Analysis and Strategy for Developing Potential Sectors in the Development of Humbang Hasundutan District, Indonesia

Abstract

This research examines the economic landscape of Humbang Hasundutan District in North Sumatra Province, Indonesia, with a focus on identifying key sectors for development and formulating strategic approaches to harnessing their potential. Utilizing quantitative methods such as Location Quotient (LQ) Analysis, Shift Share Analysis, and Klassen Typology Analysis, alongside SWOT analysis, the study evaluates the regional economic dynamics and proposes strategies for sustainable development. The analysis reveals that agriculture, forestry, and fisheries; construction; accommodation and food service provision; and public administration are the base sectors driving economic growth in the district. These sectors exhibit significant potential for both local and external markets, indicating opportunities for further development. Strategies proposed include leveraging geographic advantages and natural resources, enhancing government support, and promoting agricultural tourism to attract investment. Additionally, addressing weaknesses such as challenging topographic conditions and improving the quality of human resources can further strengthen the agricultural sector. Furthermore, the study suggests fostering partnerships with research institutions to address agricultural challenges, facilitating access to financing, and promoting agricultural entrepreneurship among the younger generation. By capitalizing on internal strengths and external opportunities while mitigating weaknesses and threats, Humbang Hasundutan District can achieve sustainable economic growth and prosperity.