M01429
Indigenous Entrepreneurship: The Social, Cultural and Economic Values
Influence the Balinese’s Entrepreneurial Development
Eristia Lidia Paramita
eristia.paramita@staff.uksw.edu
Faculty of Economics and Business, Satya Wacana Christian University, Salatiga, Indonesia
I Wayan Damayana
wdamayana@gmail.com
Dhyana Pura University, Bali, Indonesia
Christantius Dwiatmadja
christantius.dwiatmadja@staff.uksw.edu
Faculty of Economics and Business, Satya Wacana Christian University, Salatiga, Indonesia
Abstract
Culture is unique. The interaction between culture and conception of cultural dimensions
allow to see greater complexity in relation to the other characteristics of the environment. In such a
context, this study has not been made; especially engage the culture and customs typically in Bali. The
purposes of this research are to describe the perception of Balinese’s people on entrepreneurship; find
out the values of social, cultural and economic influence of the Balinese entrepreneurship; find the
supporting and inhibiting factors in entrepreneurship (entrepreneurial) of Balinese.
The qualitative method was used. This study involved participants of Bali employers,
traditional leaders as key informants related to indigenous entrepreneurship in Bali. Naturalistic
observation and field research were used to obtain the data.
The findings showed that there were only a little numbers of Balinese entrepreneurs. Most of
the activities conducted were influenced by the Balinese social and cultural values. According to the
economics value, the entrepreneurs had the effort to achieve their best economics condition. The
entrepreneurial of Balinese was still influenced by the social and cultural values.
Keywords: indigenous entrepreneurship, social value, culture value, Bali
BACKGROUND
Economic Resilience karma (residents) Bali is absolutely necessary for humans Bali.
Because of this, empowering movement to further pursue the informal sector is very important,
as well as to respond to the fact that "the Balinese sell land to buy meatballs, while newcomer
sells meatballs to buy land". Cooperative Krama Bali is a place and move the human identity of
steady economic Bali (Naradha: May 2002)
At the beginning of the formation, this place is engaged in the conduct entrepreneurship
training to make meatballs, Coto, and Balinese satay and haircut, also provides capital grants or
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loans, received overwhelming response and attracted a lot of manners to practice it. But after
nearly 10 years running is not easy we meet again sellers meatballs, Coto, and manners Balinese
satay, even by the centre-by Cooperative manners Bali in Kuta, has been occupied by merchants
of the entrants.
Starting from the phenomenon, related to the gap theory of social construction of
entrepreneurship, and has not been sufficient publicity involving cultural / traditional Balinese
with regard to entrepreneurship. Although in general a lot of studies have shown variable has an
influence on entrepreneurial culture, has even become a theory and models, but greater attention
should be given to the interaction between cultural dimensions and conceptions which allows to
see the other characteristics of the environment. This is the reason for doing this research.
The purpose of this study are to describe how society's view of Bali (Balinese) about
entrepreneurship, knowing the values of social, cultural and economic influence entrepreneurial
Bali, knowing the process of formation of entrepreneurial people of Bali, and describe the
enabling and inhibiting factors in the (entrepreneurial) Bali.
LITERATURE REVIEW
The Importance of Entrepreneurship
In the early 20th century, entrepreneurship becomes an important role in economic
development. Schumpeter (1934) said that if a country has a lot of entrepreneurs, the country has
a high economic growth, which will bear the high economic development. Entrepreneurship is a
driving force behind economic growth. Further, Kirzner (1973) says that entrepreneurship is an
important part in the development.
One cause of failure in achieving economic growth and economic development of a
country are because of the lack of entrepreneurship in both the level of the individual,
organization and society. Researchers have previously said, was instrumental in the development
of entrepreneurial economics (Kirzner, 1973), is a vital component of productivity and growth
(Baumol, 1993), plays a role in increased investment, new business creation (Gartner, 1985), led
to job training (Brown et al, 1976) and the home-base business (Spencer Hull, 1986), increasing
employment growth (Birch, 1987), the creation of national identity and leadership (Bolton, 1971)
and with capacity management will determine the success of a business (farm performance)
(Priyanto, 2005). Schumpeter (1934) stated that entrepreneurship is a driving force behind
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economic growth, formulating new economic combination by (1) developing new products; (2)
developing new sources of materials; (3) accumulating capital resources; (4) introducing new
products and new production functions; and (5) developing or reorganizing a new industry.
Entrepreneurship was also very instrumental in the development of SMEs. Past research
has shown, small industrial low performance due to several factors such as lack of
entrepreneurial characteristics (entrepreneurial poor). Entrepreneurship becomes a driving force
that plays a role in the construction industry. Entrepreneurship can also directly influence the
performance of the business. Baum et al. (2001) says that the nature of a person (which can be
measured from the link in the face of problems, proactive attitude and passion in work), general
competencies (which can be measured from the organizational skills and the ability to see
opportunities), its specific competencies such as industry expertise and technical skills, and
motivation (which can be measured from the vision, objectives and growth of self efficacy),
positively influence the growth of the business. Similar to Baum et al. (2001), Lee and Tsang
(2001) concluded that the entrepreneurial elements such as internal locus of control, need for
achievement, extroversion, education and self reliance experience affect business growth.
