Post-COVID-19 Pandemic: Impact of Government Support, Digital Transformation, and Market Demand on Small Entrepreneurs in Central India - A Structural Model Analysis

Abstract

This study aims at establishing the post COVID-19 effect among small entrepreneurs in Central India and identifying key issue of government support, digitization, and demand which contributes to business viability. Twenty items data were gathered from 290 small entrepreneurs; Structural equation modeling (SEM) with Smart PLS confirms that government support program enhances the capacity of small business to thrive in post pandemic economic environment. Digital transformation stands out as a strong concern in order to increase company robustness to help the small business owners to manage change and improve the processes. Furthermore, the case examined in the study points to the influence of market demand in dictation of the business strategies as well as the sustainability of practicing organisations. Thus, the study indicates that sustained and effective entrepreneurial growth outcome in Central India and small enterprises in particular depends on multi sector interaction of government policies, digital business development, and market adaptation. This research enriches the existing literature on business recovery strategies in the context of developing economies and offers a set of managerial implications to policymakers and small business owners who wish to establish strong foundations of sustainable business models following the global crises. Like any other study, the study has some limitations such as cross-sectional design: It cannot establish cause and effect relation. The second one is geographical restriction: The study was done only in central region of India. Future research could elaborate this research using cross-sectional research and/or cross-country/cross-regional study.