Information and Communication Technology (ICT) and Firm’s Export in Indonesia

  • Amzul Rifin Department Agribusiness, Faculty of Economics and Management, IPB University
  • Dahlia Nauly

Abstract

In the globalization era, ICT has important role in firm’s ability to export their products. The
objective of this research is to analyze the impact of ICT on the ability of Indonesia’s firm to export
their product. Two ICT methods are analyzed, email and website. The data utilized is the
secondary data from the Enterprise Survey conducted by the World Bank in 2015 with 1317 firms
data. Two analysis is conducted, using chi-square analysis and logit equation. The result indicates
that 32 percent of firms using email to contact their clients exported their product meanwhile only
5 percent of firms which do not use email exported their products. In additon, 36 percent of firms
with website exported their products meanwhile only 7 percent of firms without website exported
their products. Using chi-square analysis, it shows that there is a relationship between ICT and
where the firms sold their products, whether in domestic or international market. The logit
equation indicates that firm ownership, email and website affects the firm ability to export.
Therefore, firms must be pushed towards digitalization in order to compete in the export market.

Published
2021-02-09
How to Cite
Rifin, A., & Nauly, D. (2021). Information and Communication Technology (ICT) and Firm’s Export in Indonesia. Economics Development Analysis Journal, 10(1), 529-539. https://doi.org/10.15294/edaj.v10i1.37878