COVID-19-related supply chain disruptions: resilience and vulnerability of micro, small and medium enterprises

Figures & data

Figure 1. A conceptual framework, showing linkages between COVID-19 lockdown and supply chain disruption, MSMEs performance and responses (resilient strategies).

Table 1. Measurement of key variables.

Concepts	Measurements
Supply chain disruption	Experienced stoppages (complete halt of flow) = 1; 0, otherwise Products untimely delivered = 1; 0, otherwise Quantity of goods reduced = 1; 0, otherwise. Quality of goods reduced = 1; 0, otherwise
MSME performance	Quantity of goods stocked reduced = 1; 0, otherwise Quality of goods stocked reduced = 1; 0, otherwise Variety of goods stocked reduced = 1; 0, otherwise Disruption caused good spoilage = 1; 0, otherwise Meeting quantity demand reduced = 1; 0, otherwise Meeting quality demand reduced = 1; 0, otherwise Reliability to customers reduced = 1; 0, otherwise Customer base reduced = 1; 0, otherwise Expenses increased = 1; 0, otherwise Sales reduced = 1; 0, otherwise Income reduced = 1; 0, otherwise
MSME responses to supply chain disruptions	Number of employees reduced = 1; 0, otherwise The percentage of employees reduced Increased prices = 1; 0, otherwise Diversified into unrestricted products = 1; 0, otherwise Closed business temporarily and stayed home = 1; 0, otherwise Closed business temporarily and went to village = 1; 0, otherwise

Table 2. Descriptive statistics of the sample.

Variables	%	Variables	%
Owner/co-owner of the business	63.9	Medium enterprises (50–100 employees)	3.0
Manage the business	59.3	General merchandise	11.2
Business is within the city	41.6	Essential products	65.3
Registered business (Formal)	52.8	Other products	23.6
Business age is more than 3 years	39.7	Retail trade	66.9
Microenterprise (1–4 employees)	68.2	Wholesale trade	21.6
Small enterprise (5–49 employees)	28.9	Other industries	11.5

Notes: % is a percentage; sample size = 305; essential products include foods, human drugs, agro-inputs and finance.

Table 3. COVID-19 Lockdown and supply chain disruption.

Variable	Frequency	Percentage	Sample size (n)
Quantity of goods supplied reduced	141	46.2	305
Quality of goods supplied reduced	178	58.4	305
Order lead time increased	152	49.8	305
Halted supply of some goods	209	68.5	305

Table 4. Sources of supply before and during COVID-19 lockdown.

Variable	Before COVID-19 lockdown	During COVID-19 lockdown	t-value
Number of suppliers	3.31	1.91	7.77***
Suppliers within district	0.84	0.65	5.71***
Suppliers from nearby districts	0.42	0.25	4.35***
Suppliers from far districts	0.39	0.34	1.34*

Notes: n = 305, ***p < .01, *p < .1.

Table 5. MSMEs’ performance by business age, business size, business location and registration status.

Variable	Overall	Business age			Business size			Business location			Registration status
		0–3 years	>3 years	t-value	Micro	Not Micro	t-value	City	Not City	t-value	Formal	Informal	t-value
1	46.2	0.41	0.54	−2.14**	0.41	0.57	2.52**	0.55	0.39	−2.65***	0.56	0.35	−3.65***
2	49.5	0.48	0.52	−0.72	0.49	0.51	0.24	0.50	0.49	−0.03	0.53	0.45	−1.44
3	58.0	0.57	0.60	−0.42	0.56	0.62	0.92	0.61	0.56	−1.01	0.62	0.54	−1.53
4	43.9	0.49	0.41	−1.38	0.44	0.44	0.10	0.49	0.41	−1.45	0.45	0.43	−0.29
5	64.9	0.64	0.66	−0.35	0.64	0.66	0.26	0.59	0.69	1.82*	0.67	0.63	−0.60
6	62.6	0.60	0.67	−1.26	0.62	0.64	0.32	0.54	0.66	2.55**	0.68	0.56	−2.19**
7	68.2	0.68	0.69	−0.12	0.66	0.73	1.28	0.61	0.73	2.16**	0.75	0.61	−2.53**
8	71.8	0.70	0.74	−0.81	0.71	0.73	0.37	0.65	0.77	2.39**	0.77	0.66	−2.15**
9	58.7	0.58	0.60	−0.47	0.60	0.56	−0.73	0.52	0.64	0.73**	0.62	0.55	−1.28
10	100	1.00	1,00	0.00	1.00	1,00	0.00	1.00	1,00	0.00	1.00	1,00	0.00
11	73.8	0.73	0.75	0.34	0.76	0.70	−0.99	0.64	0.81	3.40***	0.75	0.72	−0.58

Notes: 1 = Quantity of goods stocked reduced, 2 = Quality of goods stocked reduced, 3 = Variety of goods stocked reduced, 4 = Caused good spoilage, 5 = Meeting quantity demand reduced, 6 = Meeting quality demand reduced, 7 = Reliability to customers reduced, 8 = Customer base reduced, 9 = Expenses increased, 10 = Sales reduced, 11 = Income reduced, Sample size = 305.

