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Research Paper

Year: 2020 | Month: October | Volume: 7 | Issue: 10 | Pages: 518-526

Analysis of the Impact of the Presence of Online Stores on the Development of Conventional Stores (Offline) in Pasar Petisah, Medan City

Andre Fitriano1, Holfian Daulat Tambun Saribu2

1,2Universitas Prima Indonesia, Indonesia

Corresponding Author: Andre Fitriano

ABSTRACT

Pasar Petisah is one of the markets managed by the Regional Market Company, which is the Regional Market Company under the auspices of the Medan City Government. Pasar Petisah is a market that is the same age as Medan City. The separate market consists of two markets and two market heads. The number of conventional stores (offline) that are active in the stage I market (location on the 1st floor) is around 441 stores, and the number of conventional stores active in the stage II market (location on the 2nd floor) is around 601 stores. The phenomenon of this research is the decrease in the number of visitors to Pasar Petisah, the decrease in the amount of revenue from conventional stores since the existence of online shops. Many traders have closed due to drastically reduced turnover, and a reduction in employees by conventional stores owners. The research method is a research method based on the philosophy of postpositivism, used to examine the condition of a natural object (as opposed to an experiment) in which the researcher is the key instrument. The technique of collecting data is triangulation (combined). Data analysis is inductive/qualitative in nature, and the results of qualitative research emphasize meaning rather than generalization. The nature of this research is descriptive analysis in the form of written or spoken words from people. The approach to this research is that the researcher creates a complex picture, detailed reports, and conducts studies on the situation experienced. From the results of the research conducted, overall the presence of online stores has a negative impact on the development of conventional stores, where there were 384 conventional store closures or about 27% of the 1,425 stores owned by Pasar Petisah, a decrease in income of about 40%, a decrease in labor around 37%, and decreased visitor numbers by 25%. It is hoped that the Regional Company Market of Medan City will pay special attention in overcoming the problems experienced by conventional stores owners, especially the impact of the pandemic of Coronavirus disease (COVID-19).

Keywords: Online Stores, Conventional Stores, Regional Market Company

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