Entrepreneurship and Market Orientation: Mindset of Indigenous Community

Wen Mina Hipere is a new method of agriculture, in this case, of farming sweet potatoes, modified by adding the cultivation of freshwater fish in the trench of the potato garden, practiced in several Dani tribe villages of Jayawijaya, one of Indonesia’s regencies in West Papua. Training of these farmers, in entrepreneurship and market orientation is expected to create innovation and to motivate farmers with the entrepreneurial spirit. The research, therefore, aims to evaluate the changes to the mindset of Wen Mina Hipere farmers at pre-and post-training in entrepreneurship and market orientation.  Fifty farmers in Wogi village, who have been engaged in the Wen Mina Hipere farming system, have been subject to research following their training in entrepreneurship and market orientation. The results show that the dominant change occurs in the growth of confidence in entrepreneurship, whereas they developed to a higher degree their sense of competition in the market orientation part of the training. In preserving this local wisdom, the related departments need to give intensive technical assistance, training and coaching to improve farmers’ self-confidence, provide financial assistance and distribution channels for farmers to continue to perform within their traditional farming system. Keywords: entrepreneurship; market orientation; Wen Mina Hipere; indigenous community. DOI: 10.7176/JMCR/57-02 Publication date:June 30th 201

Factors That Affect The Perception Of Small And Medium-Sized Businesses (Smes)’ Community On The Importance Of Financial Statements, The Amount Of Credit Received And Implementation Prospects

The research aims to determine the perception of those practicing SMEs and examine the effect of the quality of financial statements of SMEs on the amount of credit received using several indicators, such as education background, education level, size of the business, age, quality of financial statements, credit guarantee, credit amount received and term loans. Data is collected througha questionnaire distribution from 40 respondents who run their business  in the city of Jayapura. The results show that the education background and the level of education do not influence the perception of SMEs’ actors, but the size and age of business do. While the size, age, credit guarantees and credit terms affect the amount of credit received, the quality of financial reports does not. This is likely due to the fact that the financial statement of SMEs have not been sources of reliable and relevant information for the banks in their decision to provide credit for SMEs’ business. Keywords: SME’s actors, amount of credit, quality of financial statement

Indigenous Wisdom for Developing Economic Life Case of Yokari People, West Papua

Natural resources need to be used to improve the economic life based on the indigenous local wisdom. This is one of Jayapura regency's economic development programs to increase the welfare of the whole society as mandated by the special autonomy policy in West Papua. This study aims to address the potential of natural resources in Yokari customary council by utilising their local knowledge to improve the economic life of the community. The use of qualitative research and triangulation method for data collection and analysis are used and purposive sampling method employed to answer the expected objectives of this study. The head of village government, Ondowapona, elders and religious leaders were approached for in-depth interviews in addition to the observation and secondary data study that had been largely completed beforehand. The results show that the majority of community work as fishermen and farmers along with the potential of natural resources, being various kind of fish, fruit, and vegetable used for sale or daily consumption in the family. Local wisdom, such as the obligation to protect the environment and customary laws, restriction to fish with the bombs and taboo to work on Sunday are acknowledged and accounts for traditional sanctions that need to be highly considered by the community to engage with the natural resources. Significant challenges faced by the community, such as difficult access to transportation, marketing and distribution channels of their resources need to be seriously taken into account by the government to improve a better quality of the community life

A Study of Indigenous Community-Based Economy at the Regency of Jayapura

The research aims to discover the potential of local natural resources in improving the economic life by utilizing the indigenous communities’ local wisdom at the regency of Jayapura. Two local customary councils namely Sentani and Moi were used as samples. Data was collected by the interviews to both tribal leaders and heads of village, observation as well as secondary data analysis and analyzed by three stages: data reduction, presentation of the data and drawing conclusion. The results show that the livelihood of DAS Sentani is farming, fishing and taping sago where their natural resources are fish, sago, coconut, areca nut while that of DAS Moi is farming and livestock and the natural resources are gold and rock mines, tourist attraction, sago, durian and rambutan. Both indigenous communities have their local wisdoms that are believed to have rewards if they obey and sanctions or punishments if disobeyed. Some local government’s strategies are recommended to be done in order to help both communities to improve better quality of life

Education and Entrepreneurship: Best Learning from Helm Project at Cenderawasih University

