Andi Sri Wahyuni et al., How did Paggadde-gadde Maintain its Business? An Ethnography Study Before and During Pandemic of Covid-19 (2021)

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A journal article by Andi Sri Wahyuni and co-authors from Politeknik Negeri Ujung Pandang and Hasanuddin University, How did Paggadde-gadde Maintain its Business? An Ethnography Study Before and During Pandemic of Covid-19, published in AKUNSIKA: Jurnal Akuntansi dan Keuangan, Volume 2 Nomor 1, Januari 2021. Using an ethnographic method following the twelve steps formulated by Spradley (1979), it studies how a paggadde-gadde, a home business, in Makassar kept her small business going before and during the pandemic in 2020. It reports that before the pandemic the strategy was to let customers, who are her neighbours, take goods on loan when in financial trouble. During the pandemic she stopped providing loans for a while so that the current asset turnover ratio remained stable.

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“Andi Sri Wahyuni et al., How did Paggadde-gadde Maintain its Business? An Ethnography Study Before and During Pandemic of Covid-19 (2021).” Original at jurnal.poliupg.ac.id. Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/andi-sri-wahyuni-et-al-how-did-paggadde-gadde-maintain-its-business-an-1486264693/, SHA-256 e700f135b2d4c8c34fc2696357e8cb6319cccf4e4a0d4778fe31e72eb3cc849e.

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AKUNSIKA: Jurnal Akuntansi dan Keuangan
Volume 2 Nomor 1, Januari 2021
http://jurnal.poliupg.ac.id/index.php/akunsika

How did Paggadde-gadde Maintain its Business?
An Ethnography Study Before and During Pandemic of Covid-19

Andi Sri Wahyuni
Politeknik Negeri Ujung Pandang
andisriwahyuni@poliupg.ac.id
Astuti
Politeknik Negeri Ujung Pandang
Astute.aa37@gmail.com
Rizky Utami
Hasanuddin University
Rizkyutami55@gmail.com
Nur Asni Safitri
Politeknik Negeri Ujung Pandang
Andi Nurhalizah
Politeknik Negeri Ujung Pandang
Nurul Hidjrah Hairuddin
Politeknik Negeri Ujung Pandang

(Diterima: Desember-2020; dipublikasikan: Januari-2021)

Abstract
The arrival of the Covid 19 Virus in Indonesia, which is recognized as a national disaster by the government, de-
stroys the economic sector from micro to macro. On the bottom line, small entrepreneurs such as paggadde-gadde
were significantly affected among other types of businesses. This study seeks to reveal the culture in the life of a
paggadde-gadde in Makassar in an effort to maintain his small business, before and during the pandemic occurs
in 2020. The research method used is ethnography, by taking twelve steps of step-by-step research formulated by
Spradley (1979). Ethnographic records and analysis results from this study revealed that the strategy taken before
the pandemic is to provide customers with ease of transactions with loan goods when the customer, who is a
neighbor of paggadde-gadde herself, is in financial trouble. However, during the pandemic, another strategy car-
ried out was by not providing loans for a while so that the current asset turnover ratio remains stable. This re-
search can then be used as a reference for other paggadde-gadde in Makassar in particular, and similar home
entrepreneurs in general. The results of the research can also be used as a reference for city governments in for-
mulating policies related to regulations involving small businesses such as paggade-gadde businesses.
Keywords: Small Business; Paggadde-gadde; Pandemic; Ethnography
Abstrak
Kedatangan Virus Covid 19 di Indonesia, yang diakui sebagai bencana nasional oleh pemerintah, melululantahkan
sektor perekonomian dari mikro hingga makro. Di arus bawah, pengusaha kecil seperti paggadde-gadde terkena
dampak yang signifikan di antara jenis usaha lainnya. Penelitian ini berusaha mengungkap kebudayaan dalam ke-
hidupan seorang paggadde-gadde di Makassar dalam upayanya mempertahankan usaha kecilnya, sebelum dan saat
pandemi terjadi di tahun 2020. Metode penelitian yang digunakan adalah etnografi, dengan menempuh dua belas
langkah penelitian maju-bertahap yang dirumuskan oleh Spradley (1979). Catatan etnografis dan hasil analisis dari
penelitian ini mengungkapkan strategi yang ditempuh sebelum pandemi adalah memberikan pelanggan kemudahan
dalam bertransaksi dengan pinjaman barang ketika pelanggan, yang adalah tetangga paggadde-gadde sendiri,
dalam kesulitan keuangan. Akan tetapi, pada masa pandemi, strategi lain dilakukan dengan tidak memberikan pin-
jaman untuk sementara waktu agar rasio perputaran aset lancar tetap stabil. Penelitian ini selanjutnya dapat
menjadi referensi bagi paggadde-gadde lain di Makassar khususnya, dan pengusaha rumahan yang sejenis pada
umumnya. Hasil penelitian juga dapat menjadi rujukan bagi pemerintah kota dalam perumusan kebijakan terkait
peraturan yang melibatkan usaha kecil seperti usaha paggade-gadde.
Kata Kunci: Usaha Kecil; Paggadde-gadde; Pandemi; Etnografi

