CORPORATE STRATEGY BASED ON BUSINESS ENVIRONMENT MACRO AND MICRO TO ACHIEVE BUSINESS PERFORMANCE SME (SMALL AND MEDIUM ENTERPRISES) BUSINESSES IN WEST JAVA, INDONESIA DURING THE COVID-19 PANDEMIC

Abstract

In December 2019, in China a corona virus was discovered that has spread very quickly throughout the world. In March 2020, WHO declared corona virus or COVID-19 as a pandemic, not only health problems, but also the world is experiencing severe economic pressures. Indonesia with an occupation of 265 million people cannot be separated from this economic pressure. The most affected sector is the Small and Medium Enterprises (SMEs) sector. Not a few SMEs have to close their businesses because they are unable to cover operational costs. It's been almost a year gone by, but the pandemic hasn't shown it's coming to an end. The second wave of the pandemic is even felt more severely than the first wave. However, the economy must keep moving. The SME sector plays an important role in pushing the national economic movement. One of the efforts that can be done is to improve the business performance of SMEs during the COVID-19 pandemic through the development of corporate strategies by paying more attention to the external environment both macro and micro. This research was conducted to examine the influence of macro and micro external environment on business performance through the Company's Strategy on SME Businesses in West Java, Indonesia during the COVID-19 Pandemic. To answer the objectives, data collection has been conducted through questionnaires by collecting as many as 138 SMEs in West Java. The results found that there is a significant influence from the external environment of Macro and Micro on Business Performance through the Company's Strategy on SME Businesses in West Java, Indonesia during the COVID-19 Pandemic. These results can be utilized by policy makers to accelerate the recovery of SMEs by encouraging the improvement of SME performance through a better understanding of the external environment, especially the micro external environment.