Contemporary versus Traditional Culinary Micro, Small, and Medium Enterprises: A Comparative Feasibility Study of Two Street-Food Businesses in Greater Jakarta, Indonesia

Abstract

This study compares the business feasibility of two culinary micro, small, and medium enterprises (MSMEs) representing contrasting segments of the Indonesian street-food economy: a contemporary spicy-food enterprise (Seblakks Zeva, Tangerang) and a traditional Betawi-cuisine enterprise (Ketoprak Nusantara, Jakarta). Eight feasibility dimensions — market, product, marketing, operations, finance, management, legal compliance, and environmental/social impact — are assessed to identify each model's comparative advantages and constraints. A comparative case study design combining quantitative financial analysis with qualitative description was used. Data were collected in February–March 2026 through direct observation, semi-structured in-depth interviews (40 indicator-based questions across the eight dimensions; 60–90 minutes per owner), and documentary evidence, with feasibility rated using a three-level rubric (Feasible / Partially Feasible / Not Yet Feasible). Financial feasibility was assessed using net profit margin, break-even point, payback period, net present value (12% discount rate), and internal rate of return, supplemented by a two-scenario sensitivity analysis (20% sales decline; 30% raw-material cost increase). The contemporary enterprise was rated feasible on all eight dimensions, led by legal compliance and digital marketing maturity. The traditional enterprise was rated feasible on six of eight dimensions, with markedly higher profitability (52.6% versus 40% net margin) and a faster break-even point (approximately 18–20 days versus 50 days), but lacked formal business registration and an active digital marketing presence. Both enterprises remained viable under the two adverse scenarios tested, with the traditional enterprise's higher margin providing a larger buffer. For the contemporary enterprise, the priority is completing halal certification and documenting standard operating procedures. For the traditional enterprise, the priority is completing formal business registration (Nomor Induk Berusaha, NIB) within one month, since legal status is a precondition for credit access, food-delivery platform partnerships, and government MSME assistance. The findings support targeted government legalization-assistance programs for long-operating informal traditional food businesses. Unlike prior feasibility studies that typically examine a single Indonesian culinary MSME in isolation or rely on simulated data, this study offers field-based, side-by-side evidence contrasting a digitally native contemporary food business with a long-established traditional one, clarifying where each model's competitive advantage lies and what each needs to reach full feasibility