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43 AKUNSIKA, Vol 2, No 1, Januari 2021, hal 08 - 14
INTRODUCTION Chariri, 2016; Wahyuni & Nentry, 2017).
Every human being who lives in this Gadde-gadde is a home business, which is
circle of the earth must make efforts to generally done by housewives (Wahyuni,
survive. So far, when modern humans have 2015; Wahyuni & Chariri, 2016; Wahyuni &
begun to recognize the concept of work and Nentry, 2017). This business is usually set up
the means of money exchange, people who in front of the house where the house is
claim to be empowered to survive through a occupied by taking up little space, generally
work process that produces money in return. the size of a bedroom in the house.
Anthropologists have discovered that the Since around 2013, the onslaught of
culture of how to survive people in Indonesia minimarkets has begun to destroy the business
has always been fishing, farming, and trading arrangements for gadde-gadde in Makassar
(Chapcos et al, 2019; Sukoharsono & (Wahyuni, 2017). The existence of modern
Gaffikin, 2019). From time to time, the three minimarkets that are not only in the city
work activities are still sustainable in the form center, even in residential alleys, really
of their respective developments. worries the gadde-gadde (paggadde-gadde)
However, in modern times, many traders. Especially if it is remembered that
urbanites have finally looked to the white small businesses such as gadde-gadde mostly
collar using tie and sitting behind the office take part in the process of supporting the
desk as one of their favorites. A prestigious paggadde-gadde families in Makassar, either
job that is inherited from the legacy of the as helpers in covering the lack of the main
colonial nations, which is actually not the source of livelihood for the family or even
identity of the Indonesian nation in the first become the main source in supporting the
place. needs of the family itself.
In Makassar, as one of the most important However, the presence of a minimarket
and most populous cities in Indonesia, fishing has had a significant impact on the turnover of
and trading activities are still being carried the Pagadde-gadde in Makassar. Services,
out. The continued viability of activities at locations near residential areas, more
Paotere Port, for example, shows a signal that complete goods, and lifestyle changes have
the two work processes, in the form of fishing made consumers more interested in
and trading, are still alive and well together. minimarkets than in pagadde-gadde. Hence,
However, these activities are dimly lit in the the number of pagadde-gadde in Makassar has
midst of the glittering and hectic atmosphere decreased, a lot among pagadde-gadde who
of the city of Makassar, which is increasingly shifted their efforts to other fields due to the
populated by malls and minimarkets competition that is getting tougher with
(Wahyuni, 2015). modern retailer (Chyan & Sumarta, 2018).
Micro, Small and Medium Enterprises The problem of minimarket attacks has
(MSMEs) have an important and strategic role not been resolved until now, then new
in national economic development (Bank problems come in 2020. The disaster in the
Indonesia, 2015). In Indonesia, MSMEs are form of the Covid-19 pandemic which began
able to contribute 60.34 percent of the total to enter Indonesia in early 2020, is another
Gross Domestic Product (GDP), absorb 97 major shock for small traders such as pagadde
percent of the total workforce, and contribute -gadde. The loss of jobs for most of the casual
14.17 percent to total exports (Ministry of workers and the decline in the income of
Cooperatives and SMEs, 2019). The existence many families due to the abnormality of the
of MSMEs is expected to be able to alleviate macroeconomic cycle during the pandemic
poverty, narrow income inequality, and caused a drastic shortage of customers.
reduce the number of unemployed. People who are afraid to leave their
One of the other unique trading activities homes, especially at the beginning of the
in Makassar, apart from trading sea products, increasing number of victims who have fallen
is gadde-gadde (Wahyuni, 2015; Wahyuni & due to the pandemic, are the second factor
after the depletion of people's wallets which

