Driving MSME Sustainability through Self-Efficacy: The Dual Mediating Roles of Entrepreneurial Orientation and Pro-Environmental Behavior
DOI:
https://doi.org/10.55927/eajmr.v5i8.286Keywords:
Cognitive Social Theory, Entrepreneurial Orientation, MSME Sustainability, Pro-Environmental Behavior, Self-EfficacyAbstract
To support economic growth, job creation, and SDGs, understanding MSME sustainability is vital. Integrating Social Cognitive Theory and sustainable entrepreneurship, this study examines how self-efficacy drives MSME sustainability through the parallel mediation of entrepreneurial orientation (EO) and pro-environmental behavior (PEB). Survey data from 185 culinary MSMEs in South Tangerang, Indonesia, were analyzed using SEM-PLS. Results show self-efficacy significantly enhances sustainability directly and indirectly. Both EO and PEB act as partial mediators, with EO dominating while PEB’s independent contribution remains low. Practically, MSMEs should foster mental resilience and social harmony. Meanwhile, local governments must intervene with financial incentives and green infrastructure to address low environmental commitment, securing comprehensive and sustainable MSME development.
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