The Benefits of e-Commerce before and during the Covid-19 Pandemic for Small Enterprises in Indonesia

Abstract

This study aims to analyze the benefits of e-commerce for small enterprises and its consequences before and during the COVID-19 pandemic. Furthermore, it examines the effects on the decrease in income of small enterprises and their response to a regulation restricting community activities. It also provides an outline of the support needed by small businesses. Meanwhile, a descriptive analysis and a paired t-test were used to analyze data (525 small enterprises in Indonesia) from an online questionnaire survey between May and June 2021. The results showed several significant discoveries, including the following: first, the COVID-19 pandemic resulted in a decline in revenue. Second, limits on community activities exacerbate the plight of small enterprises. Third, small enterprises sought several forms of assistance, with working capital accounting for the lion's share of requests. Finally, substantial variations exist in respondents' perceptions of the benefits of e-commerce before and during the COVID-19 pandemic. Furthermore, these results contribute to the small medium enterprises literature and have significant policy implications for developing countries.