Abstract
The tsunami of 26 December 2004 killed over 35,000 people in Sri Lanka, made 400,000 jobless and damaged the economy by 6·5%. The physical damage was around US$1·5billion, with reconstruction costing $2 billion. Although entrepreneurs are opportunity seekers, take risks and thrive in uncertainty, the alignment of competency and institutional support was not fully realized for recovery. This problem is studied by revisiting inertia theory (to understand entrepreneurial inertia), network theory (for the interaction of environment and entrepreneur), and theory on disaster management (to understand stage-related issues). The objective of the paper is to provide insights into the current recovery process and future preparedness for small business management following natural disasters. The paper is based on a survey of 89 Sri Lankan small businesses affected by the tsunami which are now in the process of recovery. The procedures and techniques adopted by the Postgraduate Institute of Management in Sri Lanka, based on active participation combined with observation and systems design, proved highly effective in aiding entrepreneurs on their path to recovery.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.