This research explores the critical role of good governance in fostering sustainable development in Undisan Tourism Village, Bangli Regency, Bali, focusing on how transparency, accountability, participation, and inclusiveness influence tourism management and community growth. Conducted using a qualitative approach, the research involved in-depth interviews with village leaders, tourism operators, and community members, alongside document analysis and field observations to ensure data validity. The study found that participatory governance and cultural value integration bolster economic resilience and cultural sustainability, though challenges like resource constraints, weak stakeholder coordination, and bureaucratic inefficiencies hinder effective governance implementation. The study's focus on Undisan Village presents a limitation, as the findings may not fully apply to other regions with different cultural, economic, or governance contexts, restricting the broader applicability of its conclusions to similar tourism village settings.This study offers valuable insights for policymakers, local authorities, and researchers in sustainable tourism and governance. Its uniqueness lies in examining the interplay between good governance and cultural values, providing a distinct perspective on rural tourism development through Undisan’s experience.Keywords: Community Development, Cultural Sustainability, Good Governance, Sustainable Tourism, Tourism Village,
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