Innovation and Integration: The ways for sustainable development in Agricultural System (Case study in Ciwidey Women Farmer Group Business Unit)

Devi Maulida Rahmah Viewed 111 times, Downloaded 59 times

Abstract


The great potential of agricultural sector in Indonesia has encouraged the development of various business utilizing agricultural products as raw materials. Involving about 240.000 micro, small, and medium enterprises (SMEs) developed in West Java, utilizing agricultural commodities as the main raw materials in their business activities. The type of business is very diverse in terms of organizational aspect. Moreover, some types of business that can be identified are family business, cooperative business, and empowering business. Each type business has its own different management influencing its performance. Technology adoption process and its value have to be integrated toward sustainable agricultural business . Accordingly, this study aims to identify the business types, strategies and technologies adopted by a farming business in developing the sustainable agricultural business system. This study was conducted at Business Unit of Ciwidey Women Farmer Group (WFG), which is able to develop business in group and produced massively in agricultural products. The number of business joining in Ciwidey WFG is about thirty unit business. The research method used direct observation in the field and semi-structured interviews conducted to WFG running business activity based on agricultural commodity. Data were analyzed descriptively with the explanation of the real conditions encountered in the field. The results of this study shows that the business type of Ciwidey WFG is cooperative business running by WFG and Farmer Group (FG). The upstream-downstream integration of business activities has been performed by the cooperation between Ciwidey WFG and FG. Innovation consists of three areas: The use of technology in the form of infiltration and methods in cultivating the organic concept, the formation of institutions and assistance in its management, and the implementation of collective marketing.


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