According to behavioural experts (behaviourist), entrepreneurship is very instrumental in
the success of a person (Kets de Vries, 1977). Someone who has a high entrepreneurial and
managerial capabilities combined with sufficient will lead him to success in his business
(Priyanto, 2006). Entrepreneurship is also instrumental in developing a person that has want to
maximize economic achievement (Mc Clelland, 1976) and causes a person could stand the test,
be flexible, trustworthy, able to overcome his problems. Meanwhile Barkham, 1989; Pollock,
1989 in Ghosh (1999) says that the skills, attitude and information search market is a factor that
contributes to the success of the company.
Sociologists said that entrepreneurship plays a role in integrating, clicking arbitration and
set the subsystems in society and the economy (Parsons and Smelser, 1956). Those entrepreneurs
are agents of change in society where he lives (Barth, 1967). Storey (1982) argues that the
entrepreneur plays a role as the creator of the competition and job creation, as a seed in the future
and as an alternative in terms of linking the bureaucratic employer-employee. Meanwhile, Hagen
(1960) believes that the entrepreneur is able to motivate people because he was viewed as being
the elite because of his success in the business world. Entrepreneur can provide inspiration for
the community.
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Entrepreneurship
The long history of the meaning of entrepreneurship has been done. Starting from the
11th century, the meaning of entrepreneurship is merely "to do something" and yet has an
economic dimension. Further, it has known as entrepreneurship. In the 13th century, the meaning
of entrepreneurship means adventurer or an undertaker, which means adventurous and brave.
Making of entrepreneurship continues to grow. So that, in the 17th century, it comes the meaning
of improving the economics of entrepreneurship as developed by Say and Cantillon. In the 18th
century, Say continued exploration of the meaning of entrepreneurship as an activity to carry and
bring together the factors of production to be processed into the production that has value.
Entrepreneurship is the personal development of the individual to be able to have
creative, innovative, dare to try, independently and desire to move forward which enabled him to
collaborate with others and develop their business. Meanwhile, Stevenson (1983) also
distinguishes between entrepreneurship definition entrepreneurship, and business managers. All
three are different but it could be a close connection to run a business. According Priyanto
(2005), the success of a business can be achieved if employers have an entrepreneurial spirit and
capacity management together. Making of entrepreneurship developed by Saint Louis University
(1994) provide a more holistic meaning associated with the definition of entrepreneurship.
“The combination of skills, aptitudes and attitudes within individuals resulting in new
ideas, innovations, and the ability to turn opportunities into reality through the creation
of new ventures. The best entrepreneurs invent new ways to live, work, and achieve.
Successful entrepreneurship blends independence and collaboration, vision and action,
the individual and the community”.
There are some skills that should be taught in entrepreneurship education. According to Morris
and Jones (1999: 74), as follow identify and evaluate an opportunity, define a business concept,
identify the needed resources, acquire the Necessary resources, implement, operate and harvest
the venture. Meanwhile, according to Hood and Young (1993: 121-125) a few things that should
be owned by someone entrepreneurs should be included in the curriculum of entrepreneurship
education is leadership, communication (oral/written), human relations or hiring, management,
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deal-making or negotiation, logical or analytical thinking, decision-making and goal-setting, also
business plan preparation.
Entrepreneurial Learning
In the learning cycle theory, Munford (1995) states that the learning gained from the
process of learning on the experience gained in the daily activities and then summed into the
concept and value system that is used for future success. Hall (1996a) states that in the short term
learning will change a person's attitude and performance, while in the long run be able to nurture
a person's identity and power adaptability is very important for its success.
Cope and Watts (2000) states that the critical incident (critical-incident) experienced
entrepreneurs in their daily business activities contain a very high emotional content and a high
level of learning. Moreover, the importance of mentoring (mentoring) to interpret critical events
encountered as learning, so that learning becomes effective results. Sullivan (2000) emphasizes
the importance of client-mentor matching the success of coaching. He said that the knowledge,
skills, and learning can be facilitated when needed entrepreneur. Having regard to the level of
entrepreneurial life cycle. Furthermore, Rae (2000) illustrates that the development of
entrepreneurial skills is influenced by motivation, individual values, abilities, learning,
relationships, and goals he wants. Meanwhile Minniti and Bygrave (2001) prove the dynamic
model of entrepreneurial learning, entrepreneurial failure and success that will enrich and renew
the stock of knowledge and entrepreneurial attitude so that he becomes more capable in
entrepreneurship.
In connection with efforts to maintain the business, an entrepreneur needs a strong
positioning strategy and consistent in a dynamic competitive environment. This requires a
continuous improvement to manage change is to be effective so it requires a learning process
both single-loop learning to strengthen the current position and double-loop learning to find
sturdy foundation to build competitive advantage.
