The Benefits of e-Commerce before and during the Covid-19 Pandemic for Small Enterprises in Indonesia

Abstract

This study aims to analyze the benefits of e-commerce for small enterprises and its consequences before and during the COVID-19 pandemic. Furthermore, it examines the effects on the decrease in income of small enterprises and their response to a regulation restricting community activities. It also provides an outline of the support needed by small businesses. Meanwhile, a descriptive analysis and a paired t-test were used to analyze data (525 small enterprises in Indonesia) from an online questionnaire survey between May and June 2021. The results showed several significant discoveries, including the following: first, the COVID-19 pandemic resulted in a decline in revenue. Second, limits on community activities exacerbate the plight of small enterprises. Third, small enterprises sought several forms of assistance, with working capital accounting for the lion`s share of requests. Finally, substantial variations exist in respondents` perceptions of the benefits of e-commerce before and during the COVID-19 pandemic. Furthermore, these results contribute to the small medium enterprises literature and have significant policy implications for developing countries.