Supply Chain Dynamics: The Effect of Digital Platform Costs on the Financial Performance of MSMEs

The development of digital platforms, such as Gojek, Grab, and Maxim, has transformed the distribution and supply chain systems for Halal culinary Micro, Small, and Medium Enterprises (MSMEs) in Indonesia. Although digital platforms provide easy market access, platform usage costs often put pressure on profitability and operational efficiency. This study aims to analyze the influence of digital platform costs and supply chain sustainability on the financial and operational performance of halal culinary MSMEs. The research approach employed was a quantitative explanatory design, with data collected through a survey of halal culinary MSMEs that actively use digital platforms. Data analysis was conducted using Structural Equation Modeling (SEM). The results show that digital platform costs significantly influence financial performance, but not operational performance. Conversely, supply chain sustainability does not significantly influence financial performance or operational performance. These findings suggest that the financial performance of MSMEs is more influenced by their cost structure and transaction efficiency through digital platforms than by sustainability initiatives that are still largely administrative and long-term. This study contributes to the digital supply chain management literature by emphasizing the importance of platform cost optimization and the integration of more strategic sustainability practices to increase the competitiveness of halal culinary MSMEs in the current digital economic era digital