Social Enterprise in Action: A Study of Indigenous Community-based Enterprise in Rural Areas to End Poverty in All its Form (Irodori Leaf-Business Kamikatsu, Japan and Ikat Woven-Business Pringgasela Lombok, Indonesia)

Abstract

Rural-based social innovation is increasingly receiving attention in most developing countries. Community-based entrepreneurship is an essential instrument for realizing the potential among marginal and deprived communities isolated from the mainstream economy and is important in bringing social upliftment. Community empowerment helps in eradicating poverty, especially in rural areas since the households can create their welfare based on the local resource. Community-based enterprises usually evolve in a geographical region with the business being set up, owned, and controlled by the local community with a focus on self-supporting jobs. The present research analyzes the community-based enterprise practice as one of the forms of social innovation and identifies its critical success factors. The research uses qualitative methods and case studies. Data were collected through in-depth interviews and observation. Research result indicates that initiators forming groups and collaborating with other parties to support product commercialization will scale up the community-based practice. Local government policy interventions in the form of financial and technical support become leverage for community-based enterprise activities so that all community members are self-employed and economically independent.
 Keywords: social enterprise, community-based entrepreneurship, sustainable development goals