Adaptive Innovation and Business Resilience in Post-Pandemic MSMEs: Southeast Asia Comparative Study

Abstract

The COVID-19 pandemic caused unprecedented disruptions to Micro, Small, and Medium Enterprises (MSMEs) across Southeast Asia, prompting the urgent need for adaptive strategies to sustain business resilience. This study aims to investigate the impact of adaptive innovation on business resilience among MSMEs in Indonesia, Malaysia, Thailand, and the Philippines. A quantitative, correlational-comparative method was employed, using structured questionnaires distributed to MSME owners affected by the pandemic. Data were analyzed using multiple regression and ANOVA to explore the strength of relationships and regional differences. The results show that product innovation, digital adoption, and business model adjustments significantly enhance MSME resilience. Among the countries studied, Malaysia exhibited the highest levels of adaptive innovation and resilience. These findings confirm the essential role of adaptive innovation in post-crisis business sustainability. Future research should adopt a longitudinal approach and include sectoral comparisons to refine region-specific policy recommendations and strengthen long-term business continuity for MSMEs.