Table 6. MSMEs’ performance by product type and industry.

Variable	Overall	General merchandise			Essential products			Retail trade			Wholesale trade
		Yes	No	t-value	Yes	No	t-value	Yes	No	t-value	Yes	No	t-value
1	46.2	0.5	0.46	−0.47	0.47	0.45	−0.24	0.43	0.54	1.79*	0.52	0.45	−0.97
2	49.5	0.38	0.51	1.40	0.54	0.42	−2.05**	0.50	0.50	0.00	0.56	0.46	−1.20
3	58.0	0.74	0.56	−1.95*	0.60	0.54	−1.10	0.56	0.61	0.83	0.73	0.54	−2.76***
4	43.9	0.34	0.47	2.56**	0.49	0.34	−2.33**	0.45	0.43	−0.34	0.38	0.46	1.12
5	64.9	0.77	0.64	−1.50	0.65	0.64	−0.20	0.66	0.62	−0.65	0.61	0.66	0.83
6	62.6	0.71	0.62	−1.02	0.61	0.66	0.90	0.61	0.65	0.69	0.68	0.61	−1.05
7	68.2	0.82	0.66	−1.89*	0.67	0.70	0.44	0.66	0.73	1.34	0.83	0.64	−3.02***
8	71.8	0.79	0.71	−1.04	0.71	0.74	0.50	0.70	0.76	1.21	0.82	0.69	−2.05**
9	58.7	0.47	0.60	1.46	0.59	0.59	0.00	0.60	0.56	−0.81	0.53	0.63	1.05
10	100	1.00	1.00	0.00	1.00	1.00	0.00	1.00	1.00	0.00	1.00	1.00	0.00
11	73.8	0.71	0.74	0.45	0.73	0.76	0.49	0.76	0.69	−1.25	0.76	0.73	−0.41

Notes: 1 = Quantity of goods stocked reduced, 2 = Quality of goods stocked reduced, 3 = Variety of goods stocked reduced, 4 = Caused good spoilage, 5 = Meeting quantity demand reduced, 6 = Meeting quality demand reduced, 7 = Reliability to customers reduced, 8 = Customer base reduced, 9 = Expenses increased, 10 = Sales reduced, 11 = Income reduced, Sample size = 305.

Table 7. MSMEs’ responses by business age, business size, business location and registration status.

Variable	Overall	Business age			Business size			Business location			Registration status
		0–3 years	>3 years	t-value	Micro	Not Micro	t-value	City	Not City	t-value	Formal	Informal	t-value
1	42.3	0.50	0.37	−2.34**	0.39	0.50	1.74*	0.44	0.41	−0.54	0.43	0.42	−0.21
2	22	25.3	20.3	−2.52**	19	29	4.50***	22.6	22.1	−0.28	24.5	19.8	−2.42**
3	56.1	0.53	0.60	−1.22	0.55	0.59	0.65	0.53	0.58	0.98	0.55	0.57	0.29
4	41.3	0.44	0.37	1.18	0.46	0.31	−2.53**	0.45	0.39	−1.07	0.37	0.46	1.52
5	37.4	0.41	0.31	1.75*	0.37	0.38	0.19	0.44	0.33	−2.06**	0.39	0.35	−0.67

Notes: 1 = Reduced number of employees, 2 = Percentage of employees reduced, 3 = Increased prices, 4 = Diversified into unrestricted products, 5 = Closed business temporarily and stayed home, Sample size = 305.

Table 8. Number of employees and purchase arrangement before and during COVID-19 lockdown.

Variable	Before COVID-19 lockdown	During COVID-19 lockdown	t-value
Number of employees	3.27	2.02	6.50***
Purchase arrangement	0.55	0.45	2.52**

Notes: ***p < .01, p < .05.

Table 9. MSMEs’ responses by product type and industry.

Variable	Overall	General merchandise			Essential products			Retail trade			Wholesale trade
		Yes	No	t-value	Yes	No	t-value	Yes	No	t-value	Yes	No	t-value
1	42.3	0.29	0.44	1.62	0.44	0.40	−0.69	0.38	0.51	2.05**	0.53	0.39	−2.00**
2	22	26.35	21.77	−1.46	22.19	22.45	0.13	19.37	28.16	4.30***	29.56	20.27	−3.96***
3	56.1	0.50	0.57	0.75	0.54	0.59	0.86	0.54	0.59	0.83	0.59	0.55	−0.56
4	41.3	0.38	0.42	0.39	0.44	0.36	−1.41	0.47	0.31	−2.67***	0.33	0.44	1.49
5	37.4	0.35	0.38	0.27	0.39	0.34	−0.90	0.38	0.37	−0.19	0.27	0.40	1.92*

Notes: 1 = Reduced number of employees, 2 = Percentage of employees reduced, 3 = Increased prices, 4 = Diversified into unrestricted products, 5 = Closed business temporarily and stayed home, 6= Closed business temporarily and went to the village, Sample size = 305.