Abstract
This paper proposes a framework for assessing the entrepreneurial capabilities of small rural enterprise owners in developing countries and applies it, as a case study, to a rattan furniture industry in a village in Central Java, Indonesia. The framework is based on an examination of the functions the firms perform, the resources applied to them, and the standard operating procedures used. The main objectives are to identify the ability of the firms to grow and transform and to suggest appropriate policy and project interventions.

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