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8. Research Methodology

8.3. Data Collection Methods and Source of Data

This study is based on qualitative and quantitative evidences. As suggested by Yin (2003, p. 15), case studies can mix two methods, yielding both qualitative and quantitative evidence. Data was gathered from the local bureaucracy, politicians and small business owners both in Bantul and Gianyar. Qualitative data was collected through in-depth interviews and documented methods whereas quantitative data was collected by survey and documented methods.

8.3.1. Documentation Method

The documentation method was used to collect data from national and local government. At national level, the relevant regulations include Law No. 20/2008 on Micro, Small, and Medium Scale Business (Undang-Undang tentang Usaha Mikro, Kecil, dan Menengah), Law 22/1999, Law 25/1999, Law 32/2004 and Law 33/2004. At the local level, the researcher studied local regulations (Peraturan Daerah, Perda) and Decrees of District Head (Keputusan Bupati) related to business sector. Documents were collected from the secretariat of the district governments, local government agencies and secretariat of local parliaments.

8.3.2. In-Depth Interview

I prepared interview guides before going to field work in 2009. The field work was conducted from April to June 2009. Yin (2003:89) argues that the interviews are guided rather than structured conversations. The interview can be further developed during the process of fieldwork. The case study interviews were thus likely to be fluid rather than rigid. Interviews were conducted with local bureaucrats, local politicians, local small business owners, head of business association, heads of local communities, scholars and journalists who expert in small business.

Local bureaucrats to be interviewed were selected according to structural position and function. In Bantul, the local bureaucrats interviewed included the District Head (Bupati), Vice District Head (Wakil Bupati), Secretary of District Government (Sekretaris Daerah), Head of Local Agency for Industry, Trade, and Cooperative (Dinas Industri, Perdagangan, dan Koperasi), Head of Local Board for Regional Development Planning (Bappeda), Head of Local Agency for Service of Licenses (Dinas Perijinan), and Head of Local Agency for Manpower (Dinas Tenaga Keja), Head of Local Agency for Law (Bagian Hukum) and Head of Agency for Local Finance and Assets (Dinas Pengelolaan Keuangan dan Aset Daerah). A list of interviewees can be seen in Appendix 3

In Gianyar, local bureaucrats interviewed included the District Head, Vice District Head, Head of Local Agency of Industry and Trade, Head of Local Agency of Cooperative, Small and Medium Businesses (Dinas Koperasi, Usaha Kecil dan Menengah), Head of Local Board for Regional Development Planning (Bappeda), Head of Local Board for Integrated Permit Services (Badan Pelayanan Perijinan Terpadu), and Head of Local Agency of Manpower (Dinas Tenaga Keja), Head of Local Agency of Law (Bagian Hukum), Head of Local Agency for District Government Revenue (Dinas Pendapatan Daerah) (Appendix 4).

There are different names for similar local agencies between Bantul and Gianyar. As In Bantul for example, small businesses are serviced by the Local Agency for Industry, Trade, and Cooperatives, while in Gianyar they are serviced by the Local Agency of Cooperative, Small and Medium Businesses. Moreover, in Bantul, types of licences are issued by the Local Agency for Service of Licenses, whereas in

Gianyar they are issued by the Local Board for Integrated Permit Services. Finally, in Bantul, district government revenues and expenditure are serviced by the Agency for Local Finance and Assets, while in Gianyar they are managed by the Local Agency for District Government Revenue.

The local politicians of Bantul who were interviewed included the heads of district parliament and of the industry and trade committee of local legislature. Chairpersons of five large political parties of Bantul were also interviewed, namely: Chairperson of the Indonesian Democracy Party of Struggle, Partai Demokrasi Indonesia Perjuangan (PDI-P); Chairperson of the Golkar Party, Partai Golkar; Chairperson of the Democrat Party, Partai Demokrat (PD), Chairperson of the National Mandate Party, Partai Amanat National (PAN), Chairperson of the Justice and Welfare Party, Partai Keadilan dan Sejahtera (PKS) (Appendix 3).

In Gianyar there are two large political parties: Golkar party and PDI-P party. Therefore, the Chairperson of Golkar party and Chairperson of PDI-P party were interviewed for this research. The head of the local parliament and head of the industry and trade committee of the local parliament were also interviewed with the aim to explore the extent to which local legislature facilitated regulations to promote and assist small businesses (Appendix 4).

The researcher interviewed some small businesses owners with the aim to understand the perception of small business owners on the district government policy and local regulations on small businesses. Beyond small business owners, the researcher also interviewed the chairperson of small business cooperatives and the chairperson of business associations (Appendix 4)..

