The Contribution of Modern Market to The Economic Growth of Poso Regency (The Case Study of Poso City Mall Modern Market)

Abstract

The economic growth of the Poso Regency has been relatively stable in the past few years. There is a paradoxical indication that the amount of regional revenue and public service infrastructure construction has increased every year. Yet, it is not equal to the acceleration of micro-economic businesses' growth. On the other hand, poverty and unemployment rates are still relatively high which triggered various speculations, one of them directed to large-scale investors such as the existence of modern markets. Poso City Mall (PCM) is the largest modern shopping centre in Poso Regency which is considered by some as a reliable competitor that creates an imbalance climate in business competition. This research carried out using a descriptive-qualitative approach. The collected research data was mostly derived from institutional data combined with the results of in-depth interviews. The data validity is triangulated and tested through Focused Group Discussion (FGD) and interpreted in an interpretative way. The results showed that the existence of Poso City Mall (PCM) had a positive contribution in terms of (1) regional revenue through the tax; (2) encouraging the growth of community economic businesses; (3) policy priority for local workers recruitment. But, the nonoptimal condition of PCM internal management combined with an external economic situation caused stagnation and even an alarming indication of the business crisis. In addition, the Poso Regional Government's commitment and support were not enough in overcoming the threat of the crisis.