Sustainability in Borneo’s Tailed Paradise: ESG Integration Toward the Business Feasibility Practices of Tourism Village

Abstract

This study aimed to explore the integration of ESG practices to create business feasibility in the Temajuk tourism village. The research method used was exploratory research with a mixed approach. The qualitative approach was conducted through phenomenological studies, while the quantitative approach used operating ratio analysis. Primary data were obtained from in-depth interviews with seven informants who were stakeholders in the tourism village. To support the primary data, researchers augmented the data sources with data originating from observations and documentation. This study found that ESG practices in the Temajuk tourism village were reflected in ongoing interactions among stakeholders: the local community, entrepreneurs, managers (POKDARWIS), and the village government. This interaction pattern was formed to realize environmental, social, and governance benefits for all parties. The ESG practices in place shaped the business feasibility of the accommodation and cafeteria operations, as evidenced by the low cost-to-revenue ratio. The costs incurred to produce food and beverages and labor were lower when compared to the income earned from room rentals. It was reflected operational efficiency and profit maximization in the Temajuk tourism village. This study contributed theoretically to the description of ESG practices in the tourism village and practically as a basis for evaluating the tourism village’s financial management.