In Bantul,the researcher interviewed the Chairperson of Small Business Cooperative, Chairman of Bantul Craft Association, the Chairperson of Handicraft Local Board (Dekranas or Dewan Kerajinan Nasional), the Chairperson of Local Chambers of Commerce and Industry (Kadinda or Kamar Dagang dan Industri Daerah), the Chairperson of Indonesia Furniture Industry and Handicraft (Asmindo or Asosiasi Industri Permebelan dan Kerajinan Indonesia) and the Head of Export and Handicraft Association (ASEPHI) (Appendix 3).

In Gianyar, the researcher interviewed the Chairperson of Wood Association and Chairman of Local Chamber of Commerce and Industry (Kadinda). The researcher also interviewed selected local small business owners to gain information regarding their businesses, their view of the role of local government in promoting small businesses and their view of the role of political parties in promoting small businesses (Appendix 4).

In addition, the researcher interviewed scholars and journalists to obtain their perspectives on the relationship between small businesses and local government. In the Bantul district, the researcher interviewed: (1) W.U., a senior lecturer of Gadjah Mada University and an expert in local government; (2) P, the Dean of Faculty of Social and Political Sciences, Gadjah Mada University and an expert in local government and business affairs (Appendix 3). In the Gianyar district, the researcher interviewed: (1) D.A., the Director of Bali International Institute of Tourism Management and an expert in small businesses; and (2) M.Y., senior lecturer and an expert in small business at Faculty of Economics, Udayana University, Denpasar (Appendix 4).

In regards to local media, in Bantul district, the researcher interviewed B.S., a senior journalist of Kompas daily, the largest national daily newspaper and N.H., a senior journalist of the largest local daily newspaper, Kedaulatan Rakyat to gain their perception on the relationship between local government and small business (Appendix 3). In the Gianyar, the researcher interviewed two journalists of Bisnis Bali daily newspaper, the largest local (Appendix 4).

In Bantul, the Dukuh (head of hamlet) and Heads of RT (Head of neighbourhood association) were interviewed (Appendix 3). In the case of Gianyar, the researcher interviewed the Kelian2 (Heads of Banjar or Association of local customary community) and the Bandese (Head of Desa Pakraman or Head of Customary Village) (Appendix 4).

2 Head of local customary community is called Kelian. There are two types of Kelian. Kelian Adat and Kelian Dinas. Kelian Adat serves the needs of customary community such as funeral and wedding ceremonies, whereas Kelian Dinas serves official duties such as Resident Identity Card.

8.3.3. Survey methods

The researcher used a survey method for collecting data with the aim of gaining a better understanding of the responses of small business owners to the local government policy and political parties. However, due to difficulties in obtaining precise data on total number of small businesses both in Bantul and Gianyar, it was difficult to determine the exact total number of the sample, in order to representative. Dinas Industri, Perdagangan dan Koperasi or Diperindagkop (Local Agency of Industry, Trade, and Cooperative) of Bantul, was supposed to responsible for data on the number of small business owners, but the local agency did not separate between the total number of micro and small businesses unit. Dinas Koperasi, Usaha Kecil dan Menengah (Local Agency of Cooperative, Small and Medium Businesses) of Gianyar also combined the number of micro and small businesses units. Therefore, total small businesses could not be identified precisely.

Based on secondary data and interview results with local bureaucrats, it was seen that small businesses of Bantul were concentrated on ceramics and woodcraft. However, in Gianyar most of the small businesses were concentrated on woodcraft. This study is focused on ceramic and woodcraft small businesses of Bantul and woodcraft small businesses of Gianyar as the unit analysis.

Most small businesses of Bantul were located in Kasihan and Imogiri sub-districts and most small businesses of Gianyar were concentrated in Tegallalang sub-district. Therefore, the survey was focused on Kasihan and Imogiri sub-districts in Bantul and Tegallalang sub-district in Gianyar. Respondents were selected by random sampling, where each unit in the population to be covered has a calculable probability of being selected. As discussed above, the local governments had only data which was the combined total of micro and small businesses. However, according to secondary data from Bantul and Gianyar, the total of micro and small businesses in Kasihan and Imogiri was 397 in 2008. The total for micro and small businesses in Tegallalang was 450 in 2008. Based on my observations during fieldwork in 2009, the total of micro businesses was larger than that of small businesses. Therefore, it can be argued that the total of small businesses of Kasihan less than 200 and the total of small businesses of Tegallalang was also less than 225. The surveys involved 60 small business owners (30 percent) in Kasihan and Imogiri

sub-district in Bantul (Appendix 5) and 100 small business owners (22 percent) in Tegallalang sub-district of Gianyar (Appendix 6). The sample size over 20 percent of total population is accurate. In the case studies, the focus is more on depth and intensity rather than sample size (Gilbert, 1993, p. 155). I argue that respondents can provide accurate information on the relationship between local government and small business in this study. It may be concluded that data collection method can be instrument to obtain accurate data for answering the research question as discussed above.