International Journal of Economics and Business Case Studies

The Subsidy Trap: Transforming SiBakul Jogja from an 'Incentive Distributor' into a Data-Driven Independent Digital Ecosystem

Syamsul Hadi — 2026-04-01

Purpose: This case study aims to evaluate the sustainability of the government's digital platform, SiBakul Jogja, which faces fiscal risks due to its dependence on a shipping subsidy business model. This study analyzes the platform's performance paradox and formulates a transformation strategy from being merely an "incentive distributor" to becoming an independent digital ecosystem that has long-term resilience without relying entirely on the Regional Revenue and Expenditure Budget (APBD). Design/methodology/approach: This study applies a mixed-method approach. The analysis was conducted on secondary data on platform performance in 2025 (covering 314,433 transactions) and primary data from two separate surveys: a consumer behavior survey (n=188) and an MSME partner satisfaction survey (n=252) in the Special Region of Yogyakarta. The data was analyzed descriptively to identify patterns of supply-demand mismatch and subsidy dependency elasticity. Findings: The findings reveal the phenomenon of the "Subsidy Trap," in which 94.7% of consumers are absolutely dependent on the free shipping feature. Resource allocation inefficiencies were identified in the form of supply-demand mismatch: product supply was dominated by the Fashion category (25.1%), but 93.6% of real demand was for perishable Culinary products. The study concludes that a strategic pivot is needed through Design-Reality Gap mitigation, the application of a Focus Strategy in the B2G/Corporate market, and the integration of Quadruple Helix collaboration to share the logistics burden. Originality/value: This research makes a critical contribution to the E-Government literature by challenging the effectiveness of government marketplace models that mimic the private sector without venture capital support. This study offers a new framework for public digital initiatives to shift from price wars to monetizing institutional assets (institutional trust) and cross-sector collaboration.

Ms. Chantana at Andaman Heritage: Strategic Recovery in Phuket’s Post-Pandemic Tourism Landscape

Bordin Phayaphrom — 2026-04-01

This case examines the strategic recovery and repositioning of Andaman Heritage Resort, a mid sized independent hotel in Phuket, Thailand, during the post pandemic transformation of the tourism industry. The narrative follows the resort’s general manager, Ms. Chantana, as she navigates a complex environment shaped by uneven tourism demand recovery, labour shortages, rising operating costs, and increasing expectations from guests, regulators, and local communities. While international arrivals gradually return, the resort faces mounting operational pressures, including staffing constraints, deferred maintenance, technology gaps, and intensified competition from branded resorts and alternative accommodation platforms. With limited financial resources and cautious owner expectations, Ms. Chantana must evaluate alternative strategic directions that balance occupancy growth, selective service upgrades, and long term brand positioning. The case highlights the interconnected challenges faced by independent hospitality firms operating in a volatile recovery phase, where strategic choices involve trade offs between short term revenue recovery, operational resilience, stakeholder alignment, and sustainable tourism practices. Students are invited to analyse the strategic tensions surrounding resource allocation, market positioning, and organisational identity as the resort seeks to redefine its role in Phuket’s evolving tourism landscape.

Allocating the BARMM Transition Budget: Fiscal Choices and Economic Credibility in a Post-Conflict Region

Sahraman Hadji Latif — 2026-04-01

This case study looks at the financial decision-making difficulties that Murad Ebrahim, the first Chief Minister of the Bangsamoro Autonomous Region in Muslim Mindanao, encountered during the BARMM transition period after the Bangsamoro Organic Law was ratified. The case, which takes place between 2020 and 2025, places students in a post-conflict regional government that has just acquired financial independence thanks to a block grant required by the constitution. The case illustrates the financial trade-offs associated with distributing a fixed public budget among conflicting priorities like social services, productive investment, infrastructure, and administrative capacity building using actual data on the BARMM transition budget, gross regional domestic product, and poverty incidence. The story purposefully concludes without disclosing the ultimate allocation decision, despite presenting actual institutional limitations, unequal implementation capacity, and high public expectations for peace dividends. The case, which is intended for undergraduate economics and public policy courses, encourages students to use concepts from public finance and development economics to assess fiscal decisions in a decentralised, post-conflict governance environment.

Digital Progress but Uneven Adoption: Raja Poobalan and the SME Digitalisation Challenge in Malaysia

Saizal Pinjaman — 2026-04-01

This case examines a strategic decision faced by Raja Poobalan, Executive Chairman of GraceTrade, within the context of Malaysia’s rapidly expanding digital economy. National indicators report strong progress in digital connectivity, e commerce expansion, and SME digitalisation targets, suggesting widespread participation in the country’s digital transformation. However, GraceTrade’s internal observations reveal a different reality. Many small and medium enterprises located in rural and suburban areas remain only partially integrated into digital commerce despite favourable national statistics. The case situates Raja Poobalan within a specific organisational and temporal context as he prepares for a board discussion on how GraceTrade should allocate its resources in response to this uneven participation. Background information on Malaysia’s digital economy, SME participation patterns, and operational constraints faced by rural businesses is presented as decision inputs. These include issues related to connectivity reliability, logistics coverage, digital capabilities, and the higher risks associated with sustaining online operations outside urban centres. The case concludes at the point where Raja must determine whether GraceTrade should prioritise commercially attractive urban markets, invest in expanding digital participation among rural and suburban SMEs, or pursue a hybrid strategy balancing growth and inclusion. The case is designed to stimulate discussion on digital divide dynamics, SME participation in digital platforms, and the strategic trade offs between efficiency and inclusive economic development.

Green Life Indonesia in the Post-Pandemic Economy: Affordability, Cost Pressures, and Strategic Choice

Riskin Hidayat — 2026-04-01

The conflict between affordability, cost pressures, and long-term market leadership is the main focus of this case study, which looks at Green Life Indonesia's strategic difficulties in the post-pandemic economic climate. The case, which takes place in 2023, centres on Nur Lestari, President Director of Green Life Indonesia, as the company deals with diminishing sales growth, margin compression, and heightened competition in Indonesia's rapidly evolving consumer goods industry. Despite the macroeconomic recovery that followed the COVID-19 shock, rising living expenses and inflation have reduced household purchasing power and increased consumer price sensitivity. Green Life Indonesia's capacity to absorb inflation without compromising profitability is constrained by persistent increases in input, packaging, logistics, and labour costs. The case offers comprehensive background information on the macroeconomic conditions in Indonesia following the pandemic, changing consumer behaviour, changing competitive dynamics, and Green Life Indonesia's operating model and portfolio structure. The scope of the challenges facing the company is demonstrated using financial data and macroeconomic indicators. The story ends with an unresolved strategic choice about how Green Life Indonesia should strike a balance between volume leadership, affordability, and financial sustainability in a market that has undergone structural change. The case is intended for use in economics, strategy, and emerging market studies courses at the MBA level.