Whittlesea and Wright (1997) states that the accumulation of learning is one of the
intangible assets that make the capability of individuals or companies that cannot be replicated
(inimitable), especially the subtle technical knowledge (tacit knowledge).
Education and training, mentoring and learning from experience are the determining
factors of significant entrepreneurial learning. This is in accordance with the opinion of some
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experts on entrepreneurial learning (Rae, 2000; Minniti and Bygrave, 2001), the process of
education and training (Ulrich and Cole, 1987; Robinson and Sexton, 1994; Gibb, 1997; Leitch
and Horrison, 1999) and entrepreneurial learning from experience (Henderson, 1993; Rae, 2000;
Cope and Watts, 2003). Learning can be seen as a process of change and the creation of
knowledge, skills, attitudes and abilities of an entrepreneur, whether through education, training,
mentoring, or experience.
Entrepreneurial learning has positive effect on entrepreneurial competencies and business
growth. This suggests that entrepreneurial learning is performed and experienced by small
entrepreneurs in East Java leads directly to efforts to overcome the technical problems of
everyday (tacit knowledge) in an effort to grow their business, not rambling on as many of the
theoretical aspects discussed by experts.
Culture and Entreprenuership
Lambing and Kuehl (2000) state that someone level of entrepreneurship varies greatly
according to its cultures. The impact of culture and customs can be found in several studies that
show that different cultures have different values and beliefs as well. For example, the Japanese
have the achievement-oriented cultures that help an entrepreneur in running his business so
successful.
Culture also affects the image and status of the entrepreneur. One study of immigrant
entrepreneurs in Canada found that the Indian view that entrepreneurship is something positive
but otherwise Haiti respondents tend to see that entrepreneurship is a low job. In Indonesia too,
the work of civil servants, office workers have seen the value of a higher status than the
merchant or businessman.
Cultural factors which humans live also influence the level of productivity. Attitude and
outlook of a person as a result of cultural interaction are the main factors that hinder
development. In tropical communities, attitudes toward farm work is negative and work outside
is kind of jobs with low status. Many cultures are very static and there is little desire for selfimprovement, change and work. Often incentives for people who work hard and want to change
was minimal because the structure of society, particularly in the setting of feudalistic culture
where most of the resources in the hands of landlords (Beets, 1990).
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Based on several studies, it can be stated that there is a relationship between the
entrepreneurial culture (Gamage, Cameron and Woods, 2003; Kreiser, Marino, Weaver, 2003).
Saffu (2003) conducted a study on the role of culture on entrepreneurship. They say that culture
has an important role in developing entrepreneurship, both local and national culture.
METHODS
A qualitative research is utilized in this study. This study involved participants of Bali
employers, traditional leaders as key informants related to indigenous entrepreneurship in Bali.
Naturalistic observation and field research were used to obtain the data. They were asked several
questions related to the research questions. Content analysis and triangulation applied to analyze
the data.
DISCUSSION
Balinese’s Point of View about Entrepreneurship
Balinese community are too complacent and belog ajum (attitude despite losing flattery)
in the tourism industry and the flattery as an artist. As a result, most of the people do not have the
skills and professional competence in the informal sector. The opportunities that available are
filled by immigrants. The entrants
traded on the sidewalk, set up a tent in the terminal
merchandise, carrying his wares around the village. The goods are sold, such as meatballs, corn
on the cob, fried bananas and even pecel lele that should be sold by the Balinese. The entrants
who controlled the informal sector are ranging from roadside stalls, either wagon or semipermanent use, not only in the city of Denpasar, but also in the whole of Bali.
Dhyana (2009: 22-23) mentions at least three things cause the Balinese economy less
compete with the immigrants: 1) during these manners Bali too busy to improve the quality of
human resources education, but not accompanied with the ability, skills and confidence
themselves to create their own jobs. In addition, it is the government's own programs and
projects giving less employment opportunities; 2) the lack of competitiveness of human
resources in general Bali. Because Bali has the human resources support things like material
wealth inherited the previous generation (parents), usually in the form of land inheritance, until
finally a willingness to compete in the work (especially in the informal sector) minimal and the
opportunity was used by the entrants ; 3) lack of manners Bali itself to the spirit of the Balinese
who tried on the informal sector.
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Lack of krama Bali involves in informal businesses such as opening a food stall, Jinggo
rice; Bali but manners are more likely to buy food at informal businesses run by immigrants and
happen to have a famous name. In contrast, the newcomers are very rarely wanted to shop in an
informal enterprises (particularly food stalls) managed manners Bali for doubting halal food
being served.
On the other hand, the tendency of the Balinese choose a job, which means not all the
jobs will be taken, especially in the informal sector employment is fairly rough. Emptiness is the
informal sector which is then taken and filled by immigrants. For example, a variety of jobs such
as masons, carpenters dig roads, street vendors, barbers - everything is tenacious and creative
exploited by immigrants as job opportunities, while the original Balinese people embarrassed
and prestige. Krama Bali are less nimble in competing with entrants, other than because of the
prestige, also confines of tradition, so there are anxiety eliminating or cutting tradition.
