Social Inequality and Access to Business Legal Protection for MSMEs

Main Article Content

Daniel Kusnadi
Dharma Setiawan Negara

Abstract

Social inequality can shape the ability of micro, small, and medium enterprises to use business law even when formal legal protection is equally available. This article examines how socioeconomic structure affects MSMEs’ access to contractual protection and business licensing. An integrative literature review is employed, combining socio-legal scholarship, MSME studies, and Indonesian regulations. The findings indicate that income, education, legal literacy, digital skills, geographical location, social networks, and bargaining power influence whether MSMEs can understand contracts, negotiate terms, document transactions, resolve disputes, and obtain business legality. Contractual inequality is particularly visible when small firms depend on larger business partners that control standardized terms. Risk-based licensing through the Online Single Submission system can reduce bureaucratic barriers, yet digital inequality and limited access to assistance may reproduce exclusion. More equitable protection requires accessible legal assistance, practical contract education, low-cost dispute resolution, digital support, local facilitation, and multiple service channels. Legal equality becomes meaningful when MSMEs with different social resources have realistic opportunities to understand and exercise their business rights.

Article Details

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How to Cite

Kusnadi, D., & Negara, D. S. (2025). Social Inequality and Access to Business Legal Protection for MSMEs. Journal of Social Science Studies, 5(1), 205-216. https://jos3journals.id/index.php/jos3/article/view/433

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