VILLAGE OWNED ENTERPRISES AND COMMUNITY WELFARE: THE MODERATING ROLE OF SOCIAL CAPITAL IN RURAL INDONESIA

Authors

DOI:

https://doi.org/10.18623/rvd.v22.n3.3397

Keywords:

Community Welfare, Empowerment, Social Capital, Village Owned Enterprises, Local Wisdom, Mutual Cooperation

Abstract

This study intends to analyze the impact of Village-Owned Enterprise empowerment on community welfare and to investigate the moderating function of social capital in the relationship between Village-Owned Enterprise empowerment empowerment and community welfare. The study was carried out in Kutai Kartanegara Regency, Indonesia, concentrating on active Village-Owned Enterprises. The research involved 107 participants. A quantitative study design was utilized, employing an inferential statistical method with SmartPLS. The results indicate that the empowerment of Village-Owned Enterprise empowerment positively and significantly impacts the enhancement of community welfare. The study indicates that social capital acts as a positive moderating variable in the link between Village-Owned Enterprise empowerment s empowerment and community welfare, however this moderating effect lacked statistical significance. This study has specific limitations, as it did not account for external variables that may affect community welfare, like government policies and macroeconomic issues. Additional research is advised to investigate the correlation between empowerment and community welfare, as well as the association between social capital and community welfare, within a wider framework. Research encompassing numerous places with distinct characteristics and utilizing more objective and extensive assessment techniques will result in a better understanding of the interactions among many elements influencing community welfare.

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Published

2025-11-04

How to Cite

Dwijatenaya, I. B. M. A., Palinggi, Y., Drianti, A., Musmuliadi, & Syahrani. (2025). VILLAGE OWNED ENTERPRISES AND COMMUNITY WELFARE: THE MODERATING ROLE OF SOCIAL CAPITAL IN RURAL INDONESIA. Veredas Do Direito, 22, e223397. https://doi.org/10.18623/rvd.v22.n3.3397