Green Market and Environmental Dynamism for Green Entrepreneurship in SMEs

This study aims to examine the influence of green markets on green entrepreneurship by considering the role of environmental dynamism as a moderating variable in the Small and Medium Enterprises (SMEs) sector in Indonesia. The concept of green entrepreneurship prioritizes environmentally friendly products and production innovation to support business sustainability and maintain environmental sustainability. Through data analysis from 105 respondents engaged in sustainable business practices, the results show that green products and green production have a positive and significant impact on green entrepreneurship. However, environmental dynamism has not been proven to moderate the relationship between green products, green production, and green entrepreneurship. This finding suggests that while environmental dynamism is crucial in the context of rapid external change, internal company factors such as environmentally friendly products and production innovations are more significant determinants of green entrepreneurship development in Indonesia. This study contributes to the understanding of how SMEs can optimize green entrepreneurship practices in the face of increasingly complex global challenges.