Entrepreneurship as a Base Micro Small Medium in Strengthening the Economy in South SulawesiIndonesia

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This type of qualitative Research through phenomenology approach, Small and medium enterprises has proved influential on the economy, especially in addressing the problems of unemployment, poverty, the community's source of income and problems that occur in the community. Develop Small Medium Enterprises can be done by providing education, understanding and a good understanding of entrepreneurship tips is good and correct. Versatile modern technology as it currently can be studied by aspiring businessmen so as not to miss and venture to be built can be designed with the appropriate engine to be used.
  Volume 3, Issue 1, January  –   2018 International Journal of Innovative Science and Research Technology ISSN No:-2456  –  2165 IJISRT18JA220 www.ijisrt.com 546 Entrepreneurship As A Base Micro Small Medium in Strengthening the Economy in South Sulawesi, Indonesia Dr. Hj Mariana Tenreng MS Professor of Economics Faculty of the East Indonesia University Arifin Idrus MM Lecturer of High School Economic Makassar ( Stiem Bongaya ) Abstract:-This type of qualitative Research through phenomenology approach, Small and medium enterprises has proved influential on the economy, especially in addressing the problems of unemployment, poverty, the community's source of income and problems that occur in the community. Develop Small Medium Enterprises can be done by providing education, understanding and a good understanding of entrepreneurship tips is good and correct. Versatile modern technology as it currently can be studied by aspiring businessmen so as not to miss and venture to be built can be designed with the appropriate engine to be used. Keywords:-  Business, Challenge, Strategy, Small Medium Enterprises I.   INTRODUCTION Small and medium enterprises to process natural resources and human resources with a maximum mean in small  businesses run then the resources used will be used u. s. best us possible with good management, as well as the business owners can keep tabs on the use of resources used directly, unlike large enterprises that use the natural resources and human resources in large numbers but sometimes can't capitalize on everything possible to produce quality products and to get profit which is great. On one side of the business is also important to have good management and understanding in analyzing financial reports and noted, that is not the case the error will make a lot of harm to business owners. The existence of good management in financial record-keeping business owners would be more wise in disbursing the funds owned to advance his efforts and know a good financial records to become the data calculation in ã determine and how much capital should be spent and how much profit to be gained. Good management is important in have in addition to improving the quality of business activities also needed to face competition in the world economy that is increasingly tight. An increasingly globalizing economy conditions cause the territorial boundaries of a country's economy becomes increasingly widespread, it resulted in the emergence of new challenges in small and medium enterprises. The challenges come not only comes from the challenge local or in the country as a challenge between companies in the country,  but the challenge comes from abroad. Challenges will enhance competitiveness of higher interbank trade the one with other businessmen raised. Challenges from the domestic price competition may take the form of goods,  products, advertisements and so on. While the challenges that come from abroad is the influx of foreign products of good quality, low price, and so on. So the consumer can at any time to switch to other products in the era of globalization the U.S. currently, competition between  businessmen raised getting high and demanding business to continually honing his creativity in creating new innovations, producing a quality product and a good sales strategy this needs to be done to attract the interest of the consumers and to produce the highest possible profit. Big  profit obtained will be used to develop existing business in order to be great, and in other words the larger effort will require more workers. Small and medium business is a  business that has a workforce totaling 5 s. d 19 people, while medium-sized businesses is a business that has a workforce totaling 20 s. d 99 people. The problems faced by small and medium enterprises among others the US follows: lack of capital, as the capital of their own business owners money. The difficulty in marketing, utilizing less use of internet media in the marketing of its products a simple organizational structure with the Division of labor that is not raw, quality management is low, since each business owners and workers have different levels of education in natural resources and human resources are limited and low qualified, does not have the financial statements are complete and accurate , that aspect of the legality of a weak, low use of technology Less fixing products. These problems led to the high business competition, weak support, network difficult for the perpetrators of the attempt to suppress the amount of costs incurred when the game was so bad, the profits gained a bit and don't have a lot of competitive advantages in market competition. In addition the constraints or issues that are perceived by the majority of Small Medium Enterprises are scattered throughout the area. Some fields that require mentoring and reinforcement of which production techniques, marketing and financial management, which often become their  Volume 3, Issue 1, January  –   2018 International Journal of Innovative Science and Research Technology ISSN No:-2456  –  2165 IJISRT18JA220 www.ijisrt.com 547 complaints. This is where the role of an escort is needed to facilitate offender Small Medium Enterprises to make their  businesses grow and thrive. A wide variety of forms of mentoring