Incorporating Sustainability into Small Business Innovation

Rinawiyanti, Esti Dwi (2016) Incorporating Sustainability into Small Business Innovation. In: 15th International Business and Economy Conference (IBEC) 2016 “Sustainability in Business and Economics” , 6-9 January 2016, Nürtingen, Stuttgart Metropolitan Region, Congress Center K3N and the University Building KII at Nürtingen-Geislingen University, Germany. (Unpublished)

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To win the increasingly fierce competition, small and medium micro enterprises (SMEs) are required to consistently innovate. However, when performing innovation, they should not only give priorities to profit, but also have awareness to human and the environment. This is appropriate with the triple bottom line principles of sustainable development, i.e. financial, social, and environmental. This research was conducted with purposes to describe how SMEs in Indonesia incorporate sustainability into their business innovation; to recognize internal and external factors which trigger sustainable innovation and also to identify the obstacles faced by SMEs in implementing it. The case study was taken from food processing SMEs in Surabaya as one of the prioritized industries in East Java. The survey method was used to get primary data from 100 respondents through questionnaire. Based on the results it can be recognized internal trigger factors of sustainable innovation among SMEs, i.e product (product remains favored, quality improvement, and product uniqueness), profit, business owner, and competitive advantage; while external trigger factors are consumers, competitors, government, and other parties. Internal obstacles of SMEs in sustainable innovation implementation are lack of human resource, time and money restriction, and the reluctance to perform innovation; whereas external obstacles are lack of information and lack of government support

Item Type: Conference or Workshop Item (Paper)
Uncontrolled Keywords: Sustainable Innovation, Trigger Factors, Obstacles, SMEs
Subjects: H Social Sciences > HD Industries. Land use. Labor > HD28 Management. Industrial Management
Divisions: Faculty of Engineering > Department of Industrial Engineering
Depositing User: Eko Setiawan 194014
Date Deposited: 27 Jan 2016 02:05
Last Modified: 08 Apr 2023 19:31

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