Navigating the crisis: A framework for SME Resilience in times of crisis
(A2024-119494)

AUTHORS

Prasanna kumar kukkamalla, Laurea University of Applied Sciences; Nikolina Koporcic Nietola, Laurea University of Applied Sciences

ABSTRACT

Recent pandemic sparked the debate in academic and business community on impact of crisis on SMEs. Several scholars explored factors that helped firms survive crises. However, the literature is largely focused on large firms and little attention is paid on how SMEs survived, what factors contributed to their resilience. This study addressed this issue by focusing on UK SMEs that survived different crises. We employed survey methodology to document the response from 153 business owners, executives, and senior managers. The findings reveal that different firms possess distinct capabilities and resources that help to their ability to respond effectively to crises. The strategic actions employed by these firms are largely determined by their size. Our study proposes a holistic model that identifies the key factors driving resilience of SMEs during crisis. This framework encompasses three dimensions: individual, firm-level, and industry-level. Each dimension is composed of distinct elements that contribute to the initiation and implementation of strategic responses.