Industrial Cluster Design using Value Chain Analysis and Diamond Porter’s Model (Case Study in Batik Trusmi Cirebon Center)

Abstract

Batik Trusmi is one of Batik industry areas with 164 Batik Industry listed. Batik Trusmi, currently a center for Small Medium Enterprises (SMEs), has the high potential to grow into an industrial cluster to give its stakeholders competitive advantage. The government’s plan to develop industrial areas in West Java, includes Trusmi Batik Area as one of industrial areas that will be developed over the next 20 years. This study focus on illustrating and describing the primary and secondary activities of the Industrial cluster and stakeholders function on the system by using Value Chain Analysis and Diamond Porter’s Model, and the Industrial Cluster Component and Condition Assessment of Batik Trusmi as the result. The Diamond Porter Model describes the conditions of Internal and External Aspects of the Industrial Cluster. The industrial cluster design delivered the desired result for Batik Trusmi based on the Industrial Cluster Success Criteria. The Cirebon Industrial and Trading Agency will oversee the integrated system, which will be able to increase the competitive advantage, manage demand distribution, standardize production processes and quality, develop a tourism brand for Cirebon, and put in place a monitoring and evaluation system to gradually develop the industries under the management of industrial cluster.