Analyzing Challenges, Opportunities, and Sustainable Strategies for Micro, Small, and Medium Enterprises in the Mimaropa Region, Philippines

Lynle N. Mendoza¹, Jay A. Sario, MPA, DBA, Ed.D²
https://orcid.org/0009-0006-4749-0010¹, https://orcid.org/0000-0003-4755-3510²
leenmendoza1981@gmail.com1, jayasario@gmail.com
AMA University, Manila, Philippines ^1-2

DOI: https://doi.org/10.54476/apjaet/48762

                                                                                          Abstract

Micro, Small, and Medium Enterprises (MSMEs) serve as the backbone of local economies, particularly in the MIMAROPA Region of the Philippines, where they contribute significantly to employment, innovation, and regional development. Yet, many of these enterprises continue to face persistent obstacles—limited access to financial services, challenges in adopting new technologies, complex regulatory requirements, and difficulties in reaching broader markets. This study explores the lived realities of MSME owners in MIMAROPA by identifying the challenges they encounter, the opportunities available to them, and the sustainable strategies that support their growth. Using a quantitative research design, the study surveys 100 MSME owners and analyzes the data through descriptive statistics, correlation analysis, and regression models. Findings show that while MSMEs demonstrate adaptability and perseverance, they are hindered by burdensome loan processes (41%), cash flow issues (19%), and regulatory compliance demands (10%). Nevertheless, opportunities are present in digitalization (30%), market expansion through government programs (20%), and the formation of strategic partnerships (7%). The results highlight the need to invest in financial literacy, human capital, and technology to build more sustainable business practices. The study recommends practical and strategic interventions, such as simplifying financial procedures, enhancing digital infrastructure, expanding training programs, and increasing government support, to strengthen the resilience and competitiveness of MSMEs in the region. These insights offer meaningful guidance for policymakers, financial institutions, and MSME stakeholders working toward inclusive and sustainable regional growth.

Keywords: MSMEs, financial accessibility, digital transformation, sustainable strategies, MIMAROPA Region, technological adoption

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