services provided of course should be based on the needs of each. In addition, there must be a real strategy of encouraging Small Medium Enterprises rising levels (scaling up strategy) are integrated and sustained by pushing the quantity, quality and continuity of products Small Medium Enterprises. Similarly there must be support macros in the form of improvement of investment climate, legal certainty, infrastructure improvements and reduce  bureaucracy convoluted. The provincial Government of South Sulawesi with various program priorities that have  been implemented in an attempt to increase the acceleration of economic development in the region as the strategic  policies and programs that involve the whole community in  particular elements of the economy have contributed to the attainment of economic growth against the real South Sulawesi has achieved above-average 8 percent each year. South Sulawesi is above the national average of economic growth, with a per capita income also increasing from year to year. We are increasingly convinced that the per capita income for the community of South Sulawesi can reach above 30 million dollars per year in 2018. Technological developments in the current era of globalization affects the attitude and behavior of the public in consuming, selecting, and using a product which is  proved to have quality and good quality. Businessmen raised are expected to understand and study the use of new technology so that it can be competitive with other products that also use more modern technology. The businessmen raised can make a product look more attractive by making us attractive designs of the US possible and of course must  be adapted to the trend of a growing community. In addition to electronic media and newspapers, the Entrepreneur can also utilize the internet to help advertise, market products that are made so that consumers know it, both the consumer srcinating from the region, beyond the region until society all over the world will more easily find out the products that are made over the internet. The UMKM credit in South Sulawesi on March 2017 increasingly rapid rise quite significantly with the alias serves against total loans also increased. The condition is increasingly expresses the position of the SMEC as the economic underpinning of South Sulawesi Chief Representative Office region (KPw) Bi in South Sulawesi, Wiwiek Sisto Widayat, explains, the UMKM credit in South Sulawesi on Maret 2017 recorded Rp33,99 trillion or grew 9.26% (yoy). The figure is higher than the growth in February 2017 and then recorded of 7.48% (yoy). Credit growth highest secondary credits by smec 17.13 percent (yoy). Followed microcredit 6.16 percent (yoy) and small credit 5.12 per cent (yoy), said a press conference, wiwiek, wednesday (3/5/17). Wiwiek, say, an increase in the share of small medium enterprises credit small medium enterprises to the total banking credit recorded 32.44%, an increase compared to February 2016 recorded retained 32.19%. small medium enterprises business field credit processing industry increased the most high. Credit growth highest recorded on the field the UMKM business processing industry 202.45 percent. Followed by health services and social activities 49.19 percent (yoy) and agricultural  business field, hunting and forestry 27.69 percent, he said. In the share of credit, small medium enterprises dominated the field large and retail trade venture 53.35%, business  processing industry field 14.71% and agricultural business field, hunting and forestry 6.81%. Spatial UMKM credit in South Sulawesi are still concentrated in the city of Makassar 56.50%, followed by the town of Parepare 6.94% and Palopo 3.69%. Meanwhile, the channeling of credit continue to grow is expected to increasingly spur smec riding classes. our expectations in south Sulawesi smec fast rising class. The process class that ride the main access to capital  because thereby production will be smooth, the product will  be getting better and the turnover of the product will increase. All started from the access to capital, In South Sulawesi, the growth of small medium enterprises shows a very good figure. This is demonstrated in the period 2006 until mid-2015. Based on data released by the department of cooperatives and small medium enterprises of South Sulawesi province in June 2015, the number of micro enterprises small and medium enterprises in the province has reached the 916,232 business units. Most of the business units is still classified in the form of small and micro enterprises. This is due to the condition of capital constraints, limitations of the quality of human resources and marketing access owned by small entrepreneurs Of a total of small medium enterprises in south Sulawesi, the number of small medium enterprises to trade sector reached the 408,677 business unit, the service sector reached the 214,567 business unit, 108,134 unit production sector and industry as much as 16,745 business unit. The rest manage other productive sectors. As for the number of registered cooperatives in south Sulawesi when it reached 8,555 cooperatives, including cooperative 3,097 inactive. II.   FORMULATION OF THE PROBLEM How the strategy of small medium enterprises in the face of  business competition in south Sulawesi III.   LITERATURE REVIEW  A.    Entrepreneurship Literally Entrepreneurship consists of basic word entrepreneur gets the prefix suffix Ness ked's, so that it can  be interpreted as entrepreneurship are things associated with self-employment. While the wira means courage and effort means business activity is commercial or non-commercial, so that entrepreneurship can also be interpreted as the courage of someone to carry out a business activity. In the United Kingdom is a entrepreneurial language, the term was first introduced by Richard Cantillon, an economist with France. According to him, the entrepreneur is agent who buys means of production at certain prices in order to combine them. In the not too long, other French  Volume 3, Issue 1, January  –   2018 International Journal of Innovative Science and Research Technology ISSN No:-2456  –  2165 IJISRT18JA220 www.ijisrt.com 548 economist-Jean Baptista Say adding the definition to the concept of Cantillon entrepreneur as leader. In General a lot once the definitions put forward by experts, about entrepreneurship, below I am going to reproduce some of the opinion, drawn from a variety of sources:   Richard Cantillon in Hardi Utomo States Entrepreneurship is defined as the work itself (self employment). An entrepreneurship gives the current item at a certain price and sell it on a future with uncertain prices. So this definition more emphasis on how someone facing a risk or uncertainty.   