Determinants of MSME Sustainability in Kupang City: A Triple Bottom Line Perspective

Abstract

This study applies the Triple Bottom Line (TBL) approach to analyze the determinants of sustainability for Micro, Small, and Medium Enterprises (MSMEs) in Kupang City. A mixed-methods design was used, combining qualitative analysis with ATLAS.ti, quantitative analysis with logistic regression, and priority analysis with the Analytic Hierarchy Process (AHP). The study involved MSME owners selected through purposive sampling. The variables examined include capital, business duration, age, education level, gender, financial literacy, financial inclusion, and fintech utilization. The findings show that MSME sustainability consists of profit, people, and planet dimensions. Logistic regression results indicate that education level and fintech utilization positively influence MSME sustainability, while financial inclusion has a negative effect. AHP analysis identifies profit as the highest priority for supporting MSME sustainability, followed by the people and planet aspects. Overall, the findings suggest that MSME sustainability in Kupang City is still primarily driven by economic factors.

Keywords:  MSMEs Sustainability, Triple Bottom Line, ATLAS.ti, Logistic Regression, AHP, Kupang City