SMEs during the COVID-19 Pandemic Crisis. The Sources of Problems, the Effects of Changes, Applied Tools and Management Strategies—The Example of Poland

Round 1

Reviewer 1 Report

The author/s undertook the presentation of the important issue which they are problems of SME sector enterprises during the Covid-19 Pandemic Crisis.

The aim of the undertaken theoretical deliberations and empirical research is to determine the basic sources of problems in the SME sector enterprises in Poland during the Covid-19 pandemic crisis, and to present how enterprises are responding to external changes and adapting to these changes.

 

In the opinion of the reviewer, this goal was achieved. The article is an interesting study, encouraging reading.

However, after the literature of the article, there are some minor suggestions that must be met for the article to be published.

1 / The methodology of your research should be discussed in detail - this is missing in the text.

2 / Please indicate clearly which conclusions are drawn from your research and which result from secondary research.

3 / The literature on enterprise management in crisis should be expanded to include native authors, eg A. Zelek, A. Walecka, A. Zakrzewska-Bielawska. These authors publish many interesting issues related to enterprises in crisis situations and it is worth getting acquainted with their achievements.

Author Response

In the corrected version of the article "SME Sector Enterprises during the Covid-19 Pandemic Crisis. The Sources of Problems, the Effects of Changes, Applied Tools and Management Strategies - the Example of Poland" I have referred to  all the mentioned points:

1) I have improved the methodological part of the article by presenting the detailed information about the sample sizes coming from the three following sources:

-PWC Poland report,

-Bibby Financial Services report and

-Coface Poland report.

I have also given the information on the methods which I have used in the process of scientific cognition.

2) All the findings F1-F4 presented in the paper (in the conclusion part) are my own findings, which were drawn on the basis of compilation of the above mentioned 3 reports. In the article I have written that all of them are of my own authorship.

3) The theoretical part of the article has been enriched with an analysis of native literature on this subject, coming from the works of A. Zelek, A. Walecka, A. Zakrzewska-Bielawska.

I would like to thank the Reviewer very much for all Her/His remarks being convinced that they will improve the quality of my article.   

Author Response File: Author Response.pdf

Reviewer 2 Report

Abstract:

Purpose – The aim of the theoretical deliberations and empirical research conducted is to determine the basic sources of problems in the SME sector of enterprises in Poland during the Covid-19 pandemic crisis,
and to present how enterprises are responding to external changes and adapting to these changes. The consideration of four types of enterprise strategies in the context of a large scale and a strong influence of
external conditions on their activities is the leitmotif of the undertaken research.

Design/methodology/approach - The research work used the analysis of the literature of the subject within the research methods of social studies in respect of the analysis and criticism of literature, as well as for logical analysis and structure. The empirical part applied desk research which concerned quantitative methods in the form of a survey. The survey was conducted among SME sector firms, that is micro-, small- and medium-sized business entities whose economic activity was registered in Poland SAMPLE SIZE?. The research period is related to the Covid-19 pandemic. The statistical data presented in the paper include the period of 2019 and 2020.

Findings – The research revealed the basic sources of problems that SMEs in Poland struggled with during the Covid-19 pandemic in the period 2019-2020. The article presents the effects of changes related to the bankruptcy and restructuring processes of enterprises, expressed in an increase in their number in the compared years. In particular, the negative effects of the Covid reality were experienced by SMEs conducting service activities. The paper also shows ways of responding and adapting to the turbulent
reality of the studied enterprises, indicating the transformation and adaptation types of the actions taken.

Originality/value – The presented research into SMEs is an original combination of theoretical issues related to business management during a crisis and distinguished strategies of responding to changes in the conditions of uncertainty, and the actual picture of changes in those entities in the days of the Covid-19 pandemic. The value of the research is manifested in the uniqueness of linking theoretical references
of problems of management studies with respect to organisation management in the strategic aspect to specific research findings in firms defined as the core of the national economy, namely small- and medium-sized enterprises under the conditions of the Covid-19 pandemic crisis.

Introduction:

The aim of this paper is to show the basic sources of problems in SMEs in Poland, their responses to the crisis, including countermeasures taken, as well as directions (strategies) of transformation and adaptation to changes in the environment.

In practice, management has always existed and it concerns virtually every area of human life, starting from the private, social, professional, business, military sphere and ending with the political one. NOT SURE IT ONLY AT LEAST "ENDS" THERE - PARTY IT ALSO STARTS THERE, INCLUDING IN COVID-19 RESPONSES AND BROAD REGULATION OF THE ECONOMIC AND SOME SIGNIFICANT ASPECTS OF SOCIAL LIFE [INCLUDING IN POLAND AT PRESENT]

Change management can be characterised as managing the
transformation of an organization [including firms], comprising all areas of the organization, ...

1) budgeting strategy, which does not change structures, processes, which CHECK GRAMMAR AND MEANING is appropriate for the development of an organisation in a stable environment; ...

Materials and Methods:

The research included SMEs, that is micro-, small- and medium-sized business entities, which in total employed 0-249 workers in the period from 2019 to 2020. SAMPLE SIZE? The choice of those business entities was not accidental and is connected with their significance for economy in terms of GDP generation, the number of these enterprises against the total number of non-financial enterprises and their share in employment. The empirical research was carried out based on open-access statistical data on entities undergoing bankruptcy and restructuring processes in Poland (the data made available, among others, by economic courts), and on the basis of surveys conducted among SME sector entities. 

The value of the Polish GDP visibly decreased by 5.1% in the 4th quarter
2018 and by -8.4% in the 2nd quarter 2020, and then slightly rose to -2.8% in the 4th quarter 20205, which was related to lower individual consumption (a decrease from 4.1% to -10.8% and -3.2% for the same period) and lower gross fixed capital formation (from 9% to -10.7% and to -10.9%(Comiesięczny…, 2020; Sytuacja…, 2021).

However, a positive change is a positive current account balance of 947 mln
Euros, according to data for August 2020 (-671 mln Euros in August 2019), which means a higher value of Poland's exports over imports, both in the trade of goods and in services (in the 4th quarter 2020 exports increased by 8% year to year, and imports by 7.9%). 

Results of the research:

all good

Conclusions and recommendations for future research:

F4: The conducted research proved that in spite of belonging to one overall size-defined sector, facing the Covid-19 pandemic crisis SMEs took a range of differing mixes of actions which proves their heterogeneity in the conditions of the "Covid economy". 

References:

Ministry of Finance of the Republic of Poland; this needs to be inserted alphabetically above, and with the full title of the item on the webpage.

The two http weblinks: this needs to be inserted alphabetically above, and with the full title of the item on the webpage.

Author Response

In the corrected version of the article I have referred to  all the mentioned points.

I would like to thank the Reviewer very much for all Her/His remarks being convinced that they will improve the quality of my article.   

Author Response File: Author Response.pdf