FACTORS THAT INFLUENCE THE INTENTION OF MSMES IN THE CULINARY / FOOD AND BEVERAGE SECTOR IN THE BANDUNG CITY TO ENVIRONMENTALLY FRIENDLY BUSINESS

• Main Author: Hidayat, Arif
• Format: Final Project
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/40873
• Institution: Institut Teknologi Bandung

in the development of the economy of a country, especially in developing countries. In Indonesia, from the labor force data employed by SMEs in 2013 from the Indonesian Ministry of Cooperatives and SMEs, it was revealed that SMEs could dominate and absorb more than 99.99% of market segments. Large companies only absorb the remainder, which is around 0.01%. An amazing amount to help a country's economy. One sector that attracts attention is the culinary / food and beverage sector. Small and medium-sized businesses have a large and significant role in the development and growth of the global economy, especially in developing countries (Ayyagari et al., 2007). So, that the potential of this sector should continue to be developed. However, on the one hand, MSMEs are also involved in issues that are quite alarming, namely environmental pollution. As an important part of the world economy, MSMEs are also responsible for around 60% of all carbon dioxide emissions and 70% of all pollution (Parker et al., 2009). So that a socialization and education so that MSMEs can become an environmentally friendly business. This study aims to determine the factors that influence the readiness of MSMEs in the culinary / food and beverage sector to become environmentally friendly businesses and also to find out the intentions of MSMEs in the culinary / food and beverage sector to become environmentally friendly businesses. There are several factors that influence the intention of MSMEs to conduct environmentally friendly businesses. These factors are the price of environmentally friendly products, people's purchasing power, the benefits of environmentally friendly products, and the availability of conventional products. These factors were adopted into a framework for semi-structured interviews with MSME owners in the culinary / food and beverage sector in the city of Bandung. Based on the results of interviews with qualitative analysis, several other factors emerged which consisted of supporting factors and inhibiting factors. For supporting factors such as customer awareness, customer interest, cost savings, brand image, regulation, and business networks. And for inhibiting factors such as target markets, poor mentality, education, product endurance, high costs, and practicality. Finally, all participants have the intention to do environmentally friendly business even though they currently have obstacles to doing so.