Reviewing the Impact of COVID-19 on the Performance of Small Industries in South Sumatra

Mukhlis Mukhlis, Bernadette Robiani, Nazeli Adnan, Hamira Hamira, Dirta Pratama Atiyatna

Abstract


In early 2020, the COVID-19 virus outbreak spread globally and had a negative impact on the economy. The large-scale social restriction policy implemented by the South Sumatra government to contain the development of the virus has had a negative impact on small industries. This study aims to analyze the impact of COVID-19 on small industries in South Sumatra Province. The data used are primary data from 60 samples of small industries and secondary data sourced from agencies. The analysis technique used is quantitative and qualitative analysis techniques. The results of the Wilcoxon signed test show that the COVID-19 pandemic has caused a decline in profits and labor in small industries in South Sumatra Province. Small industries have felt the negative impact of the presence of COVID-19 but they can still survive and it is easy for their businesses to get back on their feet. For this reason, various policies are needed to develop small industries in South Sumatra Province.

Keywords


COVID-19, impact, small industry, performance

Full Text:

PDF

References


Baker, S. R., Davis, S. J., Terry, S. J., & Bloom, N. (2020). COVID- Induced Economic Uncertainty. NBER Working Papers, 26983, National Bureau of Economic Research, Inc.

Baker, T., & Judge, K. (2020). How to Help Small Businesses Survive COVID-19. SSRN Working Paper, 620. DOI:10.2139/ssrn.3571460

Balla-elliott, D., Cullen, Z. B., Glaeser, E. L., & Stanton, C. T. (2020). Business Reopening Decisions and Demand Forecasts During The COVID-19 Pandemic. In NBER Working Paper Series, 27363.

Bartik, A. W., Bertrand, M., Cullen, Z. B., Glaeser, E. L., Luca, M., & Stanton, C. T. (2020). How are Small Businesses Adjusting to COVID-19? Early Evidence From A Survey. NBER Working Paper, 26989. DOI 10.3386/w26989

Crick, J. M., & Crick, D. (2020). Coopetition and COVID-19 : Collaborative Business-to-Business Marketing Strategies in a Pandemic Crisis. Industrial Marketing Management, 88(May), 206–213. https://doi.org/10.1016/j.indmarman.2020.05.016

Dhora, S. T., Nairobi, & Taher, A. R. (2022). Specialization and Competitive Advantages of Leading Processing Industry in South Sumatra. Jurnal Ekonomi Pembangunan, 20(1), 53-66. DOI: 10.29259/jep.v20i1.17744

Fairlie, R. (2020). The Impact of COVID-19 on Small Business Owners: Evindence from the First 3 Months After Widespread Social-Distancing Restrictions. Journal of Economics & Management Strategy, 29(9), 727–740, DOI:10.1111/jems.12400

Haryadi, D., Chotim, E. E., & Maspiyati, M. (2016). Tahap Perkembangan Usaha Kecil: Dinamika dan Peta Potensi Pertumbuhan. Bandung: AKATIGA.

Harel, R. (2021). The Impact of COVID-19 on Small Businesses’ Performance and Innovation. Global Business Review, 1-12. https://doi.org/10.1177/09721509211039145

Kawaguchi, K., Kodama, N., & Tanaka, M. (2020). Small Business under the COVID-19 Crisis : Expected Short- and Medium-Run Effects of Anti-Contagion and Economic Policies. Journal of the Japanese and International Economies, 61 (September), 1-13. https://doi.org/10.1016/j.jjie.2021.101138

Kim, S. (1995). Expansion of Markets and the Geographic Distribution of Economic Activities: The Trends in U. S. Regional Manufacturing Structure, 1860-1987. The Quarterly Journal of Economics, 110(4), 881–908. https://doi.org/10.2307/2946643

Krishnamoorthy, K. (2015). Wilcoxon Signed-Rank Test In Handbook of Statistical Distributions with Applications (2nd ed.). New York: Chapman and Hall/CRC https://doi.org/10.1201/9781420011371-34

Kuncoro, M. (2012). Ekonomika Aglomerasi: Dinamika dan Dimensi Spasial (1st ed.). Yogyakarta: UPP AMP YKPN.

Lagoudakis, A., McKendree, M. G. S., Malone, T., and Caputo, V. (2020). Incorporating Producer Opinions into a SWOT. International Food and Agribusiness Management Review, 23 (4), 547-561. DOI: 10.22434/IFAMR2019.0120

Li, D., Lu, Y., & Wu, M. (2012). Industrial Agglomeration and Firm Size: Evidence from China. Regional Science and Urban Economics, 42(1–2), 135–143. https://doi.org/10.1016/j.regsciurbeco.2011.07.003

Mukhlis. (2020). Examining the technical efficiency of small industries: A case study of the crackers industry in South Sumatera, Indonesia. Jurnal Ekonomi Pembangunan, 18(1), 13-20. DOI: https://doi.org/10.29259/jep.v18i1.10847

Mukhlis, Robiani, B., Marwa, T., & Chodijah, R. (2017). Agglomeration of Manufacturing Industrial, Economic Growth, And Interregional Inequality in South Sumatra, Indonesia. International Journal of Economics and Financial Issues, 7(4), 214–224. DOI:10.2139/ssrn.3626058

Papadopoulos, T., Baltas, K. N., & Elisavet, M. (2020). The Use of Digital Technologies by Small and Medium Enterprises During COVID-19 : Implications for Theory and Practice. International Journal of Information Management, 55 (June), 1-4. https://doi.org/10.1016/j.ijinfomgt.2020.102192

Rahmi, Y. & Sumirat, E. (2021). A Study of the Impact of Alma to Profitability During the COVID-19 Pandemic. International Journal of Business, Economics and Law, 24 (3), 54-65.

Shafi, M., Liu, J., & Ren, W. (2020). Impact of COVID-19 Pandemic on Micro, Small, and Medium-Sized Enterprises Operating in Pakistan. Research in Globalization, 2 (December), 1-14. https://doi.org/10.1016/j.resglo.2020.100018

Shen, H., Fu, M., Pan, H., Yu, Z., & Chen, Y. (2020). The Impact of the COVID-19 Pandemic on Firm Performance. Emerging Markets Finance and Trade, 56 (10), 2213-2230, DOI: 10.1080/1540496X.2020.1785863

Statistics of South Sumatra Province. (2019). South Sumtra Province in Figures 2019. Badan Pusat Statistik.

Wang, J. & Wang, Z. (2020). Strengths, Weaknesses, Opportunities and Threats (SWOT) Analysis of China’s Prevention and Control Strategy for the COVID-19 Epidemic. International Journal of Environmental Research and Public Health, 17 (7), 1-17. DOI:10.3390/ijerph17072235




DOI: https://doi.org/10.29259/jep.v20i2.19918

Refbacks

  • There are currently no refbacks.


Creative Commons License
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.


Jurnal Ekonomi Pembangunan
Jalan Raya Palembang-Prabumulih Km. 32
Jurusan Ekonomi Pembangunan, Fakultas Ekonomi Universitas Sriwijaya
Indralaya, Sumatera Selatan, Indonesia
Email: jep.unsri@gmail.com, Tel/Fax : (0711)580231


p-ISSN: 1829-5843, e-ISSN 2685-0788


Creative Commons License

Jurnal Ekonomi Pembangunan by http://ejournal.unsri.ac.id/index.php/jep 

is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.  

Jurnal Ekonomi Pembangunan is Indexed by:

Logo Google Scholar Unsri  Moraref One Search