Track: Modeling and Simulation

Abstract

Covid-19 hits a significant impact on small-medium enterprises (SMEs). However, SMEs grasp more than 50% contribution to the national economy. Hence, it is imperative to understand SMEs' enabler and inhibitors factors of competitiveness during the pandemic. This research aimed to investigate individual factors that may support and prevent SMEs from being agile and competitive during the pandemic. The research uses an explorative approach through a qualitative method by interviewing 12 SMEs top management and owner. Using Nvivo for data analysis, this study finds that proactiveness, innovativeness, and creativity in exploring new markets, finding new ideas, and taking risk to increase business scale are necessary to accelerate SMEs' agility and competitiveness. While resistance to change and slow response to top management challenges are identified as inhibitors factors for SMEs to be agile. Through these findings, this study also contributes to the theory of competitive and entrepreneurship by giving enabler and inhibitors factors of entrepreneurs to stay competitive in uncertain conditions like the pandemic. Further, in practice, this study suggested that the entrepreneur should update information through social media, E-newspaper, television, and well-known website regarding the macroeconomic, the pandemic news, and market changes. Having emergency planning in uncertain conditions may also help SMEs to stay competitive.