A Novel BED: BWM-Entropy-D Numbers as Determinants of Sustainable Entrepreneurship in MSMEs

Abstract

Micro, small, and medium enterprises (MSMEs) play a crucial role in the global economy by driving innovation, creating jobs, and contributing to economic growth. Evaluating the sustainability of MSMEs is essential to ensure that this sector can continue to grow while balancing financial, social, and environmental aspects. However, assessing MSME sustainability faces challenges, including uncertainty and complexity in expert evaluations. This study proposes a more flexible and comprehensive evaluation method for determining MSME sustainability by integrating the BWM, Entropy, and D Numbers (BED) methods. BWM has limitations in handling uncertainty as it relies on subjective preferences in criteria weighting. Though capable of providing weights through objective analysis, the entropy method often lacks sensitivity to expert judgment. D numbers manage uncertainty but require integration with other methods for comprehensive results. The BED method combines the strengths of each approach: BWM for subjective assessment, entropy for objective analysis, and D numbers for handling uncertainty. This framework was validated through sensitivity analysis and Spearman rank correlation to evaluate its performance in determining MSME sustainability. The results show that the BED method performs better, achieving a Spearman correlation of 0.994 compared to BWM and entropy. MSME sustainability criteria are classified into market sustainability, social sustainability, and economic performance. The BED method offers a superior approach to MSME sustainability assessment, providing decision-makers with a more accurate and reliable tool to promote sustainable entrepreneurship in the MSME sector.

Keywords

• Sustainable entrepreneurship
• MSMEs
• BWM-Entropy-D numbers
• expert judgments and uncertainty