Effective Factors on Sustainability Adoption in Regional Australian SMEs: A Case Study of Ballarat

Small and medium-sized enterprises (SMEs) in regional areas of

Australia make significant contributions to the innovation and job growth

and stability in the Australian economy. While Regional Australian SMEs

contribute significantly to the economic development; they undoubtedly

have a significant impact on the environment and social community.

This paper examines effective factors on the adoption of sustainability

in SMEs operating in a regional city of Australia. First, measurement

scales for the impacting factors were developed and validated. Then the

paper used survey data from 237 SMEs in the regional city of Ballarat.

The paper also investigated any possible differences between the views

of owner/managers of small businesses and medium ones on factors

impacting the adoption of sustainability. Findings reveal that attitude,

commitment and knowledge of owner/managers of SMEs are the most

effective factors on the adoption of sustainable practices. Moreover,

there is a significant difference in the effect of owner/managers’

perceptions on their businesses’ impacts between small and medium-
sized businesses.

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