348
Views
0
CrossRef citations to date
0
Altmetric
Entrepreneurship & Innovation

Micro, small, and medium-sized enterprises (MSMEs) during the post-pandemic economic recovery period: digitalization, literation, innovation, and its impact on financial performance

ORCID Icon & ORCID Icon
Article: 2342488 | Received 14 Dec 2023, Accepted 07 Apr 2024, Published online: 22 Apr 2024

References

  • Abd Majid, M. S., Faisal, F., Fahlevi, H., Azhari, A., & Juliansyah, H. (2022). What contributes to micro, small, and medium enterprises’ productivity in fisheries sector in Aceh, Indonesia? E3S Web of Conferences, 339, 1–17.
  • Akinwale, Y. O. (2020). Technology innovation and financial performance of MSMEs during COVID-19 lockdown in Dammam area of Saudi Arabia: A case of food and beverage sector. International Journal of Technological Learning, Innovation and Development, 12(2), 136–152. https://doi.org/10.1504/IJTLID.2020.110622
  • Ali, H., Hao, Y., & Aijuan, C. (2020). Innovation capabilities and small and medium enterprises’ performance: An exploratory study. The Journal of Asian Finance, Economics and Business, 7(10), 959–968. https://doi.org/10.13106/jafeb.2020.vol7.no10.959
  • Altuwaijri, B. M., & Kalyanaraman, L. (2020). CEO education-performance relationship: Evidence from Saudi Arabia. The Journal of Asian Finance, Economics and Business, 7(8), 259–268. https://doi.org/10.13106/jafeb.2020.vol7.no8.259
  • Amaral, A., & Peças, P. (2021). SMEs and Industry 4.0: Two case studies of digitalization for a smoother integration. Computers in Industry, 125, 103333. https://doi.org/10.1016/j.compind.2020.103333
  • Anatan, L. 2023. Micro, small, and medium enterprises’ readiness for digital transformation in Indonesia. Economies, 11(6), 156. https://doi.org/10.3390/economies11060156
  • Ardhanariswari, K. A. (2018). From nothing to something: Study on how local government transformed oil and gas area into ecotourism village in Indonesia through branding strategy. Journal of Environmental Management and Tourism, 9(8), 1760–1767. https://www.scopus.com/inward/record.uri?eid=2-s2.0-85064984860&doi=10 .14505/jemt.v9.8%2832%29.15&partnerID=40&md5=292207356a7d9a7c560faf5dc1f74bce
  • Babajide, A., Osabuohien, E., Tunji-Olayeni, P., Falola, H., Amodu, L., Olokoyo, F., Adegboye, F., & Ehikioya, B. (2023). Financial literacy, financial capabilities, and sustainable business model practice among small business owners in Nigeria. Journal of Sustainable Finance & Investment, 13(4), 1670–1692. https://doi.org/10.1080/20430795.2021.1962663
  • Barann, B. (2019). Supporting digital transformation in small and medium-sized enterprises: A procedure model involving publicly funded support units. In Proceedings of the 52nd Hawaii International Conference on System Sciences (Vol. 6, pp. 4977–4986). https://doi.org/10.24251/HICSS.2019.598.
  • Bhatti, S. H., Ahmed, A., Ferraris, A., Hirwani Wan Hussain, W. M., & Wamba, S. F. (2022). Big Data analytics capabilities and MSME innovation and performance: A double mediation model of digital platform and network capabilities. Annals of Operations Research. https://doi.org/10.1007/s10479-022-05002-w
  • Bire, A. R., Sauw, H. M., & Maria. (2019). The effect of financial literacy towards financial inclusion through financial training. International Journal of Social Sciences and Humanities, 3(1), 186–192. https://doi.org/10.29332/ijssh.v3n1.280
  • Bornhausen, A. M., & Wulf, T. (2023). Digital innovation in family firms: The roles of non-family managers and transgenerational control intentions. Small Business Economics, 62(4), 1429–1448. https://doi.org/10.1007/s11187-023-00823-w
  • Bouwman, H., Nikou, S., Molina-Castillo, F. J., & de Reuver, M. (2018). The impact of digitalization on business models. Digital Policy, Regulation and Governance, 20(2), 105–124. https://doi.org/10.1108/DPRG-07-2017-0039
  • BPS (2022). Badan Pusat Statistik. Retrieved March 28, 2022, from https://www.bps.go.id/pressrelease/2022/02/07/1911/ekonomi-indonesia-triwulan-iv-2021-tumbuh-5-02-persen–y-on-y-.html