Suryana in Anna Afi Hayy and Agus Suharsono explained that entrepreneurship is the ability to be creative and innovative base, tips and resources for finding opportunities to success. The essence of entrepreneurship is the ability to create something new and different (create new and different) through creative and innovative thinking.   Israel Kirzner in Hardi Utomo (2010:99) Entrepreneurship recognizing and acting on opportunities of the market. Glueck in Prima Donna, Amrizal and Eva stated that entrepreneurship is composed of individuals who start their  business or their efforts from the beginning. Harvey Leibenstein (1968, 1979), posited, entrepreneurship encompasses activities needed to create or enforce the company at a time when all markets are not yet formed or has not been clearly identified, or components of the  production function is not yet fully known.   Penrose (1963): Entrepreneurial Activity include identify opportunities within the economic system. The capacity or ability of different managerial capacity of entrepreneurship. Frank Knight (1921): Entrepreneur trying to predict and addressing changes in the market. This definition emphasizes the role of the entrepreneur in the face of uncertainty on the market dynamics. An entrepreneur as required to carry out the basic managerial functions such as direction and supervision.   a). The purpose of Entrepreneurship A sociologist named David McCleland argued that, if a country wants to be prosperous, a minimum number of 2% of the overall percentage of the population in those countries to become entrepreneur, Indonesia itself to date according to a research population into new entrepreneurial about 0.18%, Indonesia lags behind the economy's condition is far from neighbouring countries namely Singapore who have entrepreneurial percentage of 7%, Malaysia 5% Chinese, 10% should, especially if compared to the United States a superpower that was almost 13% of the population being the entrepreneur. Thus, by developing knowledge about entrepreneurship, will uplift the community Indonesia especially the younger generation or the students, to create jobs with entrepreneurship, not just a job seeker (job seeking). With the spirit of nationalism is based on that nation Indonesia should be able to compete in the world economy scene, it will be a lot of students who are motivated to improve the quality of himself and brainstorm creative ideas in the field of entrepreneurship that high competitive power. Why with the more the entrepreneur sector in the country will improve the country's competitiveness? I think the answer is quite clear. First, a country that has a lot of  businesspeople will certainly get a great income from tax sectors, on the economic activity they do, just imagine if a country too many civil servants are unproductive or even less, then they each month takes up the State budget to hire them, but their investments on the national economy was minimal both in terms of taxes as well as levels of consumption. Why with the more the entrepreneur sector in the country will improve the country's competitiveness?, I think the answer is quite clear. First, a country that has a lot of  businesspeople will certainly get a great income from tax sectors, on the economic activity they do, just imagine if a country too many civil servants are unproductive or even less, then they each month takes up the State budget to hire them, but their investments on the national economy was minimal both in terms of taxes as well as levels of consumption. Let's look at the other examples, with more and more residents into self-employment, then their economy will be independent, not to be dependent on the capitalist economic system, in this case the Government has to be pro active  provides capital for entrepreneurs in order to be truly  productive with a competitive interest rate, and does not destroy the entrepreneur or the Government, the results of their business profits will be deposited in banks in the country, so the smoother turnover the thing is, with their capital will be increased so that it is able to penetrate the global market share, that would raise the import-export  balance and will add to foreign exchange the country significantly, thus it is very clear, that entrepreneurship has a very important role to raise the dignity the dignity of a nation in the international arena.  Next in terms of GNP (Gross National Product), when more money is generated by the sons and daughters of the nation of Indonesia, because entrepreneurship then money generated within the larger, different face salary with relatively fixed. Will increase the GNP that is overall goods and services produced by citizens of such population anywhere (inside and outside the country), by increasing the GNP this would further strengthen the national economy in a macro, and accelerating national development wheel, due to the availability of budgetary increases. From some of the positive impact of entrepreneurship, it can  be concluded that entrepreneurship aims to improve the economy of the community and in general improve the dignity and the personal dignity of the nation and State as well as entrepreneur, with the knowledge that is expected to  be a growing number of citizens of Indonesia especially students who entered the business world, but to note in trying must uphold honesty, so that what is produced can be  beneficial to society at large.  