This document discusses social economy and the importance of small businesses and startups. It defines social economy as investing in social goals like job training and affordable housing rather than solely profit. Small businesses can stimulate economic growth through job creation and consumer spending, while also strengthening communities through volunteer activities and social networks. The document provides examples of small businesses in Indonesia like Amartha, a peer-to-peer lending platform, and Bahaso, an online language learning platform, that have increased incomes and expanded access to education.

1. Entrepreneurship and
the social economy
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Cre By: Ste e W j a

2. Learning Objectives
✘ Understand what defines social economy.
✘ Know the importance of small business and business start-ups to
the growth of social economy.
✘ Know the example of small business/business start-ups which had
impacted the social economy in Indonesia and International
context.
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3. 1.
What Is Social Economy ?
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4. “Social economy puts people before profits.
They invest in cultivating social capacity such as by providing
training to socially disadvantaged people, as well as responding
to the people’s needs like environmental improvement, free
housing for families of low-income, and many others.
The profit gained in a social economy would be used to meet
social objectives, generating social and economic value. It
enhances relationships between local communities and the
wider society.
- Molloy et al. (1999; Quoted by Amin et al., 2002, pp. 1-2)-
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5. 2.
Importance of Small
Business/Business Start-Ups
to the Growth of Social
Economy
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6. What impacts can these businesses bring towards the economy?
Success is determined based on the benefits
that the projects contributed to the society,
such as, the rise in the percentage (%) of
employment opportunities, the number of
people involved in the voluntary activities, and
many others. Its concern is to create a more
democratic society which promotes social
justice and equality (Molloy et al. (1999; Quoted by
Amin et al., 2002, pp. 1-2).
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7. employment opportunities (+) unemployed becomes employed
stimulating economic growth consumer spending (+) salary/wages
HOW?
voluntary activities (+) social network between gov’ts, business, & workers (+)
stronger global economy safer more cohesive communities
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1.
2.
Source: (Lister, n.d.)
Source: (Points of Light Institute, n.d.)

8. Example of
small business / business start-ups
impacting the social economy (in Indonesia
and international context)
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9. ✘ Established in 2010 as microfinance company, owned by Andi Taufan Garuda Putra
✘ Transformed into a peer-to-peer (P2P) lending platform in 2016
✘ Aims to bring together micro entrepreneurs (lack of capital investment) with funders
✘ Has grown and served >500 villages in Java Island with 70,977 partners
✘ SROI value of 98% in 2017
✘ Collaborated with Melbourne Microfinance INstitute (MMI)
✘ Partnered with Oxford Microfinance Initiative (OMI) to plan a program of raising
awareness of environmental protection
On average, Amartha business partners who do business on a Micro, Small and Medium scale have
managed to increase their income by 41% every year after receiving funding from Amartha. Household
welfare has also increased, including the purchase of assets to increase their mobility as
businessman/woman, as well as increasing conditions in the fields of health, education and security.
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Source: (Amartha, 2017)

10. ✘ Established in 2014, owned by Ttovan Ari Widagdo
✘ Online foreign language teaching platform
✘ Aims to revolutionise the way people learn foreign languages and equip Indonesian
people with communication skills (foreign languages) in order to adapt to
globalisation
✘ Had more than 12,000 users, from both in town and abroad (international)
✘ Cooperated with University of Indonesia (UI) in thinking about the suitable concepts
and curriculum
✘ Adopted concept of learning based on the curriculum of The Common European
Framework of Reference for Languages
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Source: (Good News From Indonesia, 2018)

11. End of Slide.
Any questions?
You can find me at
@stefaniewijayaa@gmail.com
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12. References
Academic
Amin, A., Cameron, A. and Hudson, R. (2002). Placing the Social Economy. London: Routledge, pp.1-2.
Non-Academic
Amartha. (n.d.). Akuntabilitas Sosial. Amartha. [online] Available at: https://amartha.com/id_ID/social/
[Accessed 13 Nov. 2018].
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13. Amartha (2017). Connecting Happiness. Social Accountability Report 2017. [online] pp.1-17. Available at:
https://amartha.com/wp-content/uploads/2018/03/Amartha_Social_Accountability_Report_2017_
IND.pdf [Accessed 13 Nov. 2018].
Bahaso. (n.d.). About Us. [online] Available at: https://bahaso.com/about [Accessed 16 Nov.
2018].
Lister, J. (n.d.). How Does Hiring Additional Employees Affect the Economy?. [online] Chron. Available at:
https://smallbusiness.chron.com/hiring-additional-employees-affect-economy-31964.html
[Accessed 13 Nov. 2018].
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14. Good News From Indonesia. (2018). Ini Lah 16 Start-Up Indonesia Terbaik Tahun 2017 Versi Koran Tempo.
online] Available at:
https://www.goodnewsfromindonesia.id/2018/01/09/ini-lah-16-start-up-indonesia-terbaik-tahun-20
17-versi-koran-tempo [Accessed 16 Nov. 2018].
Points of Light Institute (2011). Social Impact of Volunteerism. [online] pp.1-23. Available at:
http://www.pointsoflight.org/sites/default/files/site-content/files/social_impact_of_volunteerism_
pdf.pdf [Accessed 13 Nov. 2018].
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