307 Chapter V Summary and Conclusions This chapter consists of two main sub-chapters, i.e., summary that provides a synopsis of the study (Chapters I to IV), and conclusions which will answer the research questions plus some recommendations that will discuss further research, managerial implications, and policy implications. V.1 Summary Indonesian Law No.3/2014 regarding Industry requires both Central and Local Governments to realize the competitiveness of small and medium industries. However, the fact that the condition of each region is not similar becomes a main problem. It is because Indonesia is an archipelagic country. The competitiveness index of Asia Competitiveness Institute 2015 indicates that islands provinces, such as Kepulauan Bangka Belitung, Kepulauan Riau, Nusa Tenggara Barat, Nusa Tenggara Timur, Sulawesi Utara, Maluku, Maluku Utara, Sulawesi Tenggara, need specific development strategies, since they cannot be equated with the mainlands, such as Java and Sumatera, because their competitiveness rank is very low. An islands is ―a country or territory that is completely surrounded by ocean water and countries or territories that are isolated in terms of language, which to some extent would imply cultural isolation‖ (2008:180) (Aubert & Chen, 2008). Danson and Burnett (2014:153) mention that ―islands are physically understood as entities set apart from other land mass, and yet each is always bound into a relationship with their relative neighbors of either other islands and/or of mainland‖. Based on the above definitions, it could be concluded that an islands is surrounded by water, a small unit of land having less population, to some extent quarantined in terms of language and culture but always bound into connection with their relative neighbors. These characteristics are suitable for the islands provinces in Indonesia, whose approximately 85.2 percent of the total area is sea and averagely only 14.8 percent of the total area is land surrounded by averagely 1.203 small islands. 308 What makes island entrepreneurs differ from those in the mainland is the impediments that island entrepreneurs face. The impediments are more complex than they are in the mainland. In the island context, one of the problems is the deficiency of government support. Small firms are often encouraged to find their own ways and strategies, and in the end, small firms opt for a bootstrapping strategy and not being dependent on government or other parties (Sambajee and Dhomun, 2015). Subsequently, small size and geographical remoteness are habitually viewed as sources of economic vulnerability which might unfavourably affect economic development and enterprise performance (Baldacchino, 2005a). These conditions worsen because the government only made one generic policy, strategy, and program to grow and to develop competitive SMIs in Indonesia, as stated on RIPIN (National Industrial Development Master Plan) 2015-2035 (Kurniawan et al., 2018). However, under different conditions, economic development in regions of the islands should pay attention to the anthropological and socio-cultural conditions on the islands as stated in the bill on the acceleration of islands region development, i.e., economic development through cluster islands-based production systems (article 15). Based on the background, the main issues in this study is how SMIs on the islands survive and thrive amid all the limitations and impediments. Most studies on SMIs on the islands and even on the mainland are mostly based on the perspective of the business actors even though the role of the government is usually quite significant in business development in a region. Also, Grydehøj (2013) has argued that creative governance can also foster the core competencies of small jurisdictions and make government policy more effective. For example, the competitiveness of industries in developed countries cannot be separated from subsidies and development research provided by the government.