The Role of Social Capital in the Development of Fried Chicken Business

Abstract

Enterprises, Micro, Small and Medium Enterprises (MSMEs) are one of the fields that make a significant contribution to spurring economic growth in Indonesia. MSMEs currently need to develop a new capital in developing their business, namely social capital so that people are able to move the wheels of the economy. These institutional factors can increase economic growth which allows for the division of labor, increased income, business expansion and freedom to obtain economic opportunities. The purpose of this study was to describe the social capital owned by owners, employees and suppliers of raw materials for fried chicken SMEs "Skripsi", analyzing production and income, and business development. The research was carried out at the UMKM Fried Chicken "Skripsi" branch Jl. Abdullah Dg. Sirua. Informants (respondents) in this study are business owners, employees (who have worked for 1 year) and suppliers of raw materials, totaling 10 people. This research is a case study using a qualitative approach, data collection techniques through observation, interviews, and documentation on the fried chicken “skripsi” businessnur aini. Data analysis used descriptive qualitative analysis, and income analysis. The results of the study found: 1). The social capital owned by the owners, employees and suppliers of raw materials in the UMKM fried chiken "skripsi” are: social norms, social networks, trust, cooperation, participation and reciprocity. 2). Production and income of UMKM Fried chicken "skripsi" is profitable. 3. The fried chicken “skripsi” business " has experienced increasing development.