The impact of social distancing policy on small and medium-sized enterprises (SMEs) in Indonesia
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Author(s)Muhtar LutfiLink to ORCID Index: https://orcid.org/0000-0002-1648-9555
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Pricylia Chintya Dewi BuntuangLink to ORCID Index: http://orcid.org/0000-0001-5351-2307
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Yoberth KorneliusLink to ORCID Index: https://orcid.org/0000-0003-0747-0438
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ErdiyansyahLink to ORCID Index: https://orcid.org/0000-0001-8037-8959
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Bakri HasanuddinLink to ORCID Index: https://orcid.org/0000-0002-2830-911X
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DOIhttp://dx.doi.org/10.21511/ppm.18(3).2020.40
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Article InfoVolume 18 2020, Issue #3, pp. 492-503
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1368 Downloads
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Creative Commons Attribution 4.0 International License
This study aims to investigate the impact of social distancing policies on SMEs in Indonesia. It used a quantitative method with a survey design. Respondents were all SMEs in Indonesia that are affected by social distancing policies during the COVID-19 pandemic. It involved a total of 587 SME samples selected randomly. The data were collected through observations, questionnaires, and literature studies. The collected data were analyzed using descriptive statistics with SPSS software to determine the mean value. The result showed that social distancing policies affect SMEs during the COVID-19 pandemic. This is indicated by the decreasing income and demand for SMEs products, and even some have no income (mean values of 2.40) due to the social distancing policies. Besides, the policy’s impact is also shown in the increasing cost of raw materials and production costs due to supply chain problems (mean values of 4.79). The policy’s impact raises anxiety for SMEs to survive so that business actors change their plans by utilizing information technology (mean values of 4.81). This change is a strategy to survive due to the impact of the applied policies. Although social distancing policies affect SMEs’ survival during the pandemic, research findings show that SMEs in Indonesia did not terminate employment (mean values of 4.37) due to the presence of economic stimulus policies that helped SMEs survive and grow during the COVID-19 pandemic.
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JEL Classification (Paper profile tab)L26, M21
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References53
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Tables1
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Figures2
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- Figure 1. Theoretical framework
- Figure 2. Characteristics of respondents
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- Table 1. Descriptive statistics
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Dalia Perkumiene ,
Agbonmere Osamede ,
Regina Andriukaitienė ,
Olegas Beriozovas
doi: http://dx.doi.org/10.21511/ppm.19(4).2021.37
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The impact of the COVID-19 pandemic on retailer performance: empirical evidence from India
Amgad S.D. Khaled ,
Nabil Mohamed Alabsy ,
Eissa A. Al-Homaidi 
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Abdulmalek M.M. Saeed
doi: http://dx.doi.org/10.21511/im.16(4).2020.11
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The impact of quarantine due to COVID-19 pandemic on the tourism industry in Lviv (Ukraine)
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Halyna Kushniruk
doi: http://dx.doi.org/10.21511/ppm.18(2).2020.17
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