Legal aspects of Tiktok shop closure in Indonesia

Abstract

Online shopping behavior refers to the process of purchasing products and services via the Internet. So online purchases have become an alternative to purchasing goods or services. Online sales are growing well in terms of. With the spread of the Covid 19 pandemic, all activities are carried out through technology, including buying and selling, increasingly using electronic applications. One of them is TikTok. In 2023, traditional traders will start to complain because turnover is decreasing over time and even some shops are closing on the market. Lifestyle and changes in society using technology in the online shopping process have an impact on traditional traders. This led to requests from Merchants to close Online Stores. Problem formulation: Why is the TikTok online shop closed in Indonesia? What is the policy in Indonesia to close online shops? Discussion in this writing. Discussion The main reason why the TikTok Shop was finally closed was because of the business permits that were valid in Indonesia. TikTok has a permit as an Electronic System Operator from the Ministry of Communication and Information. Not Trading Via Electronic Systems from the Ministry of Trade. Minister of Trade Regulation Number 31 of 2023 is a revision of Minister of Trade Regulation Number 50 of 2020 concerning Provisions for Business Licensing, Advertising, Development, and Supervision of Business Actors in Trading through Electronic Systems. This revision is encouraged to increase protection for Small and Medium Enterprises and domestic business actors.