ANALYSIS OF THE ROLE OF ENTREPRENEURSHIP EDUCATION AND DIGITAL LITERACY IN IMPROVING THE SUSTAINABILITY OF MSMES IN INDONESIA

Abstract

Entrepreneurship education plays a vital role in encouraging the sustainability of Micro, Small, and Medium Enterprises (MSMEs) amid rapid digital transformation and green economic demands. This study aims to analyze the contribution of entrepreneurship education to the sustainability of MSMEs in Indonesia by integrating the Triple Bottom Line framework  (economic, social, and environmental aspects). Through a mixed-methods approach that brings together regression quantitative data analysis and structural equation modeling (SEM-PLS) as well as qualitative analysis of case studies on MSME actors in various regions, this study evaluates the dynamics of entrepreneurial learning. The results of the quantitative analysis showed that entrepreneurship education had a significant direct effect on business sustainability with a path coefficient ranging from 0.249 to 0.894. The synergy between entrepreneurship education and digital literacy as a moderating variable can significantly increase the model determination coefficient. However, the analysis  of the Triple Bottom Line dimension  detected a sharp disparity, where the environmental (planet) and economic (profit) dimensions are still in the medium to low category compared to the social dimension (people). This is due to the conventional educational approach that is too oriented to short-term profits and the complexity of green certification procedures for small-scale business actors. This study recommends restructuring the national entrepreneurship curriculum towards an experiential learning method oriented towards SDGs in order to build dynamic capabilities and environmentally friendly technology readiness in an inclusive manner.