ABSTRACT
The present study configured an interaction between technology usage and business growth and the dynamic movement of the tourism craft industry using a quantitative approach. A second order confirmatory factor analysis (CFA) was employed to determine three dimensions of technological usage as hypothesized. In Bali, small and medium enterprises (SMEs) are important businesses that support people’s lives as well as the tourism sector. SMEs are very important in supporting all tourism activities. The growth of Bali tourism, which continues to increase, cannot be separated from SMEs, especially in supporting the fulfilment of various needs of tourists visiting Bali, including various types of souvenirs, food, beverages, and various other needs, both for domestic consumption and export. The Bali Provincial Government sees SMEs as one of the pillars of development through integration with the agricultural sector with the leading sector being the tourism sector. Bali tourism as cultural tourism cannot be separated from the role of Balinese culture. This paper has determined a significant integration role of Balinese people with their local wisdom providing nuances that cannot be separated from the existence of SMEs.
