14th International Telecommunications Society (ITS) Asia-Pacific Regional Conference: "Mapping ICT into Transformation for the Next Information Society", Kyoto, Japan, 24-27 June, 2017
Social businesses that solve local social problems using business methods have gained attention lately. Using information and communication technology (ICT) to solve social problems is expected to create social innovation that is compatible with social missions and business feasibility; however, the mechanism has not been clarified. In this research, a successful social business is analyzed with a focus on ICT and social capital, and attempts are made to define the mechanism of social innovation. The case of a direct sales store at a local roadside station was used to conduct a business model analysis using interviews to collect data. As a mechanism of social innovation, social capital has smoothly introduced ICT and strategic change, and the introduction of ICT changed the business model from a horizontal division type to a vertical integration type.