A Resilience-Competitive Advantage Framework for SMEs in Crises

Thesis Abstract

Small and medium-sized enterprises (SMEs) operate in highly volatile environments where crises such as financial downturns, supply-chain disruptions, and health emergencies threaten continuity and long-term viability. The study addresses the gap in integrative frameworks that link organizational resilience with sustainable competitive advantage in crisis contexts, proposing a resilience-competitive advantage framework tailored for SMEs. The aim is to identify how resilience capabilities mediate the relationship between crisis exposure and competitive performance, and to specify managerial levers that transform adversity into strategic differentiation. Objectives include (1) to map dominant resilience dimensions—absorption, adaptation, and transformation—within SMEs facing crises; (2) to examine the mediating role of resilience between crisis exposure and competitive performance indicators such as market share, profitability, and innovation outcomes; (3) to test the moderating effects of absorptive capacity, digital maturity, and leadership for crisis response; and (4) to develop a parsimonious framework with actionable recommendations for SME managers and policymakers. A mixed-methods design is employed. The quantitative strand uses a cross-sectional survey of 420 SMEs selected via stratified random sampling across manufacturing, services, and trade sectors in a regional economy severely affected by recent supply-chain disruptions. Survey instruments adapt validated scales for crisis exposure, organizational resilience (absorption, adaptation, transformation), competitive performance, digital maturity, and leadership. Reliability is assessed with Cronbach’s alpha (? > .70) and composite reliability, while validity is evaluated through confirmatory factor analysis (CFA). Data are analyzed with structural equation modeling (SEM) to test direct, mediating, and moderating effects, and with multigroup analysis to explore sectoral differences. The qualitative strand comprises 30 in-depth interviews with SME owners/managers and 6 focus groups with sector associations, employing purposive sampling to capture diverse crisis experiences. Thematic analysis is conducted using rigorous steps—coding, theme development, and triangulation with survey results—to enrich interpretation of resilience mechanisms and strategic responses. The study also incorporates a growth-accounting approach to quantify the potential competitive gains from resilience investments under crisis conditions. Expected findings indicate that resilience dimensions differentially influence competitive advantage absorption primarily sustains performance in short-term shocks, adaptation correlates with improved responsiveness and output flexibility, and transformation drives sustained differentiation and innovation. Mediation analysis is anticipated to show that resilience partially mediates the impact of crisis exposure on competitive performance, with stronger effects when digital maturity and absorptive capacity are high. Moderation analysis is expected to reveal that leadership effectiveness amplifies the resilience–performance link, particularly in highly disrupted supply environments. Sectoral differences are likely, with services-oriented SMEs benefiting more from adaptive and transformative practices, while manufacturing SMEs gain through enhanced absorption and digital integration. The study contributes to knowledge by integrating resilience theory with resource-based and dynamic capabilities perspectives to articulate a holistic framework—demonstrating how resilience capabilities translate crisis experiences into competitive advantages in the SME context. It advances measurement by operationalizing a multi-dimensional resilience construct specific to crises and by linking it to concrete performance outcomes. Practically, the framework offers SMEs a roadmap for building and investing in resilience capabilities, prioritizing digital maturity and leadership development, and guiding policymakers in designing targeted support programs such as resilience audits, financial risk cushions, and digital capability subsidies. The conclusion emphasizes that proactive resilience-building is not merely a defensive response but a strategic investment that reshapes SMEs’ competitive trajectories in volatile environments. Recommendations encompass (1) integrating resilience screening into strategic planning, (2) fostering collaborative networks for resource sharing and collective learning, (3) prioritizing digital transformation and data-driven decision-making, and (4) developing tailored policy instruments that incentivize resilience investments and knowledge dissemination across sectors.