Objective - This study seeks to comprehensively analyze the determinants influencing the digitalization process within the creative economy subsectors in the Southern Sumatra region, with particular emphasis on Jambi City and Pangkal Pinang City. Additionally, it aims to assess policies and offer recommendations for sustaining digitalization initiatives within the creative economy sub-sector, particularly through the Digital Entrepreneurship Academy, to bolster long-term digital economic growth, particularly in the aftermath of the COVID-19 pandemic.

Methodology - The research employs a quantitative analysis approach, specifically employing panel data regression techniques. The dataset encompasses both primary and secondary sources. Primary data is derived from a meticulously conducted survey that involved the distribution of structured questionnaires and in-depth interviews with Small and Medium-sized Enterprise (SME) entrepreneurs who have participated in the Digital Entrepreneurship Academy programs in Jambi City and Pangkal Pinang City.

Findings - The analysis indicates a positive correlation between population growth and the Human Development Index (HDI), signifying that an increase in population corresponds to an enhancement in HDI. Moreover, Our findings reveal a significant negative relationship between the presence of SMEs and HDI.

Novelty - This suggests that regions with a higher concentration of SMEs, characterized by potentially lower adherence to legal frameworks and lesser developmental efforts, tend to exhibit lower HDI values. In alignment with established scholarly research, a larger labor force positively influences HDI, underscoring the role of workforce magnitude in bolstering human development.

Type of Paper - Empirical

Keywords: Digital, Creative Economy, Digital Entrepreneurship Academy, Southern Sumatra

JEL Classification: L53, M21

URI: http://gatrenterprise.com/GATRJournals/JBER/vol8.2_1.html

DOI: https://doi.org/10.35609/jber.2023.8.2(1)

Pages 51–59