The Role of Pesantren on Society Economy Development

The objective of this research is to acknowledge the role of pesantren on society economy development, and to analyze the way pesantren implements its integrated supply chain strategy in building the economy of its surrounding areas. The method utilized in this research is a descriptive qualitative method, with data source obtained by informants consist of pesantren leaders or their representatives and a number of students in two pesantrens chosen as subjects in this research. The intended two pesantrens are Pesantren Najaahaan in Garut Regency and Pesantren Cipasung in Tasikmalaya City. This research requires primary data which were collected by conducting interview with the aforementioned informants and secondary data obtained from related relevant references with this research. Based on field data, we managed to reveal that Pesantren Najaahaan with its entrepreneurship activities implements backward and forward integration strategies that play vital role on economy development in upstream and downstream sectors. The existence of Pesantren Cipasung as a well-known pesantren has brought significantly positive influence on the development of social and economy aspects on the surrounding society. Development in economic field is reflected on the emergence of a number of micro small and middle scale commerce and businesses around pesantren area.