<![CDATA[The implementation of green business principles in vocational education has become a strategic necessity in response to increasing industrial demands for sustainable business practices. Teaching Factory, as a production-based learning model, has significant potential to integrate sustainability values and practices; however, its implementation in vocational education remains suboptimal and largely fragmented. This study aims to analyze the implementation of green business in Teaching Factory activities and to develop an optimization model for vocational education. This research adopts an applied research approach using qualitative methods with 20 informants. Data were collected through in-depth interviews, observations, and document analysis at the Teaching Factory units of Manado State Polytechnic, involving managers, instructors, students, and industry partners as informants. Qualitative data analysis was conducted through data reduction, data display, and conclusion drawing. The findings indicate that green business practices have been initiated within Teaching Factory activities, yet they have not been systematically integrated into institutional policies, curricula, or standard operating procedures. Institutional policies, human resource competencies, infrastructure, and industry partnerships were identified as key factors influencing optimization. This study proposes an optimization model for green business implementation in Teaching Factory that integrates input, process, output, and outcome components to support sustainable vocational learning.]]>
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