Copyright © 2021, AKunsika, ISSN 2722-3701 (cetak), 2722-3590 (online)
Andi Sri Wahyuni, How did Paggadde-gadde Maintain its Business? ... 44

causes gadde-gadde to lose customers even after the depletion of people's wallets which
more. So, how can paggadde-gadde maintain causes gadde-gadde to lose customers even
its business in the midst of this pandemic?, more. So, how can paggadde-gadde maintain
and what different actions did paggadde- its business in the midst of this pandemic?,
gadde take as a coping strategy between pre- and what different actions did paggadde-
pandemic and during a pandemic? in front of gadde take as a coping strategy between pre-
the house where the house is occupied by pandemic and during a pandemic?
taking up little space, generally the size of a
bedroom in the house. METODHOLOGY
Since around 2013, the onslaught of To answer the two research questions
minimarkets has begun to destroy the business above, this study used ethnography as a
arrangements for gadde-gadde in Makassar method of uncovering possible answers in the
(Wahyuni, 2017). The existence of modern field. Ethnography is one of the methods used
minimarkets that are not only in the city by many researchers from the field of anthro-
center, even in residential alleys, really pology with a research focus on community
worries the gadde-gadde (paggadde-gadde) culture. Ethnography is a form of research
traders. Especially if it is remembered that that attempts to uncover and discover culture,
small businesses such as gadde-gadde mostly not to prove and test hypotheses or theories.
take part in the process of supporting the Therefore, by itself, this ethnographic re-
paggadde-gadde families in Makassar, either search is a form of research with a qualitative
as helpers in covering the lack of the main approach to reflect reality.
source of livelihood for the family or even In general, this study is an ethnographic
become the main source in supporting the study that borrows the steps of a gradual ad-
needs of the family itself. vance research from Spradley (1979). In
However, the presence of a minimarket Spradley's (1979) famous book on the steps of
has had a significant impact on the turnover of ethnographic research, there are twelve stages
the Pagadde-gadde in Makassar. Services, that an ethnographer must go through to find a
locations near residential areas, more cultural theme and write down these findings.
complete goods, and lifestyle changes have The steps in question are illustrated in the fol-
made consumers more interested in lowing diagram:
minimarkets than in pagadde-gadde. Hence,
S p e c if ie s a n in f o r m a n t
the number of pagadde-gadde in Makassar has
decreased, a lot among pagadde-gadde who C o n d u c ti n g in t e r v i e w s w it h in f o r m a n t s
shifted their efforts to other fields due to the
competition that is getting tougher with T a k e e t h n o g r a p h ic n o te s

modern retailer (Chyan & Sumarta, 2018). P r o p o s e d e s c r i p ti v e q u e s ti o n s
The problem of minimarket attacks has
not been resolved until now, then new prob- C o n d u c t a n in t e r v i e w a n a l y s i s
lems come in 2020. The disaster in the form
M a k e a d o m a in a n a l y s i s
of the Covid-19 pandemic which began to en-
ter Indonesia in early 2020, is another major P r o p o s e s t r u c t u r a l q u e s ti o n s
shock for small traders such as pagadde-
M a k e a tax o n o m ic an alysis
gadde. The loss of jobs for most of the casual
workers and the decline in the income of C o n t r a s t in g q u e s t io n s
many families due to the abnormality of the
M a k e a c o m p o n e n t a n a ly s is
macroeconomic cycle during the pandemic
caused a drastic shortage of customers. F in d c u lt u r a l t h e m e s
People who are afraid to leave their
homes, especially at the beginning of the in- W r it in g th e e th n o g r a p h i c

creasing number of victims who have fallen Figure 1 Ethnographic Research Steps
due to the pandemic, are the second factor (Spradley, 1976)

