Exploring the impact of crises on rural agri-food SMEs: The moderating role of support mechanisms, digitalisation, and networking

Abstract

Current studies focus on supporting enterprises to mitigate the impact of crises on their economic performance. However, further studies are needed to understand the challenges faced by rural agri-food enterprises in this context. The main objective of this study is to analyse the impact of food and raw material transport constraints on the perceived economic performance of agri-food small-medium enterprises due to financial and pandemic crises with the influence of the following moderators: support mechanisms, digitalisation and networking. A quantitative study was carried out on 404 rural Greek agri-food small and medium-sized enterprises (SMEs). Results indicate that easy access to finance and subsidies had a negative effect on the relationship between transport constraints and perceived economic performance. On the other hand, the implementation of digital tools and networking opportunities improved the perceived economic performance of the enterprise during crises. According to the present findings, there is a need to review the existing processes of financial support for rural agri-food SMEs and to implement policies that will enhance the growth and sustainability of the agri-food sector amid global crises.