Knowing the Social, Cultural and Economic Values that Influence Entrepreneurial Bali
Bali Ajeg concept has been the basis for building a new economic concept (sort of Sharia
Hindu), to strengthen the Hindu society economy and able them to compete with the newcomers.
From this, it was born the concept of cooperative programs Karma Bali in May 2002 in order to
establish revive the economy of the people of Bali (Balinese), thus empowering Ajeg Bali
stronger. Karma Bali is an institution engaged in the field of entrepreneurship for people who
only have limited capital. Karma Bali is called to embody the ideals and aspirations of manners
Bali to find themselves. With the Karma Bali is expected to become the pillars of the economic
revival of the people of Bali, so Ajeg Bali stronger and able to establish the identity of the bull
Bali Krama economic resilience and social culture (Kiswardi 2006: 13).
Karma Bali program is prioritized to the local residents. Local residents are encouraged
to pursue the informal sector, such as handicrafts, barbers, and electronics stores. The efforts to
provide convenience for local residents in trying apparently accompanied by a variety of
restrictions and discrimination against immigrants. Mariyah (2006 in Suryawan 2009: 140) notes
that restrictions for immigrants, especially street vendors not to sell in certain places or there is
extortion by Pecalang, in addition to official fees paid every day.
Knowing the Enabling and Inhibiting Factors in the Balinese Entrepreneurial
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Bali is rich in valuable cultural values, religion and harmony. This is not out of the basic
potential contained in the basic concepts underlying building structure and culture of Bali
(Mantra, 1996: 25-26; Mantra 1990: 41-42; Sulistyawati 2008: 50-51) as follow.
First, the RWA-bhineda. This concept is a two-lists and in life there are always two
opposing categories, which is good and bad, sacred and profane, upstream and downstream. His
influence in life is dynamic and the receipt of reality and cause the fight to go good. Literally, it
defined as two different things, namely goodness (dharma) and bad (adharma). Balinese people
believe that good will always win against evil. In practice, the meaning of evil and goodness is
shown from Balinese cloth colour checked black-and-white chess, where the two colours are
placed alternately. This shows that the Balinese recognition both of these will always be present
in human life. In addition, also be interpreted as recognition of the people of Bali will be the
difference, pluralism, and multiculturalism in terms of social structure and attitudes toward
immigrants and others (Parimartha 2003 in Zuhro et al 2009: 208).
Secondly, Desa, Kala, Patra and Desa Mawa, Cara. Desa Kala Patra is the concept of
space (desa), time (kala) and the real situation on the ground (patra); adjust to the circumstances
and time in dealing with problems. This shows the acceptance of the fact of life that in the
presence of diversity or uniformity in unity. This concept provides the basis flexible in its
communication to the outside and into and accepts differences and variation by a factor, the time
and circumstances. In other words, this concept led to the culture of Bali is flexible and selective
in accepting and adopting external cultural influences. While the concept of desa mawa shows
that the Balinese way acknowledge differences in the behaviour of habitual or customary every
village and every citizen of Bali is therefore called upon to act in accordance with the place
where it is located. It leads to an initial understanding of openness and tolerance embedded in the
culture of Bali.
Third, Tri Hita Karana (Tri: three, Hita: happiness and karana: cause). Tri Hita Karana
means three causes of happiness, namely: God (Parahyangan), human (Pawongan), and natural
or residence (weakening). In the concept of harmony, in tune with God (vertical), harmony
between human beings and society (horizontal) and in harmony with nature or the environment
(diagonal). Thus, through this concept taught fend harmonious relationship pattern between these
three elements to achieve "Moksartham jagadithiya ca iti dharma" (achieving temporal welfare
and happiness of spiritual life in harmony and balance).
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Fourth, Tatwamasi. It means I was you, you are me. Humans are intrinsically one, thus
hurting the other person the same as hurting yourself. Fifth, Karmapala. That is, the result of an
act. An outlook and belief that every act must bring certain results. Who would dare to do
anything, he himself will get results. Sixth, Taksu. Taksu is power in which the members of
intelligence, beauty and miracles. In relation to the activity of Balinese culture, creativity taksu
meant as a pure culture (genuine creativity) which gives spiritual power to one of the artist to
express himself larger than his daily life
CONCLUSION
Based on the findings, we concluded that karma Bali less nimble in competing with
entrants, other than because of the prestige, also confines of tradition, so there are anxiety
eliminating or cutting tradition. They do not have a strong passion to be an entrepreneur. If it
happen, there are only a little number of Balinese entrepreneur. Most of the activities conducted
were influenced by the Balinese social and cultural values. According to the economics value,
the entrepreneurs had the effort to achieve their best economics condition. The entrepreneurial of
Balinese was still influenced by the social and cultural values.
