The Implementation of Social Innovation Learning Model Based on Local Wisdom: A Study of Traditional Fabrics in Indonesia

Innovation activities should be carried out by every organization not merely to survive but also to grow and develop. To be able to compete with other products, the innovation should have a competitive advantage. This study aims to analyze the determinants of innovation activities in MSMEs producing Indonesian traditional fabrics by exploring the potential of local wisdom values to enrich unique superior products that cannot be duplicated. Innovation through co-creation activities involving customers, suppliers and competitors will create superior value proposition. This process of value creation is a fundamental source of innovation to create regional competitive advantage. This study applies mixed methods by combining quantitative and qualitative methods with concurrent mixed methods. The locus of the study is woven fabric of Bayan in North Lombok and Central Lombok. The findings show that the learning model of innovation activities at the level of MSMEs occurs in the form of alignment and adaptability.