Analysis of the investors’ motivation for social investment to the enterprises owned by the village
Analysis of the investors’ motivation for social investment to the enterprises owned by the village

Summary/Abstract: Village-owned enterprises are expected to become a pillar of national development in Indonesia driven by rural communities. Village-owned enterprises are village businesses managed by the village government to strengthen the village economy. Village-owned enterprises cannot operate without investors who provide matching funds. This study aims to determine the motivation of investors in investing and how they behave in making investment decisions in village-owned enterprises. The research method used is qualitative. This study involved two village-owned enterprise investors and members of the village government in the clear water village of West Sumatra province. Data collection was carried out through in-depth interviews and direct observation of the informants from village officials in 2021. Data analysis used a phenomenological approach. The results showed that the private investment made by investors from the village government was motivated by reasons of power and policy. Social benefits and individual benefits drive investment motivation. Social benefits are obtained from several business activities that can reduce social problems in the community. The impact of this research is the reduction of unproductive land and environmental damage issues.

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