Track: Business Management

Abstract

This study focuses on the contribution of environmental commitment to the achievement of business sustainability (business, environmental and social performance). Likewise, the author emphasizes the importance of contributing environmental commitment to the implementation of circular economy and the competitive advantage of Batik MSMEs in Sleman, DIY, Indonesia. Respondents were selected by purposive sampling on creative industry SMEs in Sleman, especially batik SMEs who have a commitment to business processes that use natural and not synthetic dyes. The statistical technique was processed with Partial Least square 3.0. The results of the study proved that MSMEs with an environmental commitment can improve their business sustainability (environmental and social), but not on business performance. Likewise, environmental commitment can improve the implementation of circular economy and the competitive advantage of batik SMEs in Sleman, DIY.