ABSTRACT

The creative products of Micro, Small, and Medium Sized Enterprises (MSMEs) in Indonesia are extremely diverse and offer great potential for export markets. The creativity and productivity of MSMEs has not been balanced by sustainable product marketing efforts, particularly concerning overseas marketing. Market engineering innovation for MSME creative products can be achieved using a diplomatic model: Cross Cultural Understanding, by treating each citizen of both countries as a diplomat. This innovation can be initiated through student exchanges, their return to their respective countries will allow them to share experience, skills obtained and overall understanding of differing cultures, enabling the sustainability of the exchange activities. This not only concerns the people involved, the data that is obtained, can be analyzed and shared, therefore encouraging a trust between the two parties involved. La Maison de l'Indonésie (LMI) is a trust in the form of a showroom to display the knowledge gained whilst in Indonesia, including Indonesian cultural products, in France. Through curatorial and strict quality control, samples of MSMEs products are selected to be sent to LMI in France. The exposition and introduction of Indonesian culture at LMI was over a period of one year and succeeded in transferring the micro dynamics of Indonesian life. The introduction of this culture is classified as a new public diplomacy practice where non-government actors are involved in introducing culture. Based on the trust that is built and the value of empathy that is created, a social movement has emerged aimed at helping producers in developing countries. This movement supports exporters and increases social standards. Finally, a trade contract cooperation was opened (fair trade) for MSME products between France and Indonesia and European countries.