Identification of Culinary Industry Cluster Development in Madura

Titov Chuk’s Mayvani (), Sutikno Sutikno and Henny Oktaviani
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Titov Chuk’s Mayvani: Trunojoyo University
Sutikno Sutikno: Trunojoyo University
Henny Oktaviani: Trunojoyo University

A chapter in Proceedings of the 8th International Conference on Business, Economics, Social Sciences, and Humanities - Economics, Business and Management Track (ICOBEST-EBM 2025), 2025, pp 136-157 from Springer

Abstract: Abstract This study aims to identify the potential of creative economy in Madura culinary industry subsector that can be developed as economic potential through cluster. This study uses analysis techniques are: PCA which is used to identify the characteristics of factors in each cluster classification and K-Mean is used to determine the distribution of culinary industry sub-sector business actors in Madura. The results of this study indicate that the Madura culinary industry sub-sector is divided into inactive cluster, active clusters and dynamic clusters. The problems that cause several industries are not included in the dynamic cluster are due to weak spatial identity, the absence of specialist suppliers, the absence of economic/industrial specialization, the absence of labor specialization, still using simple production technology and not being able to innovate products, and not having a network of business partners, resulting in minimal development of market information obtained. If these problems are not resolved, it can have an impact such as not be able to drive competitive advantages. Efficiency has not been created, high transaction costs and social costs. Therefore, the strategy needed to develop the culinary industry that is included in the inactive cluster and the active cluster towards a dynamic cluster can be done by: 1) Mapping the potential of local resources; 2) Building and Developing a network of specialist suppliers; 3) Development of economic/industrial specialization; 4) forming labor specialization; 5) Adoption and mastery of renewable technological developments in production activities and increasing business collaboration networks; 6) Expanding access to information exchange.

Keywords: Culinary Industry; Cluster; Madura (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:spr:advbcp:978-94-6463-795-3_12

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DOI: 10.2991/978-94-6463-795-3_12

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