Cooperative Model Based On Business Innovation Of Local Wisdom In Increasing Economic

Abstract

The economy of a region has entered a new phase where the sources of competitive advantage have changed. The advantages of an economy are not only derived from technology and resources. One of the sources of competitive advantage is the existence of business innovation by promoting local wisdom. Local wisdom is the result of interaction between the community and the environment, thus it is hoped that it can help the community itself. Local wisdom becomes the core of efforts to improve the economy of a region. However, the existence of cooperatives is decreasing, which is influenced by internal and external factors of the cooperative itself. Cooperatives are part of the economy and must further improve competitiveness by conducting business innovations. Competitive advantage based on business innovation should be prioritized because it has a long life and durability. The specific objective of this research is to obtain a cooperative model based on local wisdom business innovation. The data source of this research is the cooperative selected purposively and referred to by the local Cooperative Office. The method used is phenomenology, data were collected using literature study and field studies (observation, interviews, documentation), qualitative data analysis techniques. The results of this study with the discovery of a cooperative model based on business innovation. Local wisdom is expected to be applied by other cooperatives so that cooperatives can be more developed, healthy in management so that they can improve the regional economy