The Influence of Economic, Social, and Environmental Dimensions on Small and Medium-sized Enterprises (SMEs) Sustainability in Selangor

Abstract

This study endeavors to determine factors shaping SMEs sustainability, with a particular focus on the SMEs in Selangor. SMEs sustainability refers to the ability of Small and Medium-sized Enterprises (SMEs) to maintain and enhance their economic, social, and environmental performance over the long term. It involves the responsible and efficient use of resources, the development of resilient business practices, and a commitment to addressing social and environmental challenges. Sustainable SMEs strive for economic viability while considering the well-being of society and minimizing negative impacts on the environment. This includes efforts to foster innovation, ethical business conduct, community engagement, and environmental stewardship, contributing to long-term business success and positive societal outcomes.

By gathering and examining data from a sample of 100 SMEs operating in the Selangor region, this research delves into the factors that influence SMEs sustainability. It employs a quantitative research approach by disseminating a questionnaire through a Google Form developed by the researcher. A total of 243 questionnaire samples were distributed to all SMEs in Selangor. The statistical significance of the data was assessed using Statistical Package for the Social Sciences (SPSS) Software version 29. The findings indicate that all the variables had a substantial impact on the firm's performance. Consequently, to enhance the understanding of financial transparency within the company, it is imperative to give particular attention to improving the organizational structure within the workplace to enhance overall firm performance.