FACTORS INFLUENCING COMPETITIVENESS OF SMALL AND MEDIUM INDUSTRY OF BALI, PORTERS FIVE FORCES ANALYSIS

Abstract Small and Medium Industry (SMI) is a stimulus for the Indonesia. The existence of SMI is not only contributes significantly to GDP but also to absorb labour, and to even the distribution as a result of development and poverty reduction. The SMI has also given its role as a safeguard for the national economy during the crisis. SMI has made a significant contribution to the development of the Indonesian economy, especially Bali, through export, trade and any supporting sectors for employment growth. Along with the globalization, SMI must increase competitiveness in order to survive. This literature review seeks to explore and find various influential factors and competitive strategies to improve SMI competitiveness in Bali with an analysis of Porters’ Five Forces. The method used is descriptive based on scientific journals. Keywords: competitive strategy, SMI, Porter five force