Abstract

Street vendors have emerged as a form of social response to maintain the survival of communities in going through economic challenges. However, street vendors have begun to have an uncontrolled growth; hence create social issues, particularly in large cities. In Surakarta, Indonesia, the relocation process of street vendors has been successfully executed by the municipal government. They have successfully managed to make street vendors agree to peacefully move to another area. Apparently, the relocation program is only sustained for several years. Most of street vendors have returned to their previous location, creating a huge chronic problem. This brief study aims at utilizing system thinking approach, using a causal loop diagram, to provide a framework for managing changes and complexity in the relocation process and to identify strategic indicators that may occur after relocation. The results are expected to contribute a defined framework for decision making process based on an analysis over the complex and dynamic systems of the relocation program. The results indicate that the municipal government of Surakarta may need to begin to formulate innovative activities through an improved public education and an enhanced street vendors’ empowerment.

Highlights

  • IntroductionThe municipality has been known by its marketing tagline “the Spirit of Java” due to its eco-cultural assets

  • Surakarta is a municipal located in the Central Java province, Indonesia

  • The municipal government began to see the phenomenon of street vendors as having a potential value to the development of informal economy sector

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Summary

Introduction

The municipality has been known by its marketing tagline “the Spirit of Java” due to its eco-cultural assets. It was first established in 1946, covering an area of 4,406.06 ha. During 2003-2010 the number of street vendors in Surakarta tend to decrease; since 2010 the number has begun to increase over time. In 2012, the number of street vendors in Surakarta has reached 2,950 people. Looking at these figures, the municipal government began to see the phenomenon of street vendors as having a potential value to the development of informal economy sector. The award was obviously a clear appreciatiation over the relocation policy of street vendors. As stated by Sterman (2002), “... (t) he most cases of policy resistance arise from dynamic complexity, the often counterintuitive behavior of complex systems that emerges from the interactions of the agents over time.”

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