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Influence the Balinese’s Entrepreneurial Development
Eristia Lidia Paramita
eristia.paramita@staff.uksw.edu
Faculty of Economics and Business, Satya Wacana Christian University, Salatiga, Indonesia
I Wayan Damayana
wdamayana@gmail.com
Dhyana Pura University, Bali, Indonesia
Christantius Dwiatmadja
christantius.dwiatmadja@staff.uksw.edu
Faculty of Economics and Business, Satya Wacana Christian University, Salatiga, Indonesia
Abstract
Culture is unique. The interaction between culture and conception of cultural dimensions
allow to see greater complexity in relation to the other characteristics of the environment. In such a
context, this study has not been made; especially engage the culture and customs typically in Bali. The
purposes of this research are to describe the perception of Balinese’s people on entrepreneurship; find
out the values of social, cultural and economic influence of the Balinese entrepreneurship; find the
supporting and inhibiting factors in entrepreneurship (entrepreneurial) of Balinese.
The qualitative method was used. This study involved participants of Bali employers,
traditional leaders as key informants related to indigenous entrepreneurship in Bali. Naturalistic
observation and field research were used to obtain the data.
The findings showed that there were only a little numbers of Balinese entrepreneurs. Most of
the activities conducted were influenced by the Balinese social and cultural values. According to the
economics value, the entrepreneurs had the effort to achieve their best economics condition. The
entrepreneurial of Balinese was still influenced by the social and cultural values.
Keywords: indigenous entrepreneurship, social value, culture value, Bali
BACKGROUND
Economic Resilience karma (residents) Bali is absolutely necessary for humans Bali.
Because of this, empowering movement to further pursue the informal sector is very important,
as well as to respond to the fact that "the Balinese sell land to buy meatballs, while newcomer
sells meatballs to buy land". Cooperative Krama Bali is a place and move the human identity of
steady economic Bali (Naradha: May 2002)
At the beginning of the formation, this place is engaged in the conduct entrepreneurship
training to make meatballs, Coto, and Balinese satay and haircut, also provides capital grants or
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loans, received overwhelming response and attracted a lot of manners to practice it. But after
nearly 10 years running is not easy we meet again sellers meatballs, Coto, and manners Balinese
satay, even by the centre-by Cooperative manners Bali in Kuta, has been occupied by merchants
of the entrants.
Starting from the phenomenon, related to the gap theory of social construction of
entrepreneurship, and has not been sufficient publicity involving cultural / traditional Balinese
with regard to entrepreneurship. Although in general a lot of studies have shown variable has an
influence on entrepreneurial culture, has even become a theory and models, but greater attention
should be given to the interaction between cultural dimensions and conceptions which allows to
see the other characteristics of the environment. This is the reason for doing this research.
The purpose of this study are to describe how society's view of Bali (Balinese) about
entrepreneurship, knowing the values of social, cultural and economic influence entrepreneurial
Bali, knowing the process of formation of entrepreneurial people of Bali, and describe the
enabling and inhibiting factors in the (entrepreneurial) Bali.
LITERATURE REVIEW
The Importance of Entrepreneurship
In the early 20th century, entrepreneurship becomes an important role in economic
development. Schumpeter (1934) said that if a country has a lot of entrepreneurs, the country has
a high economic growth, which will bear the high economic development. Entrepreneurship is a
driving force behind economic growth. Further, Kirzner (1973) says that entrepreneurship is an
important part in the development.
One cause of failure in achieving economic growth and economic development of a
country are because of the lack of entrepreneurship in both the level of the individual,
organization and society. Researchers have previously said, was instrumental in the development
of entrepreneurial economics (Kirzner, 1973), is a vital component of productivity and growth
(Baumol, 1993), plays a role in increased investment, new business creation (Gartner, 1985), led
to job training (Brown et al, 1976) and the home-base business (Spencer Hull, 1986), increasing
employment growth (Birch, 1987), the creation of national identity and leadership (Bolton, 1971)
and with capacity management will determine the success of a business (farm performance)
(Priyanto, 2005). Schumpeter (1934) stated that entrepreneurship is a driving force behind
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economic growth, formulating new economic combination by (1) developing new products; (2)
developing new sources of materials; (3) accumulating capital resources; (4) introducing new
products and new production functions; and (5) developing or reorganizing a new industry.
Entrepreneurship was also very instrumental in the development of SMEs. Past research
has shown, small industrial low performance due to several factors such as lack of
entrepreneurial characteristics (entrepreneurial poor). Entrepreneurship becomes a driving force
that plays a role in the construction industry. Entrepreneurship can also directly influence the
performance of the business. Baum et al. (2001) says that the nature of a person (which can be
measured from the link in the face of problems, proactive attitude and passion in work), general
competencies (which can be measured from the organizational skills and the ability to see
opportunities), its specific competencies such as industry expertise and technical skills, and
motivation (which can be measured from the vision, objectives and growth of self efficacy),
positively influence the growth of the business. Similar to Baum et al. (2001), Lee and Tsang
(2001) concluded that the entrepreneurial elements such as internal locus of control, need for
achievement, extroversion, education and self reliance experience affect business growth.