In 2013, as part of the Higher Education Leadership and Management national initiative sponsored by US AID, Universitas Cenderawasih proposed an action research project to address the under-employment of UNCEN graduates through purposeful entrepreneurship education. Although entrepreneurship education had been introduced previously at UNCEN, it had never been custom designed to integrate theory and practice appropriate to Papua as part of the formal curriculum.  This paper focuses on the use of core principles of the action research process (ARP) to develop and implement a locally effective curriculum for students enrolled in UNCEN’s Faculty of Economics. A central value underlying the project was the development of a curriculum that could address social inequalities in Papua, specifically the significant under-representation of Papuan native peoples in the entrepreneurship sector.Through a mixed methods approach that used demographic, attitudinal and outcome data as well as observational, interview and focus group data, the ARP team designed an experientially-based learning module, documented implementation of thepilot learning module, evaluated its effectiveness, and developed proposals for improvement and institutionalization. As a result of its action research project, the ARP team suggests that future iterations of the entrepreneurship curriculum at UNCEN should adopt a culturally responsive pedagogy (Gay, 2010; Ladson-Billings, 1995) that addresses the disparities in cultural and social capital shown to be significant in the ARP to entrepreneurship education

Community engagement in the mining industry : a critical theory approach to examine engagement with community partners from corporate versus indigenous perspectives.

The rising interest in corporate social responsibility (CSR) has encouraged business corporations to incorporate their stakeholders within the process and activities of discharging their social responsibility. Whilst the demand to enhance CSR through stakeholder engagement has increased, there is little attention on engaging stakeholders in culturally different groups. This study offers insights into the stakeholder engagement of PT Freeport Indonesia, a subsidiary of the United States-based Freeport-McMoRan Inc. in West Papua, with two indigenous communities, Amungme and Kamoro, as primary stakeholder groups living in the vicinity of the mining operations. Using a critical approach to examine the community engagement from both corporate and indigenous perspectives, I argue that the company’s engagement with the communities in this study is one-sided engagement. CSR initiatives merely meet global best performance standards and the responsibility vested in the company by the Government of Indonesia. Thus, the indigenous engagement represents Indonesia’s typical CSR practices of community development programmes, run by various community and government partnerships, and using a rational process of engagement. Although continuing controversies from the lack of community consultation, social and economic development issues, human rights violations, and environmental destruction have constituted the rationales of engagement, the contrasting perspectives of the indigenous community present various struggles with the perpetuation of inequality from the company’s development programmes. Limited indigenous participation and continuous power imbalances in each stage of engagement have triggered the community’s distrust of the company’s commitment and seriousness about empowering them. Community organisations established as indigenous agencies also show very limited power to alleviate the issues. Lack of local government involvement in the engagement expressed by the two parties in this study contributes to these challenges. The study provides insights into how the mining companies and governments should engage with the indigenous communities and suggests possible future actions from an indigenous perspective to achieve better community engagement. It contributes to the literature on CSR in developing countries, stakeholder engagement, engagement with indigenous partners, and stakeholder theory

Fiscal dependence in a special autonomy region: evidence from a local government in eastern Indonesia

This research aims to analyse the degree of fiscal dependence of local government upon the central government in the regency of Mimika, one of Indonesia’s eastern regencies. The ratio of fiscal decentralization is used to calculate the local government’s ability to increase its regional revenue in order to support development initiatives in all sectors (Malmudi, 2010). Secondary data of locally-generated revenue and total revenue from the period 2010-2015 are used to measure the degree of fiscal decentralization. The results show that the degree of fiscal decentralization in the regency remained at a low level, reflected from the average value of 12.92 percent with the highest degree, of 25.09 percent in 2012. An analysis of fiscal decentralization in the period 2010 – 2015, indicates that the regency lacked sufficient fiscal capacity, showing heavy dependence upon financing from the central government. The local government is expected to develop the region’s potentiality through creative efforts within their governmental apparatus to increase local revenues. The funds from the central government could provide a positive contribution if used in the consumption of goods and services that potentially support economic activities

Accounting conservatism: Testing the effects of investment opportunity set and political cost

This study aims to examine the effect of investment opportunity set (IOS) and political cost (PC) on accounting conservatism in Indonesia. The population of this study is property and real estate companies listed on the IDX during the period 2011-2020. Using purposive sampling method which is based on certain considerations, it is obtained 20 companies with a total of 200 samples. This study uses Multiple Regression Analysis to examine the relationship between variables. The results of this study show that political cost has a significant effect on accounting conservatism. Meanwhile, the investment opportunity set has no effect on accounting conservatism. The results of this study are consistent with the political cost hypothesis as in the positive accounting theory that large companies tend to apply conservative accounting to reduce the amount of political costs they incur. The results of additional test on the enactment of PSAK 72 regarding income from contracts with customers in 2020 show that that there is no significant difference in accounting consevatism in property and real estate companies before and after the enactment of PSAK 72