The summary of We are in survival mode: how family-owned small foodservice firms in India responded to the Covid-19 pandemic

Document Type

Article

Abstract

Study Background: This research study titled “We are in survival mode: how family-owned small foodservice firms in India responded to the Covid-19 pandemic” authored by Senthilkumaran Piramanayagam, Saurabh Kumar Dixit and Partho Pratim Seal. The COVID-19 pandemic has severely impacted small businesses, especially in emerging markets like India. The pandemic has led to reduced demand, financial losses, high employee turnover, and business closures. Small foodservice businesses in India have been particularly hard-hit due to prolonged lockdowns and restrictions, which halted cash flow and increased debt.

Research Goals and Hypotheses: The study aims to understand the impact of the pandemic on family-operated small foodservice firms in India, focusing on the crises faced, adaptation and management strategies, barriers to recovery, and future outlook. It uses a qualitative research approach to provide insights into the crisis management processes of these firms and offers implications for both entrepreneurs and policymakers.

Methodological Approach: The study used a qualitative research design with interviews to gain in-depth insights into how operators of family-owned small foodservice businesses managed crises. Through convenience sampling and applying specific inclusion and exclusion criteria, the researchers collected the data from 13 participants. Thematic analysis was used to process the interview data, supported by NVivo software.

Results and Discoveries: The study results indicates that family-owned small foodservice firms in India, faced multiple challenges that threaten business survival and have long-term negative effects. Key issues include uncertainty about reopening, fixed costs, the threat of business takeover, and loss of goodwill. Unique to India is the risk of private lenders taking over businesses for unpaid debts. Family-owned firms adopted various strategies to cope, such as collaborating with food aggregators, embracing technology, offering takeaways and home deliveries, and even pawning family jewelry to repay debts. The study contributes valuable insights into crisis management for family-owned small foodservice businesses, with practical implications for entrepreneurs and policymakers.

Citation

Piramanayagam, S., Dixit, S.K. and Seal, P.P. (2022), "We are in survival mode: how family-owned small foodservice firms in India responded to the Covid-19 pandemic", Journal of Family Business Management, Vol. 12 No. 3, pp. 436-449. https://doi.org/10.1108/JFBM-10-2021-0130

Publication Date 2022

Publication Date

2022

Link to Full Text

Share

COinS