A resilient path to prosperity: understanding the impact of entrepreneurial resilience on SMEs

Abstract

Entrepreneurial resilience is of utmost importance for SMEs due to the unique challenges they face allowing them to navigate the complexities of business and emerge stronger in the face of adversity. The study aims to explore the connection between the distinct dimensions of resilience of entrepreneurs and success at both the individual and business levels. It provides insight into how resilience contributes to the growth and prosperity of both entrepreneurs and their businesses in the dynamic and competitive Indian business landscape. The study employed the Connor–Davidson resilience scale 25 (CD-RISC 25) to assess resilience among entrepreneurs. A survey method was employed to collect data from 200 owners/managers of SMEs, utilising non-random sampling techniques like convenience sampling. Self-administered questionnaires were used for data collection. Descriptive statistics, correlation, and regression analysis were conducted to analyse the data. The research uncovered a robust positive correlation between entrepreneurial resilience and the success of both individuals and organizations, with multifaceted impacts on personal growth and achievement. Social support networks were crucial in fostering resilience and influencing financial performance. The research emphasised the significance of entrepreneurial resilience in driving non-financial success for SMEs and identified areas for improvement. The study contributes to the field by identifying a gap in research on entrepreneurial resilience, specifically in individual-level resilience among entrepreneurs, as most studies primarily concentrate on firm-level resilience contributing to the advancement of knowledge in the field of entrepreneurial resilience. The study also contributes by filling a void in research on entrepreneurial resilience in developing economies, notably India, offering crucial insights for policymakers and SME owners in Uttarakhand to enhance strategies for success and longevity.