Analysis Of Potential And Priority Economic Sectors In Regional Development Planning: Location Quotient, Klassen Typology, Shift-Share, And Topsis Approaches In Sukabumi City

Abstract

Sukabumi City as an autonomous region faces challenges of fiscal dependency, suboptimal economic growth, and suboptimal utilization of regional leading sectors. This study aims to identify potential economic sectors and determine the priority sectors for economic development in Sukabumi City as a basis for managing regional revenue. The study uses a quantitative approach with secondary data on the GRDP of Sukabumi City and West Java Province for the 2010-2017 and 2018-2025 periods sourced from the Central Statistics Agency. The analytical methods used are Location Quotient (LQ), Klassen Typology, Shift-Share, and Technique for Order Preference by Similarity to Ideal Solution (TOPSIS) with eight assessment criteria. The results show that of the 16 economic sectors analyzed, nine sectors are classified as basic sectors (LQ>1) in the 2018-2025 period, with the integration of the three analytical tools resulting in six potential sectors. The TOPSIS results determine the development priority order, namely Wholesale and Retail Trade (Vi=0.7487) as the main priority, followed by Financial Services and Insurance (Vi=0.4548), Corporate Services (Vi=0.3220), Health Services and Social Activities (Vi=0.2817), Education Services (Vi=0.2183), and Construction (Vi=0.1928). These findings confirm that the economic structure of Sukabumi City is characterized by a service-based economy with the Trade and Financial Services sectors as the main drivers. The research results can be an empirical reference for local governments in allocating development resources in a targeted and evidence-based manner.