KEBIJAKAN PEMERINTAH DALAM MENDUKUNG DAYA SAING INDUSTRI KECIL KERAJINAN MELALUI PENGGUNAAN TEKNOLOGI INFORMASI STUDI KASUS: INDUSTRI KERAJINAN BATIK KAYU KREBET YOGYAKARTA

Entering the digital age, competition is arranged in a super-wide computer network system called Internet and measured by whose content is the most powerful and having the most famous products, as well as dominating the information. At the end of the day, estuary of the game is protecting the market of Indonesian SME products especially handmade products as one of the supporting industries in tourism sector. This study is aimed at analyzing on how government policy supports the Small Craft Industry competitiveness of Indonesia through the using of Information Technology. The discussion then focused on the relation between Information Technology (in this case is internet) and the competitiveness upgraded. The study was conducted by using a qualitative approach and the deep investigation towards government programs through a case study analysis and using capitalist developmental state as a theoretical guidance. Data from this study consisted of secondary data through literature study and analysis of documents and primary data obtained from resource person who are relevant and reliable as well as through field research. The results of this study indicate that the presence of information technology procurement program in supporting the business or industry, is not so integrated in the national sustainable system. Program implementation of information technology in the business world, especially in the expansion of the market is usually initiated independently by each department, including local governments of Daerah Istimewa Yogyakarta (DIY) issuing jogjaplaza.com programs (online marketplace) and internet access in the form of construction of the telecentre in 7 small industries. Field findings indicate: (1) market penetration by the industry, particularly small batik wood craft industry, Krebet, Yogyakarta, successfully captured more widespread market since the adoption of information technology in the marketing process by using the websit