Analyzing the Impact Priorities of Indonesian B-Corp SMEs: A Correlation Study Across Community, Worker, Environment, Governance, and Customer Sectors
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July 3, 2024Analyzing the Impact Priorities of Indonesian B-Corp SMEs: A Correlation Study Across Community, Worker, Environment, Governance, and Customer Sectors
ABSTRACT:- This chapter explores the journey of Indonesian small and medium enterprises (SMEs) towards sustainability through the lens of B-Corp certification. SMEs in Indonesia face unique challenges in integrating sustainable practices, influenced by factors such as limited awareness, financial constraints, and regulatory barriers. Despite these challenges, B-Corp certification offers a structured framework that encourages SMEs to adopt sustainable development goals, enhancing their competitiveness and contributing to Indonesia’s sustainable development agenda. Through correlational analysis of B Impact Assessment data from 10 certified SMEs, this study highlights community engagement as the most influential factor positively impacting overall sustainability scores. Governance, worker, environmental, and customer dimensions also contribute variably, underscoring the need for targeted improvements across these areas. The findings emphasize the importance of fostering community relationships, implementing robust environmental practices, and enhancing governance frameworks to strengthen SMEs’ sustainability and social impact.
KEYWORDS– SMEs, B-Corp Certification, Sustainability, Community, Indonesia