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Towards sustainability in SMEs post recovery from COVID-19 crisis: the influence of intellectual capital and cost strategy

Author

Listed:
  • Zaid Jaradat
  • Omran Ahmad Al-Ibbini
  • Mohannad Obeid Al Shbail
  • Ahmad Adel Jamil

Abstract

A framework to determine the key factors impacting the economic sustainability post COVID-19 crisis recovery is proposed in this study for SMEs. The study was supported by resource-based-view (RBV) theory. Questionnaires were distributed to the study sample comprising of SME financial managers and heads of accounting departments, in which 190 returned copies were valid for analysis. The impact of human capital, social capital, and relational capital on the economic sustainability in SMEs appeared strong, positive and significant. A significant positive relationship was demonstrated between cost leadership strategy and economic sustainability, and between differentiation strategy and economic sustainability. SMEs could benefit from the study framework as it can guide SMEs in identifying early survival strategies in COVID-19 crisis recovery. For regulators, the framework could assist them in dealing with SMEs post COVID-19.

Suggested Citation

  • Zaid Jaradat & Omran Ahmad Al-Ibbini & Mohannad Obeid Al Shbail & Ahmad Adel Jamil, 2023. "Towards sustainability in SMEs post recovery from COVID-19 crisis: the influence of intellectual capital and cost strategy," International Journal of Productivity and Quality Management, Inderscience Enterprises Ltd, vol. 39(1), pages 97-119.
  • Handle: RePEc:ids:ijpqma:v:39:y:2023:i:1:p:97-119
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