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This paper investigates the application of digital twins for strategic planning in Indonesian startups, focusing on their potential to facilitate experimentation and risk reduction. The study employs both digital twin simulation on a conceptual startup model and interviews with Indonesian entrepreneurs using emerging technologies. Results indicate that digital twins enable scenario-based experimentation and enhance strategic decision-making, while also highlighting adoption challenges related to awareness, technical ability, and infrastructure.
Digital twins offer Indonesian startups a sandbox for risk-free strategic experimentation, but adoption hinges on overcoming awareness and infrastructure gaps.
Incorporating digital technology into entrepreneurial processes is already rapidly transforming how start-ups develop, experiment with, and test their business models. Such a disruptive application utilises digital twins—computerised digital representations of physical systems that enable real-time simulation and predictive experiments. This study examines the potential application of digital twins in strategic planning for Indonesian startups. Utilising a dual approach, this research conducts a digital twin simulation on a conceptual startup model and conducts interviews with four Indonesian entrepreneurs utilising emerging technologies. Our result shows that digital twins enable early-stage startups to conduct scenario-based experimentation, reduce product development risk, and enhance strategic decision-making with less real-world consequences. However, adoption challenges persist in terms of awareness, technical ability, and infrastructural readiness. This research enhances the growing body of literature on digital innovation and experimentation in developing countries by framing digital twins as tools that can benefit both industrial operations and entrepreneurial strategies.