<![CDATA[This study examined the effect of Green Strategy on Sustainable Value Creation with Social Impact Orientation as a mediating variable among coffee shop MSMEs in Yogyakarta City. The research was motivated by the increasing demand for sustainable business practices that are not only oriented toward economic profit but also consider social and environmental aspects. This study employed a quantitative approach involving coffee shop MSMEs in Yogyakarta City. Data were collected through questionnaires distributed to 133 respondents who met the predetermined criteria and were analyzed using the Partial Least Squares Structural Equation Modeling (PLS-SEM) method with SmartPLS 4.0 software. The results showed that Green Strategy had a positive and significant effect on Sustainable Value Creation and Social Impact Orientation. Furthermore, Social Impact Orientation had a positive and significant effect on Sustainable Value Creation. The specific indirect effect test indicated that Social Impact Orientation positively and significantly mediated the relationship between Green Strategy and Sustainable Value Creation. These findings demonstrate that the implementation of environmentally friendly strategies is more effective in creating sustainable value when accompanied by a company’s orientation toward generating positive social impacts. This study concludes that Green Strategy and Social Impact Orientation are important factors in enhancing Sustainable Value Creation among coffee shop MSMEs in Yogyakarta City. Therefore, MSME actors should integrate environmentally friendly strategies with social impact orientation as part of their business strategies to improve competitiveness and create sustainable economic, social, and environmental value.]]>
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