Sustainability-Driven Business Transformation in Indonesian Industries: The Role of Environmental Strategy and Stakeholder Pressure

This study investigates the impact of environmental strategies and stakeholder pressures on sustainability-driven business transformation in, resource-intensive Indonesian industries, such as energy, mining, manufacturing, and maritime sectors, within the broader context of the blue-green economy, global trade dynamics, and governance challenges. Using secondary data from the Indonesian Financial Services Authority (OJK), Central Bureau of Statistics (BPS), World Bank reports, and ESG disclosures of 120 listed companies between 2015 and 2023, multiple regression analysis was employed to test causal relationships. Results indicate that both proactive environmental strategies and stakeholder pressures significantly enhance transformation outcomes, particularly in innovation, operational efficiency, and market reputation. Firms that integrate sustainability into core business processes demonstrate greater adaptability to regulatory changes, international trade requirements, and evolving stakeholder expectations. Furthermore, the study emphasizes that companies embedding sustainability as a central element of corporate strategy are better positioned to achieve long-term competitiveness, resilience, and legitimacy in global markets. These findings highlight the strategic importance of aligning corporate initiatives with sustainability goals, reinforcing governance mechanisms, and engaging stakeholders effectively within the blue-green economy context. Beyond theoretical contributions, this research provides actionable insights for managers, policymakers, and regulators in Indonesia and other emerging economies.