A Qualitative Study on Sustainability Entrepreneurship and Sustainable Business Practices of Two Selected MSMEs in the Philippines

Date

6-2021

Degree

Bachelor of Science in Agribusiness Management

College

College of Economics and Management (CEM)

Adviser/Committee Chair

Remund Jordan D. Labios

Committee Member

Remund Jordan D. Labios, Nohreen Ethel P. Manipol, Renen Szilardo C. De Guzman

Abstract

In this study, the researcher hoped to be able to contribute to the progress of sustainability entrepreneurship and sustainable business practices in the Philippines by doing a

qualitative research that sought to discover what sustainable business practice characteristics are present in MSMEs in the Philippines through the lenses of Caldera et al.'s NRBV + enabling characteristics of sustainable business practice model (2018) and Foucrier and Wiek's (2019) process-oriented framework of competencies for sustainability entrepreneurship, and discover the motivations of the enterprises' founders. Inspired by today's growing trend of businesses gearing towards addressing environmental and societal bottom-lines instead of focusing only on the traditional profit-centered objective, the researcher analyzed two companies: the travel essentials company and the chocolate company. The companies' names were changed to protect their identities.

This study presented the profile of the two enterprises and looked into their strategies and operations. The objectives of the study were to (a) present the profile, goals, vision, and mission of the enterprises; (b) study and discuss the operations and strategies of the enterprises with respect to the three key themes of sustainable business practice: environmental stewardship, process excellence, and sustainability-oriented culture; (c) map the position of the enterprises based on the process-oriented framework of competencies for sustainability entrepreneurship; (d) identify the obstacles and opportunities that enterprises are currently facing regarding sustainability; (e) recommend strategies that will help the enterprises progress in sustainable business practice.

Primary data were gathered using questionnaires that were distributed online. The collected data were analyzed using inductive reasoning, the NRBV + enabling characteristics of sustainable business practice model, and process-oriented framework of competencies for sustainability entrepreneurship. The two frameworks worked well together in covering different key aspects of sustainability in business: environmental stewardship, process excellence excluding risk profiling, sustainability-oriented culture, sustainability entrepreneurship tasks, sustainability entrepreneurship competencies, and sustainability competencies of two companies. Through the analysis, it was found out that both companies exhibited characteristics of sustainable business practice. They possess different sustainability entrepreneurship competencies and operate in different phases in the process-oriented framework of competencies for sustainability entrepreneurship. In addition, some sustainability competencies were lacking from the travel essentials company, which is currently at the start-up phase. In order to address this problem, the recommendation was for the entrepreneur to acquire the missing knowledge, skills, and attitudes prescribed by the framework and continuously apply the Natural ResourceBased View strategy. It was also recommended that the entrepreneur educate herself about the different lean problem-solving tools and different environmental management rating tools, collaborate with other change agents like the government and NGOs to help the enterprise expand, continuously integrate the enterprise’s strategy into its vision, integrate stakeholders in the company’s strategy, have a shared vision, and have continuous development.

Meanwhile, based on their strategy and vision, the chocolate company, which was already in the build-out phase, showed interest in transitioning to the consolidation phase. The recommendation made was for the company to continue pursuing qualitative growth, monitoring the processes in the previous phases, and managing its triple bottom-line. In addition, the company may also share its principles, processes, and experiences and mentor other entrepreneurs so that they can have the chance to innovate and transform their own companies. In the future, the company may also choose to hand over the ownership to their employees. The enterprise was also advised to learn more about lean manufacturing tools, selecting future suppliers with process-efficiency standards.

The recommendations for aspiring sustainability entrepreneurs and transitioning enterprises are to embody the nine characteristics by following the process-oriented framework of competencies for sustainability entrepreneurship and continuously implementing the NRBV strategies. Aside from funding, the government may also help enterprises by providing a more focused training on sustainability entrepreneurship based on the process-oriented framework of competencies for sustainability entrepreneurship and NRBV + enabling characteristics of sustainable business practice model. The government may also influence other big corporations involved in sustainability entrepreneurship to provide education and training for other entrepreneurs. For further studies, it is recommended to conduct a study with a more quantitative approach. In addition, the findings in this study can be used to create a training program that will benefit start-up companies or companies that want to be more sustainability-oriented.

Language

English

LC Subject

Entrepreneurship

Location

UPLB College of Economics and Management (CEM)

Call Number

LG 993 2021 M17 E53

Document Type

Thesis

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