Small and Medium Enterprises Sustainability Strategies Beyond the Periods of Environmental Shocks: Evidence From a Developing Economy

The paper aims to investigate the Small and Medium Enterprises (SMEs) Sustainability Strategies beyond the Periods of Environmental Shocks. We drew insights from SMEs in Africa’s largest economy, Nigeria, to explain how SMEs developed strategies to sustain business operations during the recently witnessed global economic and health shocks that affected the overall business environment. Our study adopted the qualitative research design to demonstrate the disruption of survival, adaptation, and future thinking strategies and their implications for Small and Medium Enterprises in South-Western Nigeria. Interviews were conducted using open-ended questions emailed to forty-three Owners and Owner-managers of SMEs across South-Western states in Nigeria. The study results indicate a negative impact of the economic and health shocks on Small and Medium Enterprises (SMEs) sales, income, and profitability in Nigeria. Considering the sudden nature of the pandemic, operators of SMEs developed various novel coping strategies to minimize the impact and survive during and after the pandemic. However, the study has implications for policymakers toward supporting SMEs’ growth and future adaptation, especially in developing countries like Nigeria.