5th International Conference on Economics, Finance and Management Outlooks 6-7 June, 2016 Nippon Hotel, İstanbul-Turkey

1. Abstract of Economics, Finance and Management Outlooks, 2016, Vol.5
DOI: 10.18488/journal.1003/2016.5/1003.5
5th
International Conference on Economics, Finance
and Management Outlooks
6-7 June, 2016
Nippon Hotel, İstanbul-Turkey
Conference Website: www.pakrdw.com
4
Paper ID: 704/16/5
st
ICEFMO
Understanding Business Model of Social Entrepreneurship in
Indonesia
Bevaola Kusumasari1
1
Department of Public Policy and Management Faculty of Social and Political Sciences Gadjah Mada
University, Indonesia
Abstract
Social entrepreneurship is distinguished as a business field oriented to fulfilling basic
human needs which existing markets or institutions have failed to provide. In this study,
the base of social entrepreneurship principle is developed by observing business
models that attempt to cope with a number of social issues. To face the variety of
social missions with the social values created in organization being studied, the design
of the analyzed business model is consequently more emphasized on three aspects -
value proposition, value creation and value capture. This study was conducted in 30
social entrepreneurship organizations located in several cities in Indonesia, including
Yogyakarta, Bandung, Bali and Jakarta. The result of the study showed that, in terms
of the value proposition in business model of entrepreneurship, all organizations are
established in response to discriminations suffered by marginal communities.
Regarding the aspect of value capture, it seems to appear through a series of activities
such as conducting humanism-based program, capacity building and holding education
and training on the environment. Value creation is found in cases where the more
benefits the community gains from program implementation, the more successful and
sustainable social entrepreneurship will be.
Keywords: Business model, Social entrepreneurship, Indonesia.