Micro and Small Enterprises, Climate Change Adaptation, and Mangrove-Based Resilience: Pathways to Achieving SDGs 8, 11, and 13 in Coastal Kendal, Indonesia
DOI:
https://doi.org/10.47747/snfmi.v3i1.3132Abstract
Micro and small enterprises (MSEs) are vital for local economies in developing countries but remain highly vulnerable to climate change, especially in coastal zones. This study investigates the adaptive capacity of MSEs in Kendal Regency, Central Java, Indonesia, a coastal area experiencing recurrent tidal flooding, land subsidence, and coastal erosion. Using a mixed-methods approach, survey data from 210 enterprises and interviews with 20 entrepreneurs were analyzed through partial least squares structural equation modeling (PLS-SEM) and thematic coding. The quantitative results indicate that access to finance, community collaboration, and entrepreneurial orientation each have a significant positive impact on adaptive capacity (H1–H3), while institutional Support enhances these relationships through moderating effects (H4–H6). Among these factors, access to finance emerged as the strongest predictor. The qualitative findings complement these results by illustrating three dominant adaptation strategies: pragmatic operational adjustments, diversification of business activities, and ecosystem-based adaptation through mangrove rehabilitation. However, gendered barriers persist, as women entrepreneurs reported more limited access to finance, community networks, and institutional recognition. By integrating quantitative and qualitative evidence, this study demonstrates that financial resources, collaboration, and entrepreneurship are necessary foundations for resilience, but their effectiveness depends on institutional facilitation. Policy implications include the need for gender-sensitive credit schemes, institutionalization of community collaboration, and recognition of entrepreneurial innovation. These findings highlight the role of coastal MSEs as both economic actors and agents of climate resilience, contributing to the achievement of SDG 8 (Decent Work and Economic Growth), SDG 11 (Sustainable Cities and Communities), and SDG 13 (Climate Action).
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