| dc.description.abstract | Micro, Small, and Medium Enterprises (MSMEs) face difficulties in combining
sustainable practices with digital technology to maintain competitiveness amid
increasing environmental demands and digital changes. This study aims to analyse
the impact of digital technology adoption, green dynamic capability, and green
market orientation on the sustainable performance of MSMEs, with green product
innovation as a mediating factor. This research uses a quantitative methodology,
collecting primary data from 105 MSME owners or managers in Yogyakarta
through an online questionnaire, which was then analysed using Partial Least
Squares-Structural Equation Modelling (PLS-SEM). The findings show that the use
of digital technology, green dynamic capabilities, and green market orientation
significantly increase green product innovation and sustainable performance, with
green dynamic capabilities having the most significant impact. Green product
innovation fully mediates the relationship between green market orientation and
sustainable performance, highlighting the importance of MSMEs' ability to develop
environmentally friendly products to improve sustainable performance. These
findings theoretically enrich sustainable business theory and provide practical
implications for MSMEs to accelerate digital adoption, develop green capabilities,
and promote environmentally friendly product innovation to improve sustainable
competitiveness. | en_US |
