Factors influencing business recovery from compound disasters: Evidence from Australian micro and small tourism businesses

Abstract

This study examines the factors affecting the recovery of micro and small tourism businesses in the context of the Australian bushfires and the COVID-19 pandemic. An ordered probit model is employed to analyse survey data from 223 tourism businesses in Victoria, Australia. The results reveal that planned resilience, risk management and connectedness have a positive impact, whereas business age and size and compound disasters have a negative impact on the recovery speed of micro and small businesses. Findings from the study contribute to the empirical literature on micro and small tourism business recovery in the events of compound disasters and provide implications to assist businesses in building resilience to future shocks.