Accra, Business, Enterprises, Green, Practices, Sustainability

This study examined the influence of green business practices on the sustainability of small and medium-scale enterprises. A quantitative research approach and a survey design were deployed. A structured questionnaire was administered to 150 SME owners and managers across various sectors, including retail, services, and manufacturing. The data was analyzed using SPSS version 29. The findings show that green business practices had a positive impact on SME sustainability, with enhanced operational efficiency and market competitiveness observed. Key benefits of green business practices included enhanced brand image, compliance with regulations, increased customer loyalty, and cost savings. The findings underscore the relevance of the Natural Resource-Based Theory (NRBT), which emphasises pollution prevention, product stewardship, and sustainable development as strategic capabilities for long-term success. Furthermore, the findings showed a relatively high rate of adoption of green business practices; however, this adoption is primarily limited to basic and easily implementable practices such as waste reduction and the use of eco-friendly products. While overall awareness of green business concepts remains moderate, some SMEs may engage in these practices out of perceived benefits like cost savings, compliance with regulations rather than a deep understanding of sustainability principles. It also emerged that ethical considerations and the desire to enhance corporate reputation are among the most influential drivers of green business practice adoption. Financial constraints, lack of institutional support, and technical knowledge are the most significant barriers. Organising regular capacity-building programmes and awareness campaigns targeting SME owners and managers would contribute to improving their understanding of sustainable business practices. Financial institutions and government bodies should create tailored support to reduce the cost burden of sustainability investments. Support mechanisms, such as free audit tools or partnerships with environmental consultants should be promoted.

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