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Revitalising Retail: Unveiling the Transformative Power of Ethical Supply Chain Management in the Indonesian Market

Author

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  • Arif Rahmansyah

    (Universitas Lampung, Kota Bandar Lampung, Lampung 35141, Indonesia)

  • Mohammad Yuki Fairuuz

    (Universitas Lampung, Kota Bandar Lampung, Lampung 35141, Indonesia)

  • Nurhidayah Yahya

    (Accounting Research Institute, Universiti Teknologi MARA, 40450 Shah Alam, Selangor, Malaysia)

Abstract

Indonesia’s retail sector has experienced substantial growth in recent years due to economic development and evolving consumer preferences. However, this expansion has underscored significant ethical challenges within supply chains, spanning labour practices to environmental sustainability. This conceptual paper explores the intricate relationship between ethical supply chain management and the revitalisation of retail companies in Indonesia. It seeks to understand how embracing ethical principles can bring transformative change to the Indonesian retail market. Through an extensive literature review and empirical data from the local retail sector, the paper delves into the theoretical foundations and practical application of ethical supply chain management, employing real-world examples and comparative analyses to illustrate its impact on retail operations. The analysis reveals the profound influence of ethical supply chain management on Indonesian retail companies, uncovering both the benefits, such as increased consumer trust and improved brand image, and the challenges and limitations encountered in its pursuit. In a retail landscape marked by rapid expansion and ethical considerations, this paper provides valuable insights into the transformative power of ethical supply chain management, offering guidance for retail businesses to align profit-driven objectives with socially responsible practices, promoting sustainability and reinvigorating the retail sector in Indonesia.

Suggested Citation

  • Arif Rahmansyah & Mohammad Yuki Fairuuz & Nurhidayah Yahya, 2024. "Revitalising Retail: Unveiling the Transformative Power of Ethical Supply Chain Management in the Indonesian Market," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 8(12), pages 3280-3289, December.
    • Handle: RePEc:bcp:journl:v:8:y:2024:i:12:p:3280-3289
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    References listed on IDEAS

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    1. World Bank, 2020. "Indonesia Economic Prospects, December 2020," World Bank Publications - Reports 34930, The World Bank Group.
    2. Jorge Alfredo Cerqueira-Streit & Gustavo Yuho Endo & Patricia Guarnieri & Luciano Batista, 2021. "Sustainable Supply Chain Management in the Route for a Circular Economy: An Integrative Literature Review," Logistics, MDPI, vol. 5(4), pages 1-21, November.
    3. Andreas Wieland, 2021. "Dancing the Supply Chain: Toward Transformative Supply Chain Management," Journal of Supply Chain Management, Institute for Supply Management, vol. 57(1), pages 58-73, January.
    4. World Bank, 2020. "Indonesia Economic Prospects, July 2020," World Bank Publications - Reports 34123, The World Bank Group.
    5. Asterios Stroumpoulis & Evangelia Kopanaki, 2022. "Theoretical Perspectives on Sustainable Supply Chain Management and Digital Transformation: A Literature Review and a Conceptual Framework," Sustainability, MDPI, vol. 14(8), pages 1-30, April.
    6. Rabiatul Adwiyah & Yusman Syaukat & Dikky Indrawan & Heti Mulyati, 2023. "Examining Sustainable Supply Chain Management (SSCM) Performance in the Palm Oil Industry with the Triple Bottom Line Approach," Sustainability, MDPI, vol. 15(18), pages 1-20, September.
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