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Finally, the document contrasts the formal sector, which requires permits and pays taxes, with the informal sector, which generally operates without permits and taxes but provides important economic functions, especially during economic cri
Finally, the document contrasts the formal sector, which requires permits and pays taxes, with the informal sector, which generally operates without permits and taxes but provides important economic functions, especially during economic cri
Finally, the document contrasts the formal sector, which requires permits and pays taxes, with the informal sector, which generally operates without permits and taxes but provides important economic functions, especially during economic cri
By Gabriella Jovita, Emerencia Audy, Jessica Anggana,
Gabriella Edny, Pasha M Shaquille Entrepreneurship Entrepreneurship is the act of being an entrepreneur or one who undertakes innovations, finance and business acumen in an effort to transform innovations into economic goods The Role of Entrepreneurship A) As innovator, the role of entrepreneur is to create: - The new product - The new technology - The new image - The new organization B) As planner, the role of entrepreneur is to design: - Corporate plan - Corporate image - Corporate organization
To create the role we have to: - Develop new technology - Find innovation - Fix the goods and services provided - Find a new way to provide goods and services with lower price 3 Important Thing of Role of Entrepreneur 1) As the captain of industry: That started from technician that succeeded to find something new not because of he purposely look for it but because of the power of innovation. 2) As a business man: That is someone who analyzed many kind of peoples needs, stimulate new needs and the main attention is sales. 3) As the captain of finance: That is someone who pursue money, collect money and combine financial sources since young. Terms & Condition Characteristic Character 1. Confidence
2. Task-oriented and results
3. Risk-taking
4. Leadership 5. Originality 6. Future-oriented Faith, independence, individualism and optimism. Needs of achievement, profit oriented, perseverance and persistence, determination, hard work, have a strong encouragement, energetic and initiative. The ability to take risk that is common and love challenge. The act of leadership. Innovative, creative and flexible. Looking forward, perspective. SECTOR Formal sector The formal sector is a sector that operates the official (formal) since the inception requires certain conditions such as the deed of incorporation, business license, articles of association and others. The formal sector has certain characteristics, traits formal sector include: a. Have permission. b. Requires a relatively large capital. c. Using a systematic and regular bookkeeping and financial membuatlaporan to know the financial situation and earnings / rugiyang obtained. d. Profits derived relatively large. e. Make payments to the state tax, such tax liability (if business entity form PT), and the income tax (for owners). f. Generally located in urban or industrial areas. Form of business entity of the formal sector include PT (PerseroanTerbatas), CV, firms, cooperatives and other businesses that require a permit or certificate of incorporation. Due to large capital, general entity-formal sector entity has one or more companies to do business
Informal Sector The informal sector is a sector that operates informally (informal), since the establishment generally does not use terms such as deed of incorporation, articles of association, business license and others. As the formal sector, the informal sector also has features such as: a. Generally do not have permission. b. Require relatively small capital. c. Using a simple bookkeeping and some even tidakmenggunakan books altogether. d. Profits derived generally relatively small do not pay taxes to the government (except bilapenghasilan large enough for owners of taxable income). f. Housed in all directions, can be in urban rural areas. g. Price of goods or services being sold are generally relatively inexpensive.
Forms of informal sector enterprises generally is an entity in its founding individuals do not need to use the deed of incorporation. However, for certain industries such as rice mills and inns, although owned individually must still get permission from the local government At first glance, it seems trivial compared to the informal sector formal.Akan but in fact, the existence of informal sector to help the economy of Indonesia. Evidently when the monetary crisis hit Indonesia in 1997 informal sector has demonstrated its importance with a buffer (silencer) turbulence in the labor market in a way to accommodate the millions of workers retrenched workers (Termination of Employment) occurring in the formal sector. The informal sector has made poverty rate jumped by an estimated no. After the crisis, the informal sector continued to show the importance of the role of the security sector by being in the middle of the inability of the government and formal sector in providing employment. In fact, in the last six years there is almost no additional new jobs in the formal sector, the opposite is shrinking employment Prof. Mubyarto and other development economists identify the informal sector as the economy, the economy that involves the majority of the people. That means empowering the informal sector is synonymous with economic empowerment of the people represented by the many MSMEs (Micro, Small and Medium Enterprises). For comparison, in the newly industrialized countries such as Singapore, Hong Kong, South Korea and Taiwan, small businesses are a form of informal sector in focus and empowerment in order to develop the business into a bigger and more powerful.