LEGAL FRAMEWORKS PROTECTING MICRO, SMALL, AND MEDIUM ENTERPRISES FROM MONOPOLY PRACTICES

Authors: Budi Santoso Pranata, Rizky Hidayat Ahmad

DOI: 10.5281/zenodo.17432936

Published: April 2025

Abstract

<p><em>The role of Micro, Small, and Medium Enterprises (MSMEs) in 2020 was significantly affected by the spread of the Coronavirus, which altered consumer behavior and encouraged people to remain at home. While the government has promoted partnership programs aimed at providing convenience, legal protection, and empowerment for MSMEs, practical challenges—both internal and external—remain. Supervision of these partnerships is necessary to ensure that medium-sized enterprises do not exert undue pressure on micro and small businesses, as highlighted in KPPU Decision No. 2/KPPU/-L/2005. This study employs a normative-empirical approach to analyze the legal protection of partnerships between MSMEs and medium to large enterprises under the lens of anti-monopoly law, focusing on the partnership between the Mercure Makassar Nexa Pettarani Hotel and MSMEs in Makassar. Findings indicate that the legal relationship between MSMEs and the hotel can be established in accordance with the business partnership principles outlined in Law No. 20 of 2008 concerning MSMEs and Government Regulation No. 17 of 2013 concerning its implementation. The partnership does not constitute an abuse of dominant position, although some agreements remain informal. Legal protection for MSME partnerships is enforced by the Business Competition Supervisory Commission (KPPU) under Law No. 5 of 1999 concerning the Prohibition of Monopolistic Practices and Unfair Business Competition, as well as Commission Regulation No. 4 of 2019 regarding procedures for supervising and handling partnership cases</em></p>

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DOI: 10.5281/zenodo.17432936

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