Enhancing SME Competitiveness through Green Economy and Business Feasibility Study: A SWOT Analysis of XYZ Cafe

Abstract

This research aims to analyze the improvement of SME competencies based on the green economy through a business feasibility study approach at XYZ Cafe in Sanur, Denpasar. The research method employed a qualitative and quantitative descriptive approach with data collection techniques using interviews and documentation. The analysis was carried out using SWOT Matrix, IFAS, EFAS, Grand Strategy, and Quantitative Strategic Planning Matrix (QSPM). Business feasibility was assessed from non-financial aspects (market and marketing, management and human resources, technical and technological, environmental, and legal) as well as financial aspects using Net Present Value (NPV), Internal Rate of Return (IRR), Profitability Index (PI), and Payback Period (PP). The results show that XYZ Cafe is positioned in quadrant IV (defend and maintain), with the main strategies being diversification, joint ventures, market penetration, and product development. The non-financial feasibility analysis indicates that the market and marketing aspect (score 4.33) and the technical-technological aspect (score 8.0) are categorized as “very feasible”; the management and human resources aspect (score 4.42) is “fairly feasible”; the environmental aspect (score 7.4) is “very feasible”; while the legal aspect (score 6) is “less feasible.” From the financial perspective, the results show a positive NPV, IRR of 29%, PI of 2.1, and Payback Period of 2 years and 7 months. These findings confirm that XYZ Cafe is feasible to be developed and has strong competitiveness potential in the green economy-based coffee shop industry.