Development Strategies and Implementation of Circular Economics in MSMEs and Cooperatives

Abstract

After the pandemic, MSMEs and Cooperatives in Indonesia have grown significantly. However, concerns about their social and environmental impact have risen. In response, the Indonesian government has prioritized circular economy issues, incorporating them into the 2020-2024 National Medium-Term Development Plan. The circular economy is an economic model that promotes growth while preserving the value of products, materials, and resources. Its implementation aims to balance economic benefits with environmental sustainability.Despite their potential, MSMEs and Cooperatives face challenges in skills, management, and market access. To ensure their sustainability, they must adopt circular economy principles. This research, using a qualitative descriptive approach, explores strategies for integrating the circular economy into MSMEs and Cooperatives. The findings provide actionable development strategies and practical implementation insights to support their long-term viability.