Evaluating the current situation of micro, small, medium enterprises (MSME) activities in Malang, East Java province and offering strategies for its sustainable development are the main objectives of this study. To this end, different decision making tools were used including questionnaires and interviews with experts, local owners of MSME and consumers of the MSME’s products. Strengths, weaknesses, opportunities and threats (SWOT) analysis techniques were conducted to identify the required management strategies. Results showed that the existing MSME business activities within two regencies not in line with the sustainability requirements. Although the result of the present study showed that Malang has an unsustainable situation with regard to its current management strategies, if authorities take its great opportunities and strengths more into consideration, it can have positive effects on developing sustainable strategies to increase level of sustainability in business activities for SMME in the area to reduce the adverse effects on the environment.
Keywords: sustainability; development strategy; MSME; SWOT analysis
