Copyright © 2018 Authors. This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited. International Journal of Engineering & Technology, 7 (3.25) (2018) 106-108 International Journal of Engineering & Technology Website: www.sciencepubco.com/index.php/IJET Research paper Business Model Building and Its Performance in Micro and Small Apparel Industry in Bandung City, Indonesia Sudrajati Ratnaningtyas 1 *, Wawan Dhewanto 2 , Bambang Rudito 3 , Eko Agus Prasetio 4 , Gina Karunia Kusumah 5 1 Institut Teknologi Bandung 2 Institut Teknologi Bandung 3 Institut Teknologi Bandung 4 Institut Teknologi Bandung 5 Institut Teknologi Bandung *Corresponding author E-mail: sudrajati@sbm-itb.ac.id Abstract This study aims to determine whether or not the impact of business size on business model building and business performance perceived owner. This research used a quantitative-qualitative approach with Survey Method. The study was conducted in Apparel industry in Bandung City in 2017. The business model used to evaluate is Business Model Canvas (BMC). Chi-Square and Mann-Whitney U tests were used to test the differences between micro business and small business on each of BMC building blocks. The results showed that BMC building blocks between Micro Business and Small Buisness differed on two blocks, ie Channels and Revenue Streams, while the other seven blocks were not different significantly. It can be interpreted that the business model on Micro Businesses is generally slightly different with Small Businesses, or in other words the business strategy is relatively the same. However, the Business Model applied to Small Business with excellence in marketing channels and revenue streams compared to Micro Business, has resulted in a higher level of owner satisfaction on the performance of its business. Keywords: Apparel Industry; Bandung City; Business Model; Business Performance; Micro and Small Business 1. Introduction According to (1) United Nations of Educational, Scientific, and Cultural Organization (UNESCO) has announced the City of Ban- dung as the City of Design World or City of Design. With the grace of Bandung accepted to join the UNESCO Creative Cities Network (UCCN) network in 2015. Activities related to the de- sign, especially Fashion, graphic design and digital media is a place of economic activity for 56% of the people of Bandung (2). The creative Economy sector is expected to have a role in the Indonesian economy in the future. The creative economy in Indo- nesia during 2010-2015 has an average growth of 10.14% per year, and by 2015 contributes to the National Gross Domestic Product of 7.38%. The three sub-sectors that give the highest con- tribution are Culinary (41.69%), Fashion (18.15%), and Craft (15.70%). Fashion subsector is the largest exporter in 2015, which is 56% of total exports of Creative Economy Sector (3). However, the growth of GNP of Indonesian Creative Industry in 2010-2015 at constant prices in 2016 shows that the most declining growth is consecutively Fashion, Culinary, and Craft (4). Research about business in Bandung, Indonesia by (5) explained that there were many potential creative industries in Bandung. Another study in Bandung, Indonesia by (6) used the “Grounding Mobile Policy” and creating creativity in the city using Ad-hoc Network. This network increases the ideas and structure ways in information flows. This fact can enhance creativity in this city. According to (7) the fashion industry in Bandung, Indonesia is growing fastly, especially for micro, small and medium enterpris- es. Based on the data (8) in 2015 there are 12.270 units of micro and small enterprises and involving 43,326 workers. Among them are 975 business units in the field of textile and apparel. Apparel in- dustry is a major part of the fashion industry, which needs to be improved so that its growth does not decrease. The firm in busi- ness model in fashion is more founded by senior age and highly educated, that is result of research (9). The founder is more make technology to create innovation. The research of (10) shown that the Burberry business model can be increasing performance of fashion business. The Burberry business model is offering partial public share for control the production and distribution, expansion of product, etc. to micro level company. Another business model is proposing by (11) in the model name “An Activity System Per- spective”. This business model is interdependence system activity. This system activity is concentrated to create value with its part- ners and share their value. In the future business model is im- portant. According to (12) in the future business model are:1) The new analysis, 2) how to do business, 3) play important role, and 4) how value is created. Another business model in fashion is “Fast Fashion”. According (13) the “Fast Fashion” business model is the offer perception of fashionable with affordable price. This busi- ness model is specific for fashion business. In 2010 Osterwalder and Pigeur publish the Business Model Canvas (BMC) as a strate- gic management and lean startup templates for documenting exist- ing or developing new business models. In Indonesia, Micro Business define as a productive businesses owned by individual and / or individual business entity having net