The 9 th University Research Colloqium 2019 Universitas Muhammadiyah Purworejo 300 ANALYSIS OF LEADING SECTORS POTENTIAL FOR ECONOMIC DEVELOPMENT PLANNING IN BANDUNG CITY 1) Ahmad Rizani, 2) Djuanda Hatta Department of Development Economics, Faculty of Economics, University of Borneo Tarakan Email: ahmadrizani@gmail.com ABSTRAK This study aims to identify and determine the leading sectors in Bandung City to illustrate leading economics activities that can be developed in order to boost economics potential in Bandung City. The analysis tools used include Shift-Share, Location Quotient (LQ) and Growth Ratio Model (GRM) analyses. The results of the study show that: (1) shift-share analysis showed that the economy of Bandung City during the period 2010-2017 increased by Rp. 70,697,045.9 million. The increase in economic performance in Bandung City can be seen from 16 (sixteen) sectors of economic activity that are positive; (2) based on the Location Quotient (LQ) analysis, the leading sectors in Bandung City consisting of 13 (thirteen) sectors, i.e. water supply procurement; garbage, waste and recycling management; construction sector; retail and wholesale trade; car and motorcycle repair; transportation and warehousing sector; accommodation and food provision; information and communication sector; financial and insurance services sector; real estate sector; corporate services sector; government administration, defense and social security; education services sector; health services sector and social activities and other service sectors; (3) the analysis of the Growth Ratio Model (GRM) showed that the dominant sectors of growth and large contributions consist of the construction sector, transportation and warehousing sector, accommodation and food provision sector, information and communication sector, corporate services sector, education services sector, health services sector and social activities and other service sectors; (4) weighting results based on Shift-Share, Location Quotient (LQ) analysis, and Growth Ratio Model (GRM) showed that 5 (five) sectors based on the highest potential weighting results are the information and communication sector, retail and wholesale trade sectors , car and motorcycle repair, transportation and warehousing sector, accommodation and food provision sector and other service sectors. Keywords : Economic Potential, Shift-Share, Location Quotient (LQ), Growth Ratio Model (GRM) JEL : O10; O38 INTRODUCTION Traditionally, development means a continuous increase in a Gross Domestic Product (GDP) of a country. For a region, the meaning of traditional development is focused on GRDP of a province, district and city. Regional economic development is a process whereby local governments and all components of the society manage various existing resources and form a partnership pattern to create new jobs and stimulate the development of economic activities in the region. Measurements for the success of development can be seen from economic growth, economic structure and the smaller income inequality between residents, between regions and between sectors (Arsyad, 2004: 7). In regional economic development, the development is generally focused on economic development through economic growth efforts. Economic growth is related to an increase in the production of goods and services which, among others, is measured by a measurement called Gross Regional Domestic Product (GRDP). The main factor that determines regional economic growth is the demand for goods and services from outside the region so that local resources will be able to generate regional wealth because it can create employment opportunities in the region (Boediono, 1999: 1) One of the important factors that determine the success of a regional development is the planning process, because economic development cannot be handled solely by the market mechanism. Planning can be defined as a continuous process that includes decisions on choices