Volume 3, Issue 1, January  –   2018 International Journal of Innovative Science and Research Technology ISSN No:-2456  –  2165 IJISRT18JA220 www.ijisrt.com 549 b). Theory of Entrepreneurship As time went on, increasing entrepreneurship, then gives a wide range of theories about entrepreneurship, I will try to describe the various theories of entrepreneurship, among which are the following: ã    Neo Classic This theory regard the company as a technological term, where management (individuals) only know the fee and acceptance of the company and just do a mathematical calculation to determine the optimal values of the variable decision. So not quite capable of neoclassical approach to clarify issues regarding entrepreneurship. In theory this independence very invisible, reasonable enough, since this is indeed in the past where yet so urgent the problem of independence, however, to be able to become an early theory to bear subsequent theories. ã   Kirzerian Entrepreneur In the theory of Kirzer highlights of human performance, his fervor, their earnestness, his sincerity, to swa (standalone), in this endeavor, so forward the withdrawal of an undertaking depends on the efforts and perseverance of the entrepreneur. From different disciplines, there was born the theory of entrepreneurship, viewed from the standpoint of their respective economic theory looked at that birth is caused due to an entrepreneurial opportunities, and the uncertainties of the future that will deliver opportunities to maximized, it relates to the courage of taking chances, speculate, organize your organization, and gave birth to a wide range of innovations. The theory of Sociology more learn about the srcins of cultural and social values within a community, which will have an impact on its ability to respond to  business opportunities and cultivate effort, as an example of ethnic Chinese and the people known as the tenacious  people who tried, then the real facts show, that an awful lot of Chinese people and the success in entrepreneurship. Furthermore the theory of psychology, I think the theory is more emphasis on individual aspects influenced her motives for entrepreneurship, in since childhood instilled to Excel, then the more likely an individual is bolder in response to  business opportunities acquired. The latter is the theory of behavior, how does an entrepreneur have to have skills in organizing a business, manage finances and related things, build networks, and market the product, it takes a clever personal associate to  promote a business. c). The Concept of Entrepreneurship The entrepreneurial character of someone who has always  been dissatisfied with what he has achieved. Self-employment is one who skillfully exploit opportunities in developing his business with the aim of improving their lives. Norman m. Scarborough and Thomas w. Zimmerer (1993:5), An entrepreneur is one who creates a new  business in the face of risk and uncertainty for the purpose of achieving a profit and growth by identifying opportunities and assembling the necessary resources to capital on those opportunities. Entrepreneurs are people who have the ability to view and assess business opportunities; collect resources-the resources needed to take appropriate action, take advantage and has the nature, character and the will to realize innovative ideas into real world creatively in order to achieve success/increasing revenue. Essentially, an entrepreneur is people who have an entrepreneurial character and apply the nature of entrepreneurship in his life. In other words, entrepreneurs are the ones who have the innovative creativity and soul in his life. From some of the concepts above shows as if entrepreneurship is identical with the ability of the entrepreneur in the world of business (business). Whereas, in fact, entrepreneurship is not always synonymous with sheer entrepreneurial character, because the character of the entrepreneurial possibilities also owned by an entrepreneur who is not. Self-employment covers all aspects of the work, either private or Government employee (Soeparman Soemahamidjaja, 1980). Entrepreneurs are those who do creative efforts and innovative way of developing ideas, and  prepare a resource to find opportunities (opportunity) and repair (preparation) of life (Prawirokusumo, 1997). Entrepreneurship emerge when one brave individual developed efforts and new ideas. The entrepreneurial  process includes all the functions, activities and actions related to acquisition opportunities and the creation of a  business organization (Suryana, 2001). The essence of entrepreneurship is creating added value in the market through a process of combining resources with new ways and different in order to compete. According to Zimmerer (1996:51), the added value can be created through the following ways: development of new technology (developing new technology), the discovery of new knowledge (discovering new knowledge), improved  products (goods and services) that already exist (improving existing products or services), the discovery of different ways to produce goods and services much more with fewer resources (finding different ways of providing more goods and services with fewer resources). Although among the experts there is a greater emphasis on the role of entrepreneurial small entrepreneurs entrepreneurial character, but actually also is owned by the  people who made their living outside of self-employment. The character of entrepreneurship exists on every person who likes change, renewal, progress and challenges, whatever his profession. Thus, there are six nature of the importance of entrepreneurship, i.e.: entrepreneurship is a value that is manifested in behavior which resources, power, purpose, strategy, tips, process and business results (by Ahmad Sanusi, 1994), entrepreneurship is a value that is needed to start a business or expand (Suharto Prawiro, 1997), entrepreneurship is a process in doing something new
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