The Conception and Practices of Social Enterprise Between Indonesia and South Korea

Abstract

Emerging countries like Indonesia and developed countries like South Korea have a common need for the participation of their people to develop their economies aimed at overcoming social problems. One of the organizational vehicles that can be used to overcome social problems is Village-Owned Enterprises (BUMDes) or social enterprises. The purpose of this study is to find out the definition of social enterprises in Indonesia and South Korea; to find out the mechanism of establishing social enterprises in Indonesia and South Korea; and to find out about the management of social businesses in Indonesia and South Korea. Furthermore, the method used is a conceptual paper related to the definition of social enterprises, the mechanism of social enterprises, and their governance. In this study, it is known that social businesses in South Korea have better governance than social enterprises in Indonesia. The contribution of this research is to provide input to all stakeholders to improve the performance of social enterprises, especially in Indonesia