Assessing the Impact of Customer Pressure, Technology Adoption, Market Volatility, Government Support, and Resource Availability on Small Entrepreneurs' Performance Post COVID-19 Pandemic: A Structural Equation Modeling Approach Using Smart PLS 4.0

Abstract

The impact of the COVID-19 pandemic on the resilience of small and medium-sized enterprises (SMEs) needs to be better understood. This study aims to provide insights into the factors influencing entrepreneurial resilience, particularly in the context of the new norm, focusing on psychological resilience, government support, and market volatility in Central India. It highlights the importance of considering the broader regulatory environment, government policies, social factors, and stakeholder relationships in influencing firm performance. We used a quantitative method for collecting data from 389 small business entrepreneurs in Central India using an offline questionnaire. The literature review emphasizes the complex nature of this relationship, highlighting the positive and negative influences of government actions on firms' performance. The study provides insights into factors influencing firm performance, particularly post-COVID-19, offering practical implications for firms seeking to understand customer relationships and their influence on overall performance. It emphasizes holistically considering innovation, productivity, and customer satisfaction for improved performance and the importance for CEOs and managers to efficiently utilize financial resources to leverage new opportunities and improve overall firm performance. The data analysis was validated using Smart PLS 4.0, and the study model's validity and reliability were assessed. A unique data collection of 389 small business owners in Madhya Pradesh was utilized to test the model and findings. In addition to adding to the corpus of knowledge, this research can help policymakers develop pertinent plans to motivate SMEs that have been most negatively impacted by the COVID-19 pandemic to operate sustainably. There have been several further conclusions made regarding financial institutions and business owners.