Diffusion of Social Innovation: the Innovation Provider’s Perspective

Social innovation (SI) is a potential solution to various problems and challenges in the agriculture sector. Agri-tech start-ups can be considered important agents for developing SI in the sector. In Indonesia, agri-tech start-ups are also expected to develop SI for sustainable agricultural development in the medium-term national development plan 2020–2024. Using multiple case studies, this paper attempts to complement the currently available literature and deepen the knowledge regarding the differences between SI and traditional innovation. This research also discusses the role of business organizations, represented by agri-tech start-ups, in developing SI, by observing the diffusion model and innovation-decision process. This research identifies characteristics of SI theoretically complemented with empirical description. Three models of diffusion leading to different types of innovation-decision processes and communication channels are identified. Several internal and external factors are influencing the diffusion process. In the process, the start-ups also hold bridging roles that vary according to company characteristics. Practical implications regarding successful SI development are provided.