IERISSOS, Greece—The outlook for Europe’s most depressed economy hinges on how talks progress between the Greek government and its creditors, say businesspeople, officials and economists here.

“I don’t think there will be a solution anytime soon,” says Yannis Stathoris, who owns a cheese factory in this beachside town. His company Stathoris Dairy, launched a decade ago, has grown despite the debt crisis, and even holds the record for making the world’s largest goat cheese, weighing over 2,000 pounds.

...