Transformation and Design of Social Capital for the Survival of Small Industry enterprise in Kawangkoan District Minahasa North Sulawesi

Abstract

This study aims at revealing the forms of social capital in the economic activities of the small industry Kacang Tore, the transformation process of social capital into economic capital and an ideal design of social capital for developing the small industry Kacang Tore. The study employs qualitative approach by using taxonomy and domain analysis. The findings show that the forms of social capital comprise reciprocity, trust, networks, and norm. Whereas the transformation process of the social capital into economic capital for obtaining material, information for marketing the product in low cost promotion, accessing financial resources, finding new jobs, knowledge absorption, and business pioneering and protection. Ideally, the existing social capital is necessarily upheld, however it remains to be in need of improvement in the purpose of handling weaknesses faced by the small industry Kacang Tore, in turn, maintaining its existence amidst recent strict competitive atmosphere