Eco-Innovation Implementation Strategy to Increase Competitive Advantage and Environmental Performance of Creative Craft Industry Players.
Keywords:
Eco-Innovation, Strategy, Environmental Performance, Creative Craft Industry Players.Abstract
Indonesia's creative industry transformation faces obstacles in maintaining competitiveness and improving environmental performance amid changing market dynamics and global policy shifts. One of the strategic efforts currently receiving attention is the implementation of eco-innovation, which is empirically believed to integrate sustainability aspects with the creation of new economic value for creative industry players, especially in the handicraft sector. This research aims to identify relevant forms of eco-innovation in Indonesia's creative sector, along with their obstacles and opportunities for implementation. Using the Grounded Theory design qualitative method, data were collected through in-depth interviews with creative craft industry players and related literature. The sampling process was carried out purposively to ensure the diversity of perspectives of industry players, by involving 225 active respondents from various regions in Indonesia as a representation of the creative craft industry population. Triangulation techniques are used to test the validity of the data, paying attention to demographic characteristics, business patterns, and the adoption of environmentally friendly innovations. The study's results show that the dominant forms of eco-innovation include the optimization of renewable local materials, environmentally friendly product design, and cross-sector collaboration based on local knowledge. Key barriers include limited access to technical information, high initial investment, and resistance to changes in work practices. However, great opportunities open up through synergy with government policies, human resource capacity building, and growing global market demand for sustainable products. The implications of this research confirm the importance of multi-stakeholder collaborative strategies in strengthening Indonesia's green innovation ecosystem in the creative sector. The theoretical and practical contribution of this research encourages policy adjustments and capacity building to create sustainable competitive advantages and optimal environmental performance at the national industrial level
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