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Preliminary Finding of Small and Micro Firms Resilience in Indonesia

Author

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  • Dhaniel Ilyas

    (Researcher, Institute for Economic and Social Research, Faculty of Economics, University of Indonesia, Jakarta)

Abstract

Survivability (resilience) of Indonesia small and micro firms seems to have a strong relation with firm’s size. Smaller firms have higher probability to operate longer due to their flexibility. These resilience is related to their choice of using only their owned self-capital without making any bank/non-bank loans. The characteristic make them tougher in facing economic crisis and easier for them to re-organize their business. Female owner tends to choose this ‘no-loan’ strategy in Indonesia case. These preliminary findings needs further investigation using more details data.

Suggested Citation

  • Dhaniel Ilyas, 2017. "Preliminary Finding of Small and Micro Firms Resilience in Indonesia," LPEM FEBUI Working Papers 201715, LPEM, Faculty of Economics and Business, University of Indonesia, revised Dec 2017.
    • Handle: RePEc:lpe:wpaper:201715
    as

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    File URL: https://www.lpem.org/repec/lpe/papers/WP201715.pdf
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    References listed on IDEAS

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    More about this item

    Keywords

    SMFs — Indonesia — Firm Survival — Firm Resilience — Economic Crises;

    JEL classification:

    • E22 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Investment; Capital; Intangible Capital; Capacity
    • L10 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - General
    • O10 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - General

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