Proceedings of the 1st International Conference on Business, Law And Pedagogy, ICBLP 2019, 13-15 February 2019, Sidoarjo, Indonesia

Research Article

Environmental aspects of Micro, Small and Medium Enterprises (MSMEs)

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  • @INPROCEEDINGS{10.4108/eai.13-2-2019.2286196,
        author={Hartomi  Maulana and Khoirul  Umam and Rahma Yudi Astuti and Eko Nur Cahyo and Roghiebah Jadwa Faradisi},
        title={Environmental aspects of Micro, Small and Medium Enterprises (MSMEs)},
        proceedings={Proceedings of the 1st International Conference on Business, Law And Pedagogy, ICBLP 2019, 13-15 February 2019, Sidoarjo, Indonesia},
        publisher={EAI},
        proceedings_a={ICBLP},
        year={2019},
        month={10},
        keywords={micro small and medium enterprises (msmes) environmental entrepreneurs east java},
        doi={10.4108/eai.13-2-2019.2286196}
    }
    
  • Hartomi Maulana
    Khoirul Umam
    Rahma Yudi Astuti
    Eko Nur Cahyo
    Roghiebah Jadwa Faradisi
    Year: 2019
    Environmental aspects of Micro, Small and Medium Enterprises (MSMEs)
    ICBLP
    EAI
    DOI: 10.4108/eai.13-2-2019.2286196
Hartomi Maulana1,*, Khoirul Umam1, Rahma Yudi Astuti1, Eko Nur Cahyo1, Roghiebah Jadwa Faradisi1
  • 1: Universitas Darussalam Gontor
*Contact email: mhartomi@unida.gontor.ac.id

Abstract

Even though growing literature on environmental practices of large companies, the role of MSMEs remains less attention. While MSMEs dominate most firms in Indonesia, they will indirectly affect ecological issues. This study looks at the extent to which MSMEs involve in environmental practices. Specifically, the study attempts to assess the firm’s size and firm’s business sector and its influence on ecological aspects. Primary data collected by self-administered questionnaires with a sample of 250 respondents from selected MSMEs owners in East Java is carried out. The finding of the study revealed that firms size positively affect the entrepreneur's involvement in environmental practices. It indicates that greater firm size in the level of MSMEs is more likely to involve in environmental practices. Moreover, the firm’s business sector is also found to have positive influence entrepreneur’s engagement in environmental practice. The study suggests MSMEs particularly consumer goods and restaurant sectors are more closely monitored by the owner or manager which make them more likely to undertake environmental strategies.