  • BPS (2023). Pertumbuhan Ekonomi Kabupaten Bojonegoro Tahun 2022. Retrieved September 1, 2023, from https://bojonegorokab.bps.go.id/pressrelease/2023/02/28/25/pertumbuhan-ekonomi-kabupaten-bojonegoro-tahun-2022.html
  • Chanchaichujit, J. (2024). Enablers and benefits of supply chain digitalization: An empirical study of Thai MSMEs. In Environmental footprints and eco-design of products and processes, faculty of environmental management (pp. 113–131). Prince of Songkla University. https://www.scopus.com/inward/record.uri?eid=2-s2.0-85172476794&doi=10 .1007/978-981-99-4894-9_8&partnerID=40&md5=dce379796db7eda175c480f6ad025ab8
  • Corazza, L. (2018). Small business social responsibility: The CSR4UTOOL web application. Journal of Applied Accounting Research, 19(3), 383–400. https://doi.org/10.1108/JAAR-11-2014-0122
  • Doran, J., & Ryan, G. (2012). Regulation and firm perception, eco-innovation and firm performance. European Journal of Innovation Management, 15(4), 421–441. https://doi.org/10.1108/14601061211272367
  • Eggers, F. (2020). Masters of disasters? Challenges and opportunities for SMEs in times of crisis. Journal of Business Research, 116, 199–208. https://doi.org/10.1016/j.jbusres.2020.05.025
  • Farida, L., Afandi, M. F., Sularso, R. A., Suroso, I., & Putri, N. A. (2019). How financial literacy, innovation capability, and human capital affect competitive advantage and performance: Evidence from creative MSMEs. International Journal of Scientific and Technology Research, 8(11), 2300–2310. https://www.scopus.com/inward/record.uri?eid=2-s2.0-85075276404&partnerID=40&md5=5a93ebc252547b153cef656c1e68c7fe
  • Ghobakhloo, M., Arias-Aranda, D., & Benitez-Amado, J. (2011). Adoption of e-commerce applications in SMEs. Industrial Management & Data Systems, 111(8), 1238–1269. https://doi.org/10.1108/02635571111170785
  • Gottesman, A. A., & Morey, M. R. (2010). CEO educational background and firm financial performance. Journal of Applied Finance, 2, 70–82.
  • Gunawan, A., Jufrizen, & Pulungan, D. R. 2023. Improving MSME performance through financial literacy, financial technology, and financial inclusion. International Journal of Applied Economics, Finance and Accounting, 15(1), 39–52. https://doi.org/10.33094/ijaefa.v15i1.761
  • Guo, H., Yang, Z., Huang, R., & Guo, A. (2020). The digitalization and public crisis responses of small and medium enterprises: Implications from a COVID-19 survey. Frontiers of Business Research in China, 14(1), 1-25. https://doi.org/10.1186/s11782-020-00087-1
  • Gupta, A., & Kumar Singh, R. (2023). Managing resilience of micro, small and medium enterprises (MSMEs) during COVID-19: Analysis of barriers. Benchmarking: An International Journal, 30(6), 2062–2084. https://doi.org/10.1108/BIJ-11-2021-0700
  • Hair, J. F., Ringle, C. M., & Sarstedt, M. (2012). Partial least squares: The better approach to structural equation modeling? Long Range Planning, 45(5–6), 312–319. https://doi.org/10.1016/j.lrp.2012.09.011
  • Handayani, B. D., Hajawiyah, A., Putra Harjanto, A., & Fathur, M. (2023). Analysis of the use of accounting information technology in MSMEs in Indonesia. Quality-Access to Success, 24(195), 115–124.
  • Harymawan, I., Minanurohman, A., Nasih, M., Shafie, R., & Ismail, I. (2023). Chief financial officer’s educational background from reputable universities and financial reporting quality. Journal of Accounting & Organizational Change, 19(4), 566–587. https://doi.org/10.1108/JAOC-12-2021-0195
  • Horváth, D., & Szabó, R. Z. (2019). Driving forces and barriers of Industry 4.0: Do multinational and small and medium-sized companies have equal opportunities? Technological Forecasting and Social Change, 146(March), 119–132. https://doi.org/10.1016/j.techfore.2019.05.021
  • Isensee, C., Teuteberg, F., Griese, K. M., & Topi, C. (2020). The relationship between organizational culture, sustainability, and digitalization in SMEs: A systematic review. Journal of Cleaner Production, 275, 122944. https://doi.org/10.1016/j.jclepro.2020.122944
  • Jalbert, T., Furumo, K., & Jalbert, M. (2011). Does educational background affect CEO compensation and firm performance? Journal of Applied Business Research, 27(1), 15–40.