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45 AKUNSIKA, Vol 2, No 1, Januari 2021, hal 08 - 14
The first three steps (black boxes) repre-  the stage of asking descriptive questions
sent a research phase with a broader focus produces a draft of descriptive questions
(Spradley, 1976). As for the next stages, eth- and their answers;
nographers began to carry out more focused  the stage of conducting the ethnographic
investigations and do a lot of analysis interview analysis producing the original
(Spradley, 1976). terms of the informants
As a first step, the paggadde-gadde who  the domain analysis stage produces do-
became the informant in this study was Mrs. main analysis tables (attachment 1);
R, who lives in a small hallway in Makassar  the stage of asking structural questions
City. Having been selling for more than 15 produces structural questions and an-
years, which means that it started to exist swers;
even before the arrival of modern minimar-  the stage of making the taxonomic analy-
kets, shows that Mrs. R's business is quite sus- sis resulting in a taxonomic diagram of
tainable and naturally uses her business strat- lines and points
egy to stay open in society. Therefore, Mrs. R
was chosen as a representation of the pag-
gadde-gadde in Makassar, which has ab-
sorbed many of the cultural values of the peo-
ple and internalized them in the business they
run.
In the second stage, the interview process
is carried out directly and uses a recording aid
from a smartphone which is then transcribed
in the form of an interview conversation. In-
terviews are always conducted in a relaxed
manner, or in Spardley's (1979) terms, using
the 'Language of Friendship' to make infor-
mants more comfortable answering ethnogra- Figure 2 Taxonomic Diagram
pher's questions. During the research, the
sound of vehicles passing in front of the hall-  the asking contrast question stage pro-
way or television can often be heard in re- duces a draft of the contrast questions and
corded conversations, indicating a friendly answers;
and relaxed interview.  the component analysis stage produces a
Furthermore, in the third stage, the re- paradigm table
searcher began to make ethnographic notes
from a collection of interview recordings sup- Table 1 Paradigm Table
ported by the results of field observations in
the form of direct conditions when the inter-
view was conducted. Paggadde-gadde finan-
cial records, such as customer debt records,
also provide support for ethnographic records.
At a later stage, researchers conducted
more analyzes of the results of ethnographic
records, where data analysis was carried out
in stages from the fourth to the eleventh steps.
Each stage has different analytical objectives  the stage of finding cultural themes pro-
and different analysis results. Following are duces a schematic diagram of the cultural
the details of the analysis and the results of atmosphere
the analysis:

records. "Yes, but the content is all about
loans," said Mrs. R.
Suffix “ji” and “mi” is used by the infor-
mant as typical dialect of local people in
Makassar when speaking in Bahasa. Interest-
ingly, when he considers himself to be using
the national language, the suffixes such as ji,
mi, ki', and so on are still attached to the end-
ings of the words that are spoken.
As a home business that was founded fif-
teen years ago, Mrs. R already has “people to
buy” or regular customers, who are their
neighbors. Therefore, it was easy for Mrs. R
to know when a stranger came shopping at her
gadde-gadde.
Figure 3: Schematic Diagram of cultural So far, the “people buying” referred to
themes
the neighbors around his house. As if a
Finally, in the twelfth stage, the re- stranger comes, it is usually because of a co-
searcher writes an ethnographic text into one incidence that there is a wedding celebration
complete research result. Although the re- in the hallway that invites many people. For
search steps were carried out sequentially, the such strangers, cash is the only option. Of
data collection process was not only done one course, it is risky to lend the strangers and
way. Mrs. R has already known people who live
However, as ideally research has accurate there.
validation, this research process constantly In contrast to the strangers “buy-in”, the
corrects the data in writing and confirms the neighbors around their house have other op-
correctness of the data from the informants on tions for payment, apart from 'pay in person'.
each analysis result obtained from each step. Because Mrs. R and her family are well-
Information that researchers still feel less con- known, the well-known 'buying person' is al-
tinues to be added during the data analysis lowed to borrow or pay at a later date. This
process. Therefore, the interview process for means that the more customers are known to
additional data continued even after the re- Mrs. R, the more it is possible for other pay-
searcher had entered the analysis stage. ment methods besides cash payments.
As for the time to do this research, from Citing the results of an interview with
the first to the twelfth step, it took eight Mrs. R about why she decided to set up her
months (February - September 2020). During gadde-gadde in 2005, it is not surprising that
those eight months, intensive communication this leniency in payment methods was en-
was always carried out with the Mrs. R infor- forced for her neighbors.
mants so that the collected data was intact and "Yes, one of the goals is for making
unbiased. them to be easier on buying things, they
do not need to go far on foot, ..."
RESULTS AND DISCUSSION This answer was enough to get Mrs. R's
attention to make it easier for her neighbors.
Strategy for Sustaining Business Before the Therefore, if a neighbor is having financial
Pandemic difficulties, it is permissible for him to borrow
Mrs. R calls her customers “people who from Mrs. R.'s gadde.
buy”, as she also calls customers who owe However, with the convenience of pay-
“people who borrow”. An example of this use ment methods at a later date, Mrs. R still
can be seen from Mrs. R's answer when asked maintains the smooth operation and availabil-
by the researcher whether she has financial ity of her selling items so that they are not

