SMEs during the COVID-19 Pandemic Crisis. The Sources of Problems, the Effects of Changes, Applied Tools and Management Strategies—The Example of Poland

Abstract

Purpose: The aim of the theoretical deliberations and empirical research conducted is to determine the basic sources of problems in the SME sector of enterprises in Poland during the COVID-19 pandemic crisis, and to present how enterprises are responding to external changes and adapting to these changes. The consideration of four types of enterprise strategies in the context of a large scale and a strong influence of external conditions on their activities is the leitmotif of the undertaken research. Design/methodology/approach: The research work used the analysis of the literature of the subject within the research methods of social studies with respect of the analysis and criticism of literature, as well as for logical analysis and structure. The empirical part applied desk research which concerned quantitative methods in the form of a survey. The survey was conducted among SME sector firms, that is micro-, small-, and medium-sized business entities whose economic activity was registered in Poland. The detailed information on sample sizes (based on three report sources) was given in the methodological part of the article. The research period is related to the COVID-19 pandemic. The statistical data presented in the paper primarily include the period of 2019 and 2020. Findings: The research revealed the basic sources of problems that SMEs in Poland struggled with during the COVID-19 pandemic in the period 2019–2020. The article presents the effects of changes related to the bankruptcy and restructuring processes of enterprises, expressed in an increase in their number in the compared years. In particular, the negative effects of the COVID-19 reality were experienced by SMEs conducting service activities. The paper also shows ways of responding and adapting to the turbulent reality of the studied enterprises, indicating the transformation and adaptation types of the actions taken. Originality/value: The presented research into SMEs is an original combination of theoretical issues related to business management during a crisis and distinguished strategies of responding to changes in the conditions of uncertainty, and the actual picture of changes in those entities in the days of the COVID-19 pandemic. The value of the research is manifested in the uniqueness of linking theoretical references of problems of management studies with respect to organisation management in the strategic aspect to specific research findings in firms defined as the core of the national economy, namely small- and medium-sized enterprises under the conditions of the COVID-19 pandemic crisis.