Competitive Readiness from Indonesia?s Small and Medium Industry (SME)in Dealing with ASEAN Economic Community.

The establishment of ASEAN Economic Community Pactin the late of 2015 brings opportunity together with challenge for Indonesia economy. With that pact, country members of ASEAN will experience free flow of goods, services, investment and educated or skilled work labor from and to every country. AEC urgently need to reduce gaps between ASEAN members in economic growth aspect by increasing dependency between all ASEAN members. AEC can development national concept and resulting single trade block that able to handle and negotiate with non ASEAN exporter or importer. Small and Medium Industry (SME) around countries including Indonesia was one firm accelerator from many others accelerators in society economy. Apart from it, for Indonesia the role of SME especially since monetary crisis in1998can be seen as a savior valve in national economic recovery. Therefore, SME need to problems that block their movement in product development and marketing sectors. Anticipation movement has been arrange by Indonesian to help SME business performers greeting ASEAN free trade a by upgrading the comprehension of SME business per formers about AEC, improve mention production efficiency and business management, increasing the market power absorption to local SME products and creation of conducive business climate. The result showed that SME need to improve the product quality and optimizing the recent technology & marketing strategy. The government needed to step up and make policy to smooth the process.