Factors Affecting the Application of Green Accounting in Endek Craft SMEs in Klungkung Regency, Bali Province

Abstract

Culture and the environment greatly affect the types of products sold by SMEs, Klungkung Regency is one of the areas producing Balinese woven fabrics, namely endek, endek fabric is the main commodity that is the flagship product of the Province of Bali. Law No. 23 of 1997 stipulates that every business entity and person carrying out commercial economic activities must be able to carry out environmental care. Green Accounting is an accounting activity that includes and calculates the costs of prevention and costs caused by the operational activities of a company that directly or indirectly affect the surrounding environment and is not only limited to nature, but also customs, social and community life in general. This type of research is a descriptive qualitative research located in Klungkung Regency, Bali Province. The sampling technique used in this study used a stratified random sampling technique. The data used in this study are primary and secondary data. The analytical technique used in this research is to make observations, interviews, and documentation of activities. The criteria used to check the validity of the data are: 1.Credibility, 2.Transferability, 3.Dependability, 4.Confirmability. The results showed that most of the endek handicraft SMEs in Klungkung Regency, Bali Province did not understand and apply green accounting in their business activities, this is because the businesses owned by respondents are on average small businesses that are still managed traditionally, although there are several businesses. Large professionally managed. However, most business actors understand the concepts of accounting and green accounting in different terms, which are associated with Balinese culture, namely punia.

Challenges in green accounting: Sustainable development for companies listed on the Vietnam stock exchange

“…In a qualitative study conducted in Bali province, Adyatma et al (2022) revealed that small and medium enterprises (SMEs) in Bali have limited understanding and application of GA in their business practices. Typically, these SMEs still handle waste in a traditional manner, which is less professional compared to larger enterprises.…”