Mortality Risk Factors in Micro and Small Businesses: Systematic Literature Review and Research Agenda

Abstract

Most micro and small businesses (MSEs) are limited in organizational structure, financial resources, technology, and management strategies. Due to these limitations, there are many risks involved in this sector. Understanding the aspects that contribute to the risk of mortality among MSEs is important to guide entrepreneurs in the development of strategic actions and to assist governments in the elaboration of policies that support the creation of new ventures. For this, it is important to know the key factors that contribute to the risk of business mortality. Thus, the following research questions emerge: What is the state of the art on the subject of business mortality in MSE? What are the factors that contribute to the risk of mortality in MSE? What is the relationship between the factors that contribute to the risk of mortality in MSE? The objective of this research was to analyze what the risk factors are for MSE mortality and how they are related to each other. From a systematic literature review, the state of the art on the topic of business mortality in MSEs was evidenced and its risk factors were identified. One hundred and six articles, published from January 2000 to February 2021, were analyzed. The results showed 36 mortality risk factors and highlighted the risks associated with innovative processes, business management, and the characteristics of the entrepreneur. This study contributes to a theoretical framework on corporate mortality and provides an agenda for future research, showing gaps to be explored. In terms of managerial implications, we suggest that entrepreneurs prioritize training initiatives, investing in education, that MSEs participate in cooperation networks to establish partnerships between stakeholders, and that they invest in technological tools to make companies more competitive in the market.