Strenghtening MSME's Resilience During the Pandemic (original) (raw)
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Business Resilience during the Pandemic in Indonesia
International Journal of Economics, Business and Management Research
Micro Small Medium Enterprise (SME) is one of the main contributors to a nation's gross domestic product (GDP). However, with the currentCovid-19 pandemic, it has led to business closing and travel banning disrupting the SME business supply chain. Rahman (2020) highlighted that the SMEs are experiencing sales reduction, difficulty in financing the business and facing trouble in acquiring supply as well as distributing goods during the Covid-19 pandemic. The purpose of this study is to identify the SMEs resilience strategies during this challenging time. This study has taken a quantitative exploratory approach. Data were collected using an online questionnaire survey. Results indicate that SMEs focus on product differentiation as well as cost, financing and technology processes, thus suggesting the companies are resilient to disruptions. In addition, the result suggests that leveraging technology through e-commerce and digital marketing for business products and services facilita...
Philippine Social Science Journal, 2023
Business resilience is the ability to quickly recover from difficulties and continue operating by applying innovative strategies. The article aims to document the resilience level of micro, small, and medium enterprises (MSMEs) in the Pacific towns of Southern Leyte, Philippines, and capture its causal determinants amid the health crisis using descriptive correlational research design. Using a research-made questionnaire, cross-sectional and primary data were collected from a random sample of MSMEs and were summarized using statistical measures. The significant determinants of the resilience of MSMEs were determined using the Chi-square test for independence via cross-tabulation of categorical data. Results depicted that, on average, MSMEs during the pandemic are "resilient", particularly in their situational awareness, keystone vulnerabilities, and adaptive capacity as they combat the disruption of the health crisis. The Chi-square test reveals that age, civil status, business job position of the MSMEs' personnel, and the estimated monthly income of the enterprise are the highly significant factors that affect the resilience of MSMEs during the health crisis. In particular, younger age, single status, and owner of the enterprise are more active and creative in digital business technology, which increases their resilience in response to challenges brought about by the pandemic. Moreover, enterprises with lower incomes do adopt innovative business strategies that improve economic resilience and profit. Furthermore, the study suggests that enterprises must consider strategic plans and goals to enhance their capability in risk management as they will face future crises.
Sustainable Competitive Advantage, 2021
Micro, Small, and Medium Enterprises (MSMEs) as economic backbone in the previous crisis were not seen in the Coronavirus Disease of 2019 (Covid-19) pandemic and were even among the most affected sectors. This indicates that the resilience of MSMEs is weak against external factors. Many studies have been carried out to reveal the impact of Covid-19 on MSMEs but are still very limited in investigating the resilience of MSMEs by type of business. Various financial and non-financial programs have been provided by the government to MSMEs to restore their economic condition. Government programs for MSMEs will be more effective and efficient if adjusted to the resilience of each type of business. This study fills this gap by analyzing the resilience of MSMEs by type of business. Data were collected from 393 MSMEs in Malang Regency using an online questionnaire. There are five types of businesses studied, namely food and beverage, craft, agriculture, fashion, and batik. One-Way ANOVA statistic and Post Hoc Multiple Comparison and Least Square Difference (LSD) was used to analyze data. The results of the study show that there are differences in the resilience of the types of MSMEs studied. The resilience of the MSME type of agriculture proved to be the strongest compared to the other four types of businesses. There is no difference between the four types of MSMEs, but if ranked according to the level of resilience, the type of food and beverage MSMEs is the weakest. This needs attention from various related parties due to this type of MSME is the dominant one in Indonesia.
E3S Web of Conferences, 2023
The COVID-19 pandemic triggered widespread economic instability on a global scale, affecting micro, small, and medium-sized enterprises (MSMEs) as well. This paper presents an initial investigation conducted in Sriharjo, a rural area in Bantul Regency, Indonesia, to explore the resilience of MSMEs and the role of information and communication technology (ICT) in supporting their operations. Eight key informants, including a village-owned enterprise (VOE) manager, an online marketplace website administrator, and six traditional food and beverage MSME owners, were interviewed at the end of 2022. The outbreak prevention policies disrupted economic activities in Sriharjo, prompting the VOE to initiate specific strategies, such as business digitalization, to mitigate the economic impact. MSME owners employed various coping strategies during the crisis, leading to diverse outcomes during the recovery phase, with some experiencing further decline while others rebounded successfully. However, ICT utilization remained limited among the investigated MSMEs, despite the village government's early digitalization initiatives. To enhance business agility and scalability, comprehensive strategies must be designed to strengthen their digital capabilities in response to unpredictable changes.
