Operating a business with local wisdom: a grounded research of women in the creative industry

This study investigates the extent to which local wisdom influences Indonesian women’s businesses, especially in the creative industry sector. This research was conducted in several locations in Indonesia. Grounded research employs a constructivist grounded theory approach for its analytical operations. The data obtained from interviews was coded in three stages to construct a theory. The coding analysis showed five main elements of local wisdom that affect Indigenous women’s ways of life, particularly in crafting ethnic products, including religion or beliefs, traditional culture influenced by the traditional monarch or their ancestors, traditional livelihoods, natural resources around their lives, and barriers. The participants preferred to adjust modernization to their local wisdom rather than vice versa. Based on these local wisdom elements identified, the research examined contributing factors as these women’s key success factors such as financial support, marketing support, and business knowledge support that led to growing the creative business. These ethnic products have the potential to be developed into diversified commercial ethnic and attract many potential buyers because of the traditional value and wisdom embedded in the product.