Crisis Management in SMEs in Thailand

Abstract

his study examines how Thai small and medium-sized enterprises (SMEs) managed crises during the COVID-19 pandemic. While crisis management is challenging for all organizations, SMEs face added difficulties due to limited resources and a lack of structured planning. Through qualitative interviews with SME owners in Bangkok, the research explores responses using Jaques’ relational crisis management model. Findings show that most SMEs lacked formal preparedness, relying instead on reactive strategies. Cultural values like “mai pen rai” and “kreng jai” often hinder proactive planning. Nevertheless, many SMEs showed resilience through adaptability, quick decisions, and care for employees. Post-crisis, some adopted basic changes such as keeping cash reserves and improving documentation. The study underscores the disconnect between traditional crisis models and SME realities in developing economies, suggesting the need for more culturally and contextually relevant strategies.