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Absorption Capacity and Development of Photocatalyst Green Ceramic Products with Moderation of Green Environment for Sustainability Performance of Developing Industries
Summary
This study evaluated the market adoption of photocatalytic green ceramic products among small and medium enterprises in Indonesia, using structural equation modeling to identify drivers of sustainability performance. Firms that adopted green product strategies showed improved sustainability outcomes. The results support policies encouraging small manufacturers to develop eco-friendly product lines.
Business Sustainability is closely related to the green environment and of the products produced, photocatalyst is one of the strategies in caring for the green environment. The benefits of this product are a very important opportunity for small business actors where ceramic SMEs have never developed photocatalyst green products. This study uses SEM-PLS analysis, with SmartPLS software as a processing tool where data is obtained from 300 business actors developing green products (photocatalysts) spread across Indonesia; data collection is carried out directly using questionnaires with stratified purposive sampling method and obtained research samples totaling 200 SMEs. This research shows that the development of green products can be a perfect mediation in bridging the absorption capacity and business sustainability. The development of green products encourages the spirit of obtaining information, interpretation, internalization and facilities by SMEs so as to provide increased productivity, increase production quality, increase environmental friendliness and more dissemination to the green product market. However, the green environment cannot drive the sustainable performance of SMEs because it is not fully understood that the green environment is driving its products but rather to market needs and profit targets and existing market needs.
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