Globalizing informality: An empirical research of the ‘everyday’ relation between globalisation and the informal economy in Yogyakarta, Indonesia
Considering that processes of globalisation differ qualitatively according to where we look, it is interesting to understand the processes of globalisation within the informal sector. By focusing on the informal sector in the city of Yogyakarta, this study provides in-depth insights in the relationship between globalisation and the informal economy. More accurate, this thesis focusses on a specific sector within Yogyakarta’s informal economy, namely the warung-sector. To come to in-depth insights, a case study has been conducted in Pandeyan, a sub district of Yogyakarta. Besides using the existing literature, empirical data were obtained by doing observations in the area and interviews with warung entrepreneurs. By focussing on the changes within the warung-sector, globalisation is linked to the informal economy. Whereas informal businesses are classically seen as small scale, low-productive businesses used by the urban poor to survive, the warung-sector is a very heterogeneous, dynamic and creative sector. This research shows three major changes in the sector, which can all be linked to (processes of) globalisation; increasing use of social media, delivery service and collaboration at different levels. But how can this be related to processes of globalisation? In short globalisation has – both directly (by technologization) and indirectly (by a changing society) – led to changes in the informal economy.
Faculteit der Managementwetenschappen