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47 AKUNSIKA, Vol 2, No 1, Januari 2021, hal 08 - 14
completely empty. the main reason Mrs. R closed her “Gadde-
The strategy adopted by Mrs. R was to Gadde” for a while.
increase the price of goods that were in high “There are still those who come to go
demand. With the increase in the price of into debt, but as long as there is a virus or
these goods, customers who are willing to in pandemic situation, it is not allowed to
borrow will move to other goods of the same give them credit first. This is because the
type but not much demanded by "buyers". number of buyers are decreasing. Another
This is illustrated in the following story of reason is there are more people who are
Mrs. R: in debt than those who pay in cash affect-
“There are several items, we have ing no income that will be used to buy the
provided the information that we have goods to sell".
increased the price fro the items sold on From this narrative, it is implied that Mrs.
credit, for example the price of the previ- R understands how to control the ratio and
ous item was Rp 3000 to Rp 3500 if buy- turnover of her current assets. Even though it
ers decide to get it on credit … It also de- required "people to buy", pandemic condi-
pends on the stock, if the item is sold, it tions meant that transactions between pag-
means that the stock will be empty. If we gadde-gadde and “people buying” were
still want the stock to exist, by increasing stalled because “people buying” couldn't pay
the price, the buyer will think twice about by cash.
buying it on credit.” In addition, Mrs. R's statement in the in-
So, when the price of the item that Mrs. R terview: “those who usually offer themselves
refers to is increased, "people who buy" still to borrow” shows how Mrs. R views her life
want to buy it by going in to debt? This is in running her business and sees her relation-
where Mrs. R's business strategy will appear ship with customers.
to be working. In conventional economics, people who
“So, they still owe but by buying want to be in debt are considered parties who
similar goods which are not increased in need help, so they are usually in a position of
price...” demand, not supplier. However, Mrs. R does
By implementing this strategy, there are not pay attention to the financial capabilities
two classifications of profit. The first profit of her customers as “demand party”, even
comes from the difference in the price of the though the customer was in trouble. Mrs. R
goods purchased by the “borrower” and the sees people who are willing to borrow as par-
cost of the goods. The second one is an indi- ties who also benefit from the transactions she
rect advantage, namely the profit of the inven- makes, even though it is in the form of debt.
tory of merchant. This is not well-circulated Therefore, Mrs. R called customers who were
becomes salable and ultimately does not be- willing to borrow money as the ones who
come damaged goods at Mrs. R “gadde- made the offer or as a supplier too.
gadde”. He embodies the benefits of having Mrs. R's humility to honor her customers
his gadde-gadde stall opened: being helpful is one of values that have been entrenched in
for the struggled neighbors. her as a paggadde-paggade. This is evidence
of an interdependent and need each other
Strategies for Sustaining Business in a Pan-
among its customers, even if it is with cus-
demic Period
tomers who like to borrow.
Covid-19 virus entered Indonesia in early The same pattern of humility and depend-
2020, almost all private business lines were ence can be traced from the research of Wa-
negatively impacted. Moreover, small busi- hyuni (2015), Wahyuni & Chariri (2016) &
nesses such as “gadde-gadde” in Makassar Wahyuni & Nentry (2017) regarding the sim-
were also devastated. The impact has even plicity of a paggadde-gadde in managing a
made several stalls close. business that was set up right in front of his
Apart from the decreasing the number of own house.
buyers, fear of spreading the virus was also

In addition to meeting the needs of her Wahyuni, A. S. (2015). Predatory Pricing:
neighbors, Mrs. R's gadde-gadde business Persaingan Harga Minimarket dan
also benefits her own family because they Gadde-gadde dalam Metafora Cer-
don't have to leave the house to buy daily ne- pen. Jurnal Akuntansi Multipara-
cessities. Especially during the pandemic, digma, 6(2), 237-244.
when people were encouraged to stay indoors, Wahyuni, A. S., & Chariri, A. (2016). Mem-
Mrs. R's gadde-gadde became a source of as- bangun Kesadaran Kritis Mahasiswa
sistance to provide the family's daily necessi- Akuntansi: Sebuah Pembelajaran Trans-
ties. formatif.
Wahyuni, A. S., & Nentry, A. (2017). Ingatan
CONCLUSION Adalah Media: Studi Etnografi Trik
This ethnographic study records and analysis Bertahan Dan Pencatatan Kondisi
results the strategy taken before the pandemic is to Keuangan Seorang Paggade-
provide customers with ease of transactions with Gadde. Jurnal Akuntansi dan Bisnis, 17
loan goods when the customer, who is a neighbor (2), 76-87.
of paggadde-gadde herself, is in financial trouble.
However, during the pandemic, another strategy
carried out was by not providing loans for a while
so that the current asset turnover ratio remains
stable.
This research can then be used as a reference
for other paggadde-gadde in Makassar in particu-
lar, and similar home entrepreneurs in general.
The results of the research can also be used as a
reference for city governments in formulating
policies related to regulations involving small
businesses such as paggade-gadde businesses.

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