Journal of Economics and Management Volume 18, No. 2 September, 2022

Rural Entrepreneurship on Local Community: Does Culture-Led Organization Work?

Min-Sun Kim

International Undergraduate Program in Business and Management, Chung Yuan Christian University, Taoyuan City, Taiwan

Andrian Dolfriandra Huruta

Department of Economics, Satya Wacana Christian University, Salatiga City, Indonesia

Cheng-Wen Lee

Department of International Business, Chung Yuan Christian University, Taoyuan City, Taiwan

Abstract

Rural entrepreneurship is important to the growth and prosperity of local communities. This study aims to observe the views of women entrepreneurs and examine economic and organizational values influencing their entrepreneurship. The statistical analysis depends on fifty respondents from the women farmers group. We employed partial least squares-structural equation modeling. The study also performed the bootstrapping technique. The result shows that organizational culture directly affects women entrepreneur performance while the economic environment has no direct impact. It indicates that cultural factors play an important role in performing women entrepreneurs in the indigenous group. In East Sumba, a culture-led organization supports climate action and gender equality. To do so, developing green MFIs through organizational culture could boost the economic performance of rural entrepreneurship for poverty alleviation.

Keywords：Entrepreneurship, Culture-Led Organization, Climate Action, Gender Equality, Poverty Alleviation

JEL Classifications：C01, C12, L26.

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