According to behavioural experts (behaviourist), entrepreneurship is very instrumental in
the success of a person (Kets de Vries, 1977). Someone who has a high entrepreneurial and
managerial capabilities combined with sufficient will lead him to success in his business
(Priyanto, 2006). Entrepreneurship is also instrumental in developing a person that has want to
maximize economic achievement (Mc Clelland, 1976) and causes a person could stand the test,
be flexible, trustworthy, able to overcome his problems. Meanwhile Barkham, 1989; Pollock,
1989 in Ghosh (1999) says that the skills, attitude and information search market is a factor that
contributes to the success of the company.
Sociologists said that entrepreneurship plays a role in integrating, clicking arbitration and
set the subsystems in society and the economy (Parsons and Smelser, 1956). Those entrepreneurs
are agents of change in society where he lives (Barth, 1967). Storey (1982) argues that the
entrepreneur plays a role as the creator of the competition and job creation, as a seed in the future
and as an alternative in terms of linking the bureaucratic employer-employee. Meanwhile, Hagen
(1960) believes that the entrepreneur is able to motivate people because he was viewed as being
the elite because of his success in the business world. Entrepreneur can provide inspiration for
the community.
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Entrepreneurship
The long history of the meaning of entrepreneurship has been done. Starting from the
11th century, the meaning of entrepreneurship is merely "to do something" and yet has an
economic dimension. Further, it has known as entrepreneurship. In the 13th century, the meaning
of entrepreneurship means adventurer or an undertaker, which means adventurous and brave.
Making of entrepreneurship continues to grow. So that, in the 17th century, it comes the meaning
of improving the economics of entrepreneurship as developed by Say and Cantillon. In the 18th
century, Say continued exploration of the meaning of entrepreneurship as an activity to carry and
bring together the factors of production to be processed into the production that has value.
Entrepreneurship is the personal development of the individual to be able to have
creative, innovative, dare to try, independently and desire to move forward which enabled him to
collaborate with others and develop their business. Meanwhile, Stevenson (1983) also
distinguishes between entrepreneurship definition entrepreneurship, and business managers. All
three are different but it could be a close connection to run a business. According Priyanto
(2005), the success of a business can be achieved if employers have an entrepreneurial spirit and
capacity management together. Making of entrepreneurship developed by Saint Louis University
(1994) provide a more holistic meaning associated with the definition of entrepreneurship.
“The combination of skills, aptitudes and attitudes within individuals resulting in new
ideas, innovations, and the ability to turn opportunities into reality through the creation
of new ventures. The best entrepreneurs invent new ways to live, work, and achieve.
Successful entrepreneurship blends independence and collaboration, vision and action,
the individual and the community”.
There are some skills that should be taught in entrepreneurship education. According to Morris
and Jones (1999: 74), as follow identify and evaluate an opportunity, define a business concept,
identify the needed resources, acquire the Necessary resources, implement, operate and harvest
the venture. Meanwhile, according to Hood and Young (1993: 121-125) a few things that should
be owned by someone entrepreneurs should be included in the curriculum of entrepreneurship
education is leadership, communication (oral/written), human relations or hiring, management,
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deal-making or negotiation, logical or analytical thinking, decision-making and goal-setting, also
business plan preparation.
Entrepreneurial Learning
In the learning cycle theory, Munford (1995) states that the learning gained from the
process of learning on the experience gained in the daily activities and then summed into the
concept and value system that is used for future success. Hall (1996a) states that in the short term
learning will change a person's attitude and performance, while in the long run be able to nurture
a person's identity and power adaptability is very important for its success.
Cope and Watts (2000) states that the critical incident (critical-incident) experienced
entrepreneurs in their daily business activities contain a very high emotional content and a high
level of learning. Moreover, the importance of mentoring (mentoring) to interpret critical events
encountered as learning, so that learning becomes effective results. Sullivan (2000) emphasizes
the importance of client-mentor matching the success of coaching. He said that the knowledge,
skills, and learning can be facilitated when needed entrepreneur. Having regard to the level of
entrepreneurial life cycle. Furthermore, Rae (2000) illustrates that the development of
entrepreneurial skills is influenced by motivation, individual values, abilities, learning,
relationships, and goals he wants. Meanwhile Minniti and Bygrave (2001) prove the dynamic
model of entrepreneurial learning, entrepreneurial failure and success that will enrich and renew
the stock of knowledge and entrepreneurial attitude so that he becomes more capable in
entrepreneurship.
In connection with efforts to maintain the business, an entrepreneur needs a strong
positioning strategy and consistent in a dynamic competitive environment. This requires a
continuous improvement to manage change is to be effective so it requires a learning process
both single-loop learning to strengthen the current position and double-loop learning to find
sturdy foundation to build competitive advantage.
