fourth Industrial Revolution, companies are required to develop sustainable innovation as a key strategy to maintain global competitiveness. The background of this study stems from the urgency to understand how sustainable innovation can be optimized in the context of rapid technological changes and dynamic market demands. The primary objective of this research is to explore strategies and challenges faced by companies in implementing sustainable innovation in the digital era, and how these efforts impact organizational performance. This study adopts a mixed methods approach, combining both qualitative and quantitative methodologies. Data were collected through a questionnaire survey of 100 respondents from technology-based companies in Indonesia, Sweden, and Switzerland, along with in-depth interviews with innovation managers. Quantitative data were analyzed using regression analysis, while qualitative data were examined through thematic analysis. The findings reveal that 70% of the participating companies have integrated sustainable innovation into their business strategies, with 65% reporting improvements in operational and financial performance. However, challenges such as limited top-management support and complex regulatory frameworks remain key obstacles. The study also identifies significant opportunities through strategic partnerships and the use of digital technologies to accelerate innovation

THE IMPACT OF AI ON NEW BUSINESS MODELS: RESPONDING TO DISRUPTION IN VARIOUS SECTORS

2025-08-04T07:09:29+00:00

The advancement of Artificial Intelligence (AI) has triggered major disruptions across various industrial sectors, challenging traditional business models and fostering the emergence of more adaptive, digital, and data-driven value structures. This research is grounded in the need for a systematic understanding of how AI reshapes business models and the strategic responses required by organizations. The objectives of this study are: (1) to analyze the impact of AI on business model transformation across sectors, (2) to identify the most affected industries, and (3) to develop an adaptive framework based on the Business Model Canvas (BMC) tailored for the AI era. This study employs a comparative case study design using a qualitative descriptive approach. Data were collected through in-depth interviews, document analysis, and indirect observation from 50 companies across the banking, manufacturing, retail, logistics, and healthcare sectors. Thematic analysis and a re-mapping of BMC elements were applied in the data analysis process. The results indicate that AI significantly alters value propositions, cost structures, distribution channels, and revenue streams. The most prominent disruption occurs in the logistics and retail sectors, followed by healthcare. This study also introduces an AI-Driven Business Model Canvas Framework that serves as a strategic and structured guide for companies in responding to AI-driven disruption. The findings offer both conceptual and practical contributions to the development of resilient, technology-based future business models.

AI-DRIVEN STARTUPS IN VENTURE ECOSYSTEM: POTENTIAL, ETHICS, AND GLOBAL REGULATORY CHALLENGES

2025-08-04T07:08:27+00:00

The rapid advancement of artificial intelligence (AI) technologies has spurred a new wave of startups that are driving disruption across various sectors. However, the growth of AI-driven startups is not always accompanied by adequate ethical frameworks or regulatory preparedness—especially within the global venture capital ecosystem. This study aims to comprehensively examine the dynamics of AI startup growth in the global investment landscape, assess the implementation of ethical principles in AI development, and investigate the readiness and challenges of cross-border regulatory systems. This research employs a mixed-methods approach with a multi-regional case study design. Data were collected through document analysis, online surveys, and in-depth interviews with startup founders, investors, and regulators from North America, Europe, and Asia. Data analysis combined descriptive statistics and qualitative thematic analysis. Findings indicate a significant global increase in investment toward AI startups. However, only a minority of startups have implemented algorithmic audits, model transparency, and regulatory compliance practices. Divergent policies—such as the EU AI Act in Europe and sector-based frameworks in the U.S.—present ongoing challenges for global regulatory harmonization. This study proposes the AIRE (AI Investment Risk Evaluation) framework as a practical tool for investors to assess ethical and regulatory risks in AI startups. This research contributes a multidisciplinary perspective integrating technology, investment, and ethics to guide the responsible development of AI startups globally.