The impact of the absence of business strategy in dealing with crisis effectively

Abstract

Organizational structure and corporate governance are two interrelated strategies that improve companies’ performance and contribute to its growth, expansion, and stability. Mainly, after the COVID-19 widespread, companies in Lebanon, especially SMEs and startups fell short in meeting their requirements because they lacked sufficient organizational structure, planning, and contingency plan. Therefore, this thesis has identified the multi-factors of SMEs, organizational structure