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The COVID-19 virus pandemic during 2020 has become the material for research & investigation in building a priority model for the resilience of Micro, Small and Medium Enterprises (MSMEs). The purpose of this study is to provide empirical evidence on the resilience of MSMEs in coastal, urban and Plateau agricultural areas in Deli Serdang Regency, North Sumatra Province (PSU). Data collection techniques in this study are secondary data collection (the income and production aspects of one-quarter of MSME during the COVID-19 pandemic which is calculated by averages and regional positions), observation and interviews. The analysis technique used is the Analysis Hierarchy Process. The results show the trend of MSME resilience in the aspects of income and production, researchers who get production value always experience a general decline, so that prioritization in decision making in MSME resilience becomes a solution for decision-makers, product packaging, distribution networks and the need for agricultural and food products are priorities major for the community. Dissemination and guidance on awareness using a marketing model through social media for MSME actors has an impact on changing thinking and income, and the role of all decisionmakers in obtaining information as an effective workflow and policy to build sustainable small and medium industries amid the COVID-19 pandemic.
2013
This researchaimed to find out what explains the concepts of economic resilience through information and technology based assesment for the purpose of studying the micro and small enterprises in The Jakarta Province. In collecting the research datas, interviews were being conducted while the answers from the informants would lead the researchers’ conclusions. Thisresearch have resulted on confirmation that there is a growing trend of economic development in the community of micro and small industrial center as a way to enhance economic resilience. The Jakarta province should reinforce this kind and a like industrial center to build the strengths of the enterprises as economic stimulation to the community. Another result is in the terms of information and technology based assesment, we have found that the concepts of economic resilience could be achieved through the distribution of economic development in the attempt of increasing businesses’ productivity as the result of information...
Economic Resilience in MSMEs during the Covid-19 Pandemic
International Journal of Business and Applied Social Science, 2023
The Covid-19 pandemic has dealt a blow to many sectors, one of which is the economic sector. Dominated by micro, small, and medium-scale businesses, the Indonesian economy has a very high dependence on the sustainability of MSME businesses. Before the pandemic, MSMEs had always been the backbone of the Indonesian economy. However, the emergence of the Covid-19 pandemic presented its challenges, in which most MSMEs were able to survive and grow their business, but some did not. The research is aimed at finding the determinants of the economic resilience of MSMEs during a pandemic. The search for answers was carried out with in-depth interviews with MSME actors whose businesses survived during the pandemic. The results of the study provide clues to the existence of internal factors and external factors that affect the economic resilience of MSMEs. Internal factors include the entrepreneurial spirit of business actors, namely persistent, creative, innovative, and keen to see opportunit...
2020
The Pandemic of COVID-19 has economic, social and political implications not only for large countries but also for almost all countries in the world. Indonesia is one of the countries affected mainly from the economic side, which is dominated by Micro, Small and Medium Enterprises (MSMEs). The economic slowdown occurred, requires companies to have a clear understanding of the crisis occurred to ensure they more quickly adapt to the situation and minimize the company's losses. One way is to apply digital technology in the face of the COVID-19 Pandemic. The application of digital technology can increase the productivity and performance of MSMEs. In this research, the application of digital technology is explained using a TOE framework that combines aspects of technology, organization, and environment.
Pandemic to Endemic: A Review of Key Enablers of Small Medium Enterprise Resilience
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The existence of various COVID-19 variants from Delta to Omicron has led to speculation that the spreading of the virus will continue; hence, the endless battle to fight it persists. The uncertainties in its progress from pandemic to endemic, renders it necessary to understand the applied mitigation and adaptation strategies amongst SMEs to build their future resilience as they are vulnerable and have limited resources. This study aims to develop a conceptual framework of the key enablers of SMEs’ resilience during the pandemic. Specifically, these enablers will be examined from the point of view of strategies and capabilities. A reviewed research articles from the Scopus database has been conducted focusing on selected keywords in 2020 and 2021. The findings reveal that financial resources, government support, embracing digital technologies and changing business approach are the key enablers for SMEs’ resilience. This study further provides a unique snapshot of business decisions a...
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This study aims to find the strategy of developing MSMEs based on potential and opportunities in the period of covid-19. The research object is the MSME unit in Bandar Lampung City, especially MSME banana chips. This study used qualitative descriptive analysis with SWOT analysis. Based on the results it is known that the position of MSMEs is in quadrant I. The strategy of developing MSMEs is to increase the potential and take advantage of opportunities. One of the strategies is the utilization of information technology and social media in the development of MSMEs of the region's flagship banana chip products. The results of this research are expected to be useful as consideration for MSMEs to develop their businesses even during the COVID 19 pandemic. Likewise, for the government to actively socialize the use of digital media for MSMEs so that MSME development will increase. The limitation of this research is that it has not quantitatively calculated the role of social media and...