Whittlesea and Wright (1997) states that the accumulation of learning is one of the
intangible assets that make the capability of individuals or companies that cannot be replicated
(inimitable), especially the subtle technical knowledge (tacit knowledge).
Education and training, mentoring and learning from experience are the determining
factors of significant entrepreneurial learning. This is in accordance with the opinion of some
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experts on entrepreneurial learning (Rae, 2000; Minniti and Bygrave, 2001), the process of
education and training (Ulrich and Cole, 1987; Robinson and Sexton, 1994; Gibb, 1997; Leitch
and Horrison, 1999) and entrepreneurial learning from experience (Henderson, 1993; Rae, 2000;
Cope and Watts, 2003). Learning can be seen as a process of change and the creation of
knowledge, skills, attitudes and abilities of an entrepreneur, whether through education, training,
mentoring, or experience.
Entrepreneurial learning has positive effect on entrepreneurial competencies and business
growth. This suggests that entrepreneurial learning is performed and experienced by small
entrepreneurs in East Java leads directly to efforts to overcome the technical problems of
everyday (tacit knowledge) in an effort to grow their business, not rambling on as many of the
theoretical aspects discussed by experts.
Culture and Entreprenuership
Lambing and Kuehl (2000) state that someone level of entrepreneurship varies greatly
according to its cultures. The impact of culture and customs can be found in several studies that
show that different cultures have different values and beliefs as well. For example, the Japanese
have the achievement-oriented cultures that help an entrepreneur in running his business so
successful.
Culture also affects the image and status of the entrepreneur. One study of immigrant
entrepreneurs in Canada found that the Indian view that entrepreneurship is something positive
but otherwise Haiti respondents tend to see that entrepreneurship is a low job. In Indonesia too,
the work of civil servants, office workers have seen the value of a higher status than the
merchant or businessman.
Cultural factors which humans live also influence the level of productivity. Attitude and
outlook of a person as a result of cultural interaction are the main factors that hinder
development. In tropical communities, attitudes toward farm work is negative and work outside
is kind of jobs with low status. Many cultures are very static and there is little desire for selfimprovement, change and work. Often incentives for people who work hard and want to change
was minimal because the structure of society, particularly in the setting of feudalistic culture
where most of the resources in the hands of landlords (Beets, 1990).
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Based on several studies, it can be stated that there is a relationship between the
entrepreneurial culture (Gamage, Cameron and Woods, 2003; Kreiser, Marino, Weaver, 2003).
Saffu (2003) conducted a study on the role of culture on entrepreneurship. They say that culture
has an important role in developing entrepreneurship, both local and national culture.
METHODS
A qualitative research is utilized in this study. This study involved participants of Bali
employers, traditional leaders as key informants related to indigenous entrepreneurship in Bali.
Naturalistic observation and field research were used to obtain the data. They were asked several
questions related to the research questions. Content analysis and triangulation applied to analyze
the data.
DISCUSSION
Balinese’s Point of View about Entrepreneurship
Balinese community are too complacent and belog ajum (attitude despite losing flattery)
in the tourism industry and the flattery as an artist. As a result, most of the people do not have the
skills and professional competence in the informal sector. The opportunities that available are
filled by immigrants. The entrants
traded on the sidewalk, set up a tent in the terminal
merchandise, carrying his wares around the village. The goods are sold, such as meatballs, corn
on the cob, fried bananas and even pecel lele that should be sold by the Balinese. The entrants
who controlled the informal sector are ranging from roadside stalls, either wagon or semipermanent use, not only in the city of Denpasar, but also in the whole of Bali.
Dhyana (2009: 22-23) mentions at least three things cause the Balinese economy less
compete with the immigrants: 1) during these manners Bali too busy to improve the quality of
human resources education, but not accompanied with the ability, skills and confidence
themselves to create their own jobs. In addition, it is the government's own programs and
projects giving less employment opportunities; 2) the lack of competitiveness of human
resources in general Bali. Because Bali has the human resources support things like material
wealth inherited the previous generation (parents), usually in the form of land inheritance, until
finally a willingness to compete in the work (especially in the informal sector) minimal and the
opportunity was used by the entrants ; 3) lack of manners Bali itself to the spirit of the Balinese
who tried on the informal sector.
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Lack of krama Bali involves in informal businesses such as opening a food stall, Jinggo
rice; Bali but manners are more likely to buy food at informal businesses run by immigrants and
happen to have a famous name. In contrast, the newcomers are very rarely wanted to shop in an
informal enterprises (particularly food stalls) managed manners Bali for doubting halal food
being served.
On the other hand, the tendency of the Balinese choose a job, which means not all the
jobs will be taken, especially in the informal sector employment is fairly rough. Emptiness is the
informal sector which is then taken and filled by immigrants. For example, a variety of jobs such
as masons, carpenters dig roads, street vendors, barbers - everything is tenacious and creative
exploited by immigrants as job opportunities, while the original Balinese people embarrassed
and prestige. Krama Bali are less nimble in competing with entrants, other than because of the
prestige, also confines of tradition, so there are anxiety eliminating or cutting tradition.
