How do environmental awareness, IT use, and credit access shape the sustainability of Indonesian MSMES?

This study aims to analyze the influence of environmental awareness, information technology (IT) use, and access to credit as moderators on the sustainability of Indonesia’s micro, small, and medium enterprises (MSMEs). Data were obtained through a survey of 1,374 MSMEs. Sampling was carried out usi...

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Main Authors: Hadi Ismanto, Aida Nahar, Silviana Pebruary, Purwo Adi Wibowo, Miftakhussabili Nuril Firdaus
Format: Article
Language:English
Published: LLC "CPC "Business Perspectives" 2024-12-01
Series:Problems and Perspectives in Management
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Online Access:https://www.businessperspectives.org/images/pdf/applications/publishing/templates/article/assets/21197/PPM_2024_04_Ismanto.pdf
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author Hadi Ismanto
Aida Nahar
Silviana Pebruary
Purwo Adi Wibowo
Miftakhussabili Nuril Firdaus
author_facet Hadi Ismanto
Aida Nahar
Silviana Pebruary
Purwo Adi Wibowo
Miftakhussabili Nuril Firdaus
author_sort Hadi Ismanto
collection DOAJ
description This study aims to analyze the influence of environmental awareness, information technology (IT) use, and access to credit as moderators on the sustainability of Indonesia’s micro, small, and medium enterprises (MSMEs). Data were obtained through a survey of 1,374 MSMEs. Sampling was carried out using purposive sampling techniques, targeting MSMEs that had been established for more than 3 years and had received loans from financial institutions. The analysis used the ordinary least square (OLS) regression method to evaluate the relationship between the independent variables and MSME sustainability. The results show that environmental awareness and IT use significantly positively affect MSME sustainability. Credit access was also found to have a significant and positive effect. However, the interaction between credit access, environmental awareness, and IT use resulted in a small but significantly negative effect. This suggests that an excessive increase in credit access might reduce the positive impact of environmental awareness and IT use on MSME sustainability. Overall, this study confirms the importance of environmental awareness and information technology in improving MSME sustainability and highlights the need for proper management of credit access. AcknowledgmentAppreciation is given to the Directorate General of Higher Education, Research and Technology, Ministry of Education, Culture, Research and Technology, which has provided a fundamental research grant with contract number 108/E5/PG.02.00.PL/2024. Acknowledgments are also expressed to higher education service institutions (LLDIKTI) Region 6 and the Institute of Research and Community Services (LPPM) Unisnu Jepara Indonesia, which has supported this research.
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spelling doaj-art-66e9bac7e53b408485dcb87e4de8b2f62025-08-20T01:58:45ZengLLC "CPC "Business Perspectives"Problems and Perspectives in Management1727-70511810-54672024-12-0122451252210.21511/ppm.22(4).2024.3821197How do environmental awareness, IT use, and credit access shape the sustainability of Indonesian MSMES?Hadi Ismanto0https://orcid.org/0000-0002-3307-2241Aida Nahar1https://orcid.org/0000-0002-2789-111XSilviana Pebruary2https://orcid.org/0000-0002-9440-8845Purwo Adi Wibowo3https://orcid.org/0009-0002-7633-7227Miftakhussabili Nuril Firdaus4https://orcid.org/0009-0003-5409-4022Ph.D. Student, Sebelas Maret University, Indonesia; Associate Professor, Faculty of Economics and Business, Department of Management, Nahdlatul Ulama Islamic University, IndonesiaDr., Associate Professor, Department of Accounting, Faculty of Economics and Business, Nahdlatul Ulama Islamic University, IndonesiaMaster, Assistant Professor, Department of Islamic Economy, Faculty of Economics and Business, Nahdlatul Ulama Islamic University, IndonesiaMSc, Assistant Professor, Faculty of Economics and Business, Department of Management, Nahdlatul Ulama Islamic UniversityBachelor, Assistant Lecturer, Department of Management, Faculty of Economics and Business, Nahdlatul Ulama Islamic University, IndonesiaThis study aims to analyze the influence of environmental awareness, information technology (IT) use, and access to credit as moderators on the sustainability of Indonesia’s micro, small, and medium enterprises (MSMEs). Data were obtained through a survey of 1,374 MSMEs. Sampling was carried out using purposive sampling techniques, targeting MSMEs that had been established for more than 3 years and had received loans from financial institutions. The analysis used the ordinary least square (OLS) regression method to evaluate the relationship between the independent variables and MSME sustainability. The results show that environmental awareness and IT use significantly positively affect MSME sustainability. Credit access was also found to have a significant and positive effect. However, the interaction between credit access, environmental awareness, and IT use resulted in a small but significantly negative effect. This suggests that an excessive increase in credit access might reduce the positive impact of environmental awareness and IT use on MSME sustainability. Overall, this study confirms the importance of environmental awareness and information technology in improving MSME sustainability and highlights the need for proper management of credit access. AcknowledgmentAppreciation is given to the Directorate General of Higher Education, Research and Technology, Ministry of Education, Culture, Research and Technology, which has provided a fundamental research grant with contract number 108/E5/PG.02.00.PL/2024. Acknowledgments are also expressed to higher education service institutions (LLDIKTI) Region 6 and the Institute of Research and Community Services (LPPM) Unisnu Jepara Indonesia, which has supported this research.https://www.businessperspectives.org/images/pdf/applications/publishing/templates/article/assets/21197/PPM_2024_04_Ismanto.pdfcredit accessenvironmental awarenessenvironmental responsibilityIT usageMSME sustainability
spellingShingle Hadi Ismanto
Aida Nahar
Silviana Pebruary
Purwo Adi Wibowo
Miftakhussabili Nuril Firdaus
How do environmental awareness, IT use, and credit access shape the sustainability of Indonesian MSMES?
Problems and Perspectives in Management
credit access
environmental awareness
environmental responsibility
IT usage
MSME sustainability
title How do environmental awareness, IT use, and credit access shape the sustainability of Indonesian MSMES?
title_full How do environmental awareness, IT use, and credit access shape the sustainability of Indonesian MSMES?
title_fullStr How do environmental awareness, IT use, and credit access shape the sustainability of Indonesian MSMES?
title_full_unstemmed How do environmental awareness, IT use, and credit access shape the sustainability of Indonesian MSMES?
title_short How do environmental awareness, IT use, and credit access shape the sustainability of Indonesian MSMES?
title_sort how do environmental awareness it use and credit access shape the sustainability of indonesian msmes
topic credit access
environmental awareness
environmental responsibility
IT usage
MSME sustainability
url https://www.businessperspectives.org/images/pdf/applications/publishing/templates/article/assets/21197/PPM_2024_04_Ismanto.pdf
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