American
International
University-
Bangladesh

Students & Supervisors

Abstract

Background: The global COVID‐19 pandemic has also changed the way businesses do business, including small and medium enterprises (SMEs). The crisis exposed the weakness of systemic digital infrastructure and financial and institutional support for the millions of South Asian SMEs, which are the engines of local employment, growth, and innovation. Disrupted supply chains, nationwide lock downs, constrained physical operations, and reduced consumer demand threatened the survival of many SMEs, but the most brutal hit would be those led by marginalized groups. However, this adversity also highlighted the need to investigate how SMEs confronted the crisis and which adaptations fostered their resilience. Objective: This study aims to evaluate the strategies of the resilience of SMEs in South Asia under the effect of the COVID-19 pandemic. Focusing on finding out the successful business model adaptations in terms of digitization, government support and access to finance, and gender differences in performance, it draws insights from Africa, India, the Middle East, China, and Europe. Inform policy and practice towards building sustainable and inclusive recovery frameworks for SMEs in the region. Methods: This paper draws on longitudinal data from 2019 to 2023 to analyze trends in digital platform adoption, remote service delivery, credit accessibility, and gender-based resilience with small and medium enterprises (SMEs). The findings show massive growth in digital tool usage post-2020, along with the ensuing government support programs and changed customer preferences. Wellness tech adoption has been used for quantitative analysis. Regression models and correlation tests were used. While many SMEs reported revenue drops during lock downs, those that adopted digital solutions did better and emerged quickly. The world has begun afresh, and there are fresh business landscapes for small and medium enterprises (SMEs) facing more challenges than any other. Results: In 2023, globally, 54% of SME respondents did some remote work, but SMEs have seen an increase in the adoption of digital tools since 2019, with rates now topping 55% plus. Above all, government support programs, especially in 2020, helped SMEs gain access to credit and facilitated access to relief funds from 10% in 2015 to 50% (five times the earlier) of the SMEs in 2020. In 2019, the number of SMEs offering remote services was 2%; by 2023, that had increased to 35%. Many SMEs suffered sharp revenue decline during lock down periods; however, early digital adopters or SMEs possessing diversified service channels can remain operational. There were fewer female-owned SMEs, but they were more resilient. There was an increase in their operational continuity. Conclusion: The results show a clear need for digital transformation, viable financial mechanisms to strengthen the SMEs' resilience, and gender-sensitive policy frameworks. On the horizon, looking into the post-COVID era in South Asia, regional economic recovery would mean enhanced digital and communication infrastructure, targeted government support, and a focus on digital literacy amongst female entrepreneurs. Therefore, the research makes it crucial that local policies and practices are coordinated to continue being fundamental in helping SMEs' long-term resilience and competitiveness in South Asia.

Keywords

Publication Details

• Type of Publication:
• Conference Name: International Conference on Economics, Business, and Technology Management (ICEBTM 2025)
• Date of Conference: 14/11/2025 - 14/11/2025
• Venue: The Westin, Dhaka
• Organizer: School of Business & Entrepreneurship (SBE), Independent University, Bangladesh (IUB)