  • Khan, M. A. I., & Uddin, M. A. (2023). Does managerial propensity towards digitalization enhances firm performance? A case study of Indian MSMEs. International Journal of Applied Economics, Finance and Accounting, 17(1), 168–175. https://doi.org/10.33094/ijaefa.v17i1.1093
  • Khin, S., & Ho, T. C. F. (2020). Digital technology, digital capability and organizational performance: A mediating role of digital innovation. International Journal of Innovation Science, 11(2), 177–195. https://doi.org/10.1108/IJIS-08-2018-0083
  • Khurana, S., Luthra, S., Haleem, A., Kumar, A., & Mannan, B. (2022). Can sustainability be achieved through sustainable oriented innovation practices? Empirical evidence of micro, small and medium scale manufacturing enterprises. Sustainable Development, 30(6), 1591–1615. https://doi.org/10.1002/sd.2330
  • Komala, A. R., & Firdaus, D. W. (2023). Improving the quality of financial statements and the survival of MSMEs through digital economy: The case of Indonesia and Malaysia. Journal of Eastern European and Central Asian Research, 10(5), 752–763. https://www.scopus.com/inward/record.uri?eid=2-s2.0-85172761968&doi=10 .15549/jeecar.v10i5.1435&partnerID=40&md5=4bde712e043fb0cde8e05c4d9031ddfc
  • Kusumaningtyas, R. O., Subekti, R., Jaelani, A. K., Orsantinutsakul, A., & Mishra, U. K. (2022). Reduction of digitalization policy in Indonesian MSMEs and implications for Sharia economic development. JURIS (Jurnal Ilmiah Syariah), 21(2), 157–171. https://doi.org/10.31958/juris.v21i2.6855
  • Lu, H. T., Li, X., & Yuen, K. F. (2023). Digital transformation as an enabler of sustainability innovation and performance – Information processing and innovation ambidexterity perspectives. Technological Forecasting and Social Change, 196, 122860. https://doi.org/10.1016/j.techfore.2023.122860
  • Maulana, A., & Iskandar, Y. (2023). The effect of technology adaptation and government financial support on sustainable performance of MSMEs during the COVID-19 pandemic. Cogent Business and Management, 10(1), 2177400. https://www.scopus.com/inward/record.uri?eid=2-s2.0-85148437482&doi=10 .1080/23311975.2023.2177400&partnerID=40&md5=1fdc2cb6bf870e3be9e716d089b7c629
  • Niemand, T. (2017). Entrepreneurial orientation and digitalization in the financial service industry: A contingency approach. In Proceedings of the 25th European Conference on Information Systems, ECIS 2017 (pp. 1081–1096).
  • Ntom Udemba, E., Khan, N.-U., & Raza Shah, S. A. (2024). Demographic change effect on ecological footprint: A tripartite study of urbanization, aging population, and environmental mitigation technology. Journal of Cleaner Production, 437, 140406. https://doi.org/10.1016/j.jclepro.2023.140406
  • Oggero, N., Rossi, M. C., & Ughetto, E. (2020). Entrepreneurial spirits in women and men. The role of financial literacy and digital skills. Small Business Economics, 55(2), 313–327. https://doi.org/10.1007/s11187-019-00299-7
  • Olazo, D. B. (2023). Marketing competency, marketing innovation and sustainable competitive advantage of small and medium enterprises (SMEs): A mixed-method analysis. Asia Pacific Journal of Marketing and Logistics, 35(4), 890–907. https://doi.org/10.1108/APJML-01-2022-0050
  • Rahim, S., & Balan, V. (2021). Financial literacy: The impact on the profitability of the SMEs in Kuching. International Journal of Business and Society, 21, 1172–1191.
  • Rahman, R. U., Mohsin Ali Shah, S., El-Gohary, H., Haider Khalil, S., Al Altheeb, S., & Sultan F. (2020). Social media adoption and financial sustainability: Learned lessons from developing countries. Sustainability, 12(24), 1–26.
