Resilience capabilities in the face of environmental turbulence: a case of Hong Kong small to medium enterprises

This thesis adopts an explanatory sequential mixed-approach, incorporating two inter-related studies investigates the resilience capabilities of Hong Kong-based SMEs. Specifically, the overall objective is to empirically examine the multidimensionality of resilience capability, and how each dimension is developed, utilized, and evolved over time and in various contexts. Study 1 involves a survey of 177 Hong Kong-based SMEs and explores the interrelationship between resilience capabilities and firm performance, and the moderating impact of environmental turbulence on these relationships. Extending the findings of Study 1, Study 2 involves an in-depth qualitative examination of the ways in which SMEs utilize resilience capabilities in strategy development for dealing with threats and opportunities.<br><br> The objective of Study 2 is to address the issues that arose from Study 1 with the aim of providing an understanding of how relationships between dimensions are established pre-, during- and post-crisis phases. Through an in-depth review of literature across disciplines, survey and case study interviews, this thesis defines resilience as a multidimensional capability that is expressed through organizational strategies, comprising four dimensions (adaptability, agility, anticipatory ability and flexibility) that are conceptually and empirically distinct from one another.. These dimensions are articulated either proactively or reactively in the process of effective strategy development during pre-, at times of, or post crisis environments. Findings also reveal five ways of utilizing resilience capability during strategy development process (defining, founding, planning, redefining, conforming) with differential emphasis on dimensions at different phases of turbulent environments, be it pre-, during, or post-crisis conditions. These findings have important implications for strategy development, SME business practice, research and practice.