The Role of Universities in the Implementation of Corporate Social Responsibility (CSR) to Develop Entrepreneurship in Indonesia

Heru Irianto, Rr. Herini Siti Aisyah, J. Andy Hartanto, Mahmudah Enny W

Abstract


The Central Bureau of Statistics stated that the unemployment rate in Indonesia reached 6.32% or 7.61 million people. The largest number of the unemployed is dominated by college graduates or about 12.78 percents. On the other hand, 4.76 million entrepreneurs are highly needed by Indonesia. That is why companies and universities in Indonesia have an important and strategic role in the development of entrepreneurship through CSR. To optimize the implemetation of the CSR programs effectively and efficiently and to reach the targets, the synergy among companies, universities, societies and government is highly required. Act No. 40 of 2007 was issued by the government to govern the obligations of Corporate Social Responsibility (CSR). Politically the participation of universities are relatively acceptable to all related parties; they are considered as an agent of change with abundant resources, and also serve as an initiator, mediator, motivator and evaluator in developing entrepreneurship through CSR. It is expected that through CSR financial support universities are able to increase the participation and contributation of the related parties in accordance with their potential to develop entrepreneurial synergy.

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DOI: http://dx.doi.org/10.5539/par.v5n1p52

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