  • Rahmawati, A., Wahyuningsih, S. H., & Garad, A. (2023). The effect of financial literacy, training and locus of control on creative economic business performance. Social Sciences and Humanities Open, 8(1), 100721. https://doi.org/10.1016/j.ssaho.2023.100721
  • Rita, M. R., et al. (2023). Lessons learned in the recovery of business performance from the COVID-19 endemic: The importance of working capital management and financial management. In Entrepreneurship business debates: Multidimensional perspectives across geo-political frontiers (pp. 67–85). Faculty of Economics and Business, Satya Wacana Christian University. https://www.scopus.com/inward/record.uri?eid=2-s2.0-85171501529&doi=10 .1007/978-981-99-1071-7_5&partnerID=40&md5=4c64f5fde4ab5c63f8d463bb057785b0
  • Rosyidiana, R. N., Ervianty, R. M., Firmandani, W., Linduwati, M., & Margaretha, C. C. (2023). Digitalization of MSMEs: Implementation of product detail pages and digital financial management on MSMEs in Bojonegoro. Jurnal Layanan Masyarakat (Journal of Public Services), 7(1), 1–12. https://doi.org/10.20473/jlm.v7i1.2023.1-12
  • Rosyidiana, R. N., Ervianty, R. M., Nurul, M., Linduwati, P. M., Arda Rini, I. N., & Rahmawati, L. A. (2022). Digitalization in financial reporting and marketing on micro, small and medium enterprises as a strategy for economic recovery in the pandemic period. Darmabakti Cendekia: Journal of Community Service and Engagements, 4(1), 16–22. https://doi.org/10.20473/dc.V4.I1.2022.16-22
  • Sari, Y. W., Nugroho, M., & Rahmiyati, N. (2023). The effect of financial knowledge, financial behavior and digital financial capabilities on financial inclusion, financial concern and performance in MSMEs in East Java. Uncertain Supply Chain Management, 11(4), 1745–1758. https://doi.org/10.5267/j.uscm.2023.6.016
  • Soetjipto, B. E., Handayati, P., Hanurawan, F., Meldona, Rochayatun, S., & Bidin, R. (2023). Enhancing MSMEs performance through innovation: Evidence from East Java, Indonesia. Journal for ReAttach Therapy and Developmental Diversities, 6(3s), 124–145. https://www.scopus.com/inward/record.uri?eid=2-s2.0-85159906711&partnerID=40&md5=b0096d02e66a769c93d20f96c3813090
  • Tajudeen, F. P., Nadarajah, D., Jaafar, N. I., & Sulaiman, A. (2022). The impact of digitalisation vision and information technology on organisations’ innovation. European Journal of Innovation Management, 25(2), 607–629. https://doi.org/10.1108/EJIM-10-2020-0423
  • Tiara, T., Purnomo, A., & Salim, G. (2023). Blockchain utilization in actions to empower digitalization of accounting information systems for small and medium-sized entities in Indonesia. Journal of Theoretical and Applied Information Technology, 101(17), 7033–7044. https://www.scopus.com/inward/record.uri?eid=2-s2.0-85174919181&partnerID=40&md5=5b75e9eb211bd42918216f8395b89c02
  • Utaminingsih, A., Yuni Widowati, S., & Witjaksono, E. H. (2024). Sustainable business model innovation: External and internal factors on SMEs. International Journal of Innovation Science, 16(1), 95–113. https://doi.org/10.1108/IJIS-04-2022-0061
  • Vo Thai, H.-C., Hue, T. H. H., Tran, M.-L., & Vo, X. V. (2023). A strategy tripod perspective on digitalization for sustainable development: A case of micro, small, and medium-sized enterprises in Vietnam. Journal of Small Business & Entrepreneurship, 35, 1–30. https://doi.org/10.1080/08276331.2023.2253682
  • Wahyono, & Hutahayan, B. 2021. The relationships between market orientation, learning orientation, financial literacy, on the knowledge competence, innovation, and performance of small and medium textile industries in Java and Bali. Asia Pacific Management Review, 26(1), 39–46. https://doi.org/10.1016/j.apmrv.2020.07.001
  • Wedari, L. K., Moradi-Motlagh, A., & Jubb, C. (2022). The moderating effect of innovation on the relationship between environmental and financial performance: Evidence from high emitters in Australia. Business Strategy and the Environment. https://www.scopus.com/inward/record.uri?eid=2-s2.0-85131842264&doi=10 .1002/bse.3167&partnerID=40&md5=44c50597cf2758500ee2326332916b97
  • Yang, M., Gabrielsson, P., & Andersson, S. (2023). Entrepreneurs’ social ties and international digital entrepreneurial marketing in small and medium-sized enterprise internationalization. Journal of International Marketing, 31(4), 1–22. https://doi.org/10.1177/1069031X231178220
  • Zhou, X., Sawada, Y., Shum, M., & Tan, E. S. (2024). COVID-19 containment policies, digitalization and sustainable development goals: Evidence from Alibaba’s administrative data. Humanities and Social Sciences Communications, 11(1), 1-16. https://doi.org/10.1057/s41599-023-02547-4