Development strategy of SMEs in the new normal era of coronavirus disease 2019 (COVID-19): A literature review

Abstract

Abstract The global pandemic known as COVID-19 has spread throughout the world and poses a threat to all countries, including the economic crisis in Indonesia. The government of Indonesia directly regulates policy to all companies or business units to prevent the spread of COVID-19 in their business environment. Small and Medium Enterprises (SME) also has been affected by COVID-19. They must decrease operational hours, employee shift systems, and implement health protocols according to standards in prevention. This study aims to review the current impact from the perspectives of SMEs owners and also strategy suggestions during the COVID-19 outbreak. The studies focus on the impact of large-scale social restrictions on SMEs economic activities and outline the recommendations for improving current responses to developing business strategy. This current study conducted a literature review of publicly available information to recommends valuable insights to the business survival and recovery system of SMEs business during a COVID-19 outbreak. The results show financial management, distribution of supply chain, digital transformation, network relationship, government policy, & orientation & information as a business strategy. This study will ideally contribute towards the creation of success for SMEs to thrive during and after a crisis.