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The global halal industry has experienced rapid growth, prompting the Indonesian government to strengthen the halal MSME ecosystem through certification, mentoring, and digitalisation programmes. However, halal MSMEs in developing regions such as Deli Serdang Regency still face constraints, including limited mentor availability, restricted market access, slow halal certification processes, and the low utilisation of artificial intelligence (AI) in business incubation. This study aims to explore an AI-based Smart Halal Business Incubator model that can support the digital transformation of halal MSMEs in Deli Serdang Regency. The study employs an exploratory qualitative approach using the systematic grounded theory strategy of Strauss and Corbin, involving halal MSME actors, academics, local government, halal process assistants, business incubator managers, investors, and halal certification bodies as purposively selected informants until data saturation was reached. Data were collected through in-depth interviews, FGDs, observation, and documentation, and were analysed through open, axial, and selective coding. The findings yield a new conceptual framework, the AI-Driven Smart Halal Business Incubation Framework (ASHBI Framework).
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Ichsan et al. (2026) studied this question.
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