Knowing the Social, Cultural and Economic Values that Influence Entrepreneurial Bali
Bali Ajeg concept has been the basis for building a new economic concept (sort of Sharia
Hindu), to strengthen the Hindu society economy and able them to compete with the newcomers.
From this, it was born the concept of cooperative programs Karma Bali in May 2002 in order to
establish revive the economy of the people of Bali (Balinese), thus empowering Ajeg Bali
stronger. Karma Bali is an institution engaged in the field of entrepreneurship for people who
only have limited capital. Karma Bali is called to embody the ideals and aspirations of manners
Bali to find themselves. With the Karma Bali is expected to become the pillars of the economic
revival of the people of Bali, so Ajeg Bali stronger and able to establish the identity of the bull
Bali Krama economic resilience and social culture (Kiswardi 2006: 13).
Karma Bali program is prioritized to the local residents. Local residents are encouraged
to pursue the informal sector, such as handicrafts, barbers, and electronics stores. The efforts to
provide convenience for local residents in trying apparently accompanied by a variety of
restrictions and discrimination against immigrants. Mariyah (2006 in Suryawan 2009: 140) notes
that restrictions for immigrants, especially street vendors not to sell in certain places or there is
extortion by Pecalang, in addition to official fees paid every day.
Knowing the Enabling and Inhibiting Factors in the Balinese Entrepreneurial
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Bali is rich in valuable cultural values, religion and harmony. This is not out of the basic
potential contained in the basic concepts underlying building structure and culture of Bali
(Mantra, 1996: 25-26; Mantra 1990: 41-42; Sulistyawati 2008: 50-51) as follow.
First, the RWA-bhineda. This concept is a two-lists and in life there are always two
opposing categories, which is good and bad, sacred and profane, upstream and downstream. His
influence in life is dynamic and the receipt of reality and cause the fight to go good. Literally, it
defined as two different things, namely goodness (dharma) and bad (adharma). Balinese people
believe that good will always win against evil. In practice, the meaning of evil and goodness is
shown from Balinese cloth colour checked black-and-white chess, where the two colours are
placed alternately. This shows that the Balinese recognition both of these will always be present
in human life. In addition, also be interpreted as recognition of the people of Bali will be the
difference, pluralism, and multiculturalism in terms of social structure and attitudes toward
immigrants and others (Parimartha 2003 in Zuhro et al 2009: 208).
Secondly, Desa, Kala, Patra and Desa Mawa, Cara. Desa Kala Patra is the concept of
space (desa), time (kala) and the real situation on the ground (patra); adjust to the circumstances
and time in dealing with problems. This shows the acceptance of the fact of life that in the
presence of diversity or uniformity in unity. This concept provides the basis flexible in its
communication to the outside and into and accepts differences and variation by a factor, the time
and circumstances. In other words, this concept led to the culture of Bali is flexible and selective
in accepting and adopting external cultural influences. While the concept of desa mawa shows
that the Balinese way acknowledge differences in the behaviour of habitual or customary every
village and every citizen of Bali is therefore called upon to act in accordance with the place
where it is located. It leads to an initial understanding of openness and tolerance embedded in the
culture of Bali.
Third, Tri Hita Karana (Tri: three, Hita: happiness and karana: cause). Tri Hita Karana
means three causes of happiness, namely: God (Parahyangan), human (Pawongan), and natural
or residence (weakening). In the concept of harmony, in tune with God (vertical), harmony
between human beings and society (horizontal) and in harmony with nature or the environment
(diagonal). Thus, through this concept taught fend harmonious relationship pattern between these
three elements to achieve "Moksartham jagadithiya ca iti dharma" (achieving temporal welfare
and happiness of spiritual life in harmony and balance).
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Fourth, Tatwamasi. It means I was you, you are me. Humans are intrinsically one, thus
hurting the other person the same as hurting yourself. Fifth, Karmapala. That is, the result of an
act. An outlook and belief that every act must bring certain results. Who would dare to do
anything, he himself will get results. Sixth, Taksu. Taksu is power in which the members of
intelligence, beauty and miracles. In relation to the activity of Balinese culture, creativity taksu
meant as a pure culture (genuine creativity) which gives spiritual power to one of the artist to
express himself larger than his daily life
CONCLUSION
Based on the findings, we concluded that karma Bali less nimble in competing with
entrants, other than because of the prestige, also confines of tradition, so there are anxiety
eliminating or cutting tradition. They do not have a strong passion to be an entrepreneur. If it
happen, there are only a little number of Balinese entrepreneur. Most of the activities conducted
were influenced by the Balinese social and cultural values. According to the economics value,
the entrepreneurs had the effort to achieve their best economics condition. The entrepreneurial of
Balinese was still influenced by the social and cultural values.
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