Social capital in Indonesia: Process to design

Abstract

This research aimed at finding a new design of social capital in order to reinforce sustainable small industrial enterprises. It was conducted on farmers and roasted peanut entrepreneurs as the small business agents. This research used qualitative research method with triangulation technique such as observation, interview, and documentation. To analyze the data, it used Advanced Analytical Method by Spradley. This research discoverd that the emergence of problems in the small business activities or roasted peanut industry as from the upstream to the downstream. It was severely supported by the negative social capital emerged from these industrial activities. The power of social capital which sometimes fell off actually never stagnated; however, it revived, and it could turn to be positive social capitals in terms of: (1) The Power of Colleague Network, (2) Mutual Trust and Cooperation, (3) Obedience to Life Norms, (4) Mutual Vurtue and, (5) Impact Values of Life. The process of a long journey of social capital has made it even more complete with the formation of a design of social capital through a community/group formed specifically consisting of peanut farmers and roasted peanut entrepreneurs. The set that is intended for: (1) Excavating and Exploring the Resources of Members of the “Association”. (2) Protecting and Guarding the Members from Business Threats. (3) Utilizing Every Business Opportunity for Business Development in a Better Version. (4) Identifying and Anticipating every Threat of a Small Business. The process of social capital has become a force contained in the design of social capital which has an overall impact on the strengthening and development of small industrial economies. It also requires support and the role of the government as a regulator for the sustainability of small industrial businesses to continue to take part and be able to prosper the community’s economy.