From Survival to Thriving: Acceleration Strategy Empowerment of Ultra Micro Enterprises as a Pillar of the People's Economy

Ultra-micro enterprises hold a very important position as the backbone of the People’s Economy, but they are still stuck in a survival mode because of insufficient funds, low levels of technological absorption, and poor managerial skills. The present study tries to design an appropriate model for accelerating ultra-micro-enterprises from a survival mode into an independent development stage in West Bandung Regency, West Java. The methodology applied in this research is a descriptive qualitative method using an exploratory case study design. The finding shows that the entrepreneurs experience formal finance exclusion and techno-resistance (being left behind) owing to their view of the complexity of the QRIS technology interfering with liquidity. Under Jack Rothman’s social development model, it can be observed that there is no bottom-up approach of regional social planning by the government, but there is a ceremonial process of local development through association that seems much more natural in fostering economic resilience. Under the concept of Resource-Based View, local social capital becomes very important and at the same time ineffective when it comes to governance (organizational). The findings of this study revealed an approach towards developing a “Local Adaptive Empowerment Acceleration Model” through government policy and core communities. This integrative model was found effective for overcoming the technological constraint using peer mentoring and organizational VRIO management, along with mobilizing social activities towards inclusive finance.