The Government Economic Policy on Establishment of Modern Market in Bandar Lampung City

Abstract

The present study aimed to describe the government economic policy regarding the establishment of minimarket in Bandar Lampung. The growth of convenience stores is in line with the community's increasing consumption trend.  The growth may threaten the existence of the traditional market, affecting the economic condition of merchants who rely on the traditional market. Department of Investment and One-Gate Integrated Service (DPMPTSP) of Bandar Lampung holds the authority to regulate business actors concerning the establishment of a minimarket. The present study applied the qualitative descriptive method. This study found that the government regulates minimarket permits based on Bandar Lampung Mayor Regulation no. 89 of 2011 on The Requirement and Arrangement of Minimarket in Bandar Lampung City. The authority is inseparable from the role of other departments. From an economic perspective, the establishment of minimarket contributes to the increase in Regional Original Revenue. Meanwhile, from a political perspective, the establishment may maintain the investment climate and improve regional development. However, from a social point of view, the growth of minimarket that does not adhere to the regulation leads to problems with its surroundings. The minimarket establishment should follow the government's spatial planning. In addition, sellers in traditional markets should be supported through programs that develop micro, small, and medium scale businesses. Lastly, The government needs to socialize the service on the market establishment for entrepreneurs.   Keywords: Economic Policy, Minimarket Establishment