Electronic Green Journal

This study examines sustainable practices in manufacturing Small and Medium Enterprises (SMEs), with particular attention to the challenges, drivers, and strategies that influence sustainable performance. A dual-method approach, combining Bibliometric Analysis and Systematic Literature Review (BASLR), provides a robust analytical foundation for understanding the current state of sustainable innovation in SMEs. The findings highlight key barriers, including limited eco-innovation, inadequate infrastructure, and sluggish digital transformation. Overcome these obstacles, the study underscores the importance of adopting sustainable practices such as promoting high-quality innovation, fostering entrepreneurial competencies, advancing digital transformation, and developing green capabilities. Based on these insights, a conceptual model is proposed to guide Indian SMEs in achieving sustainable performance across environmental, economic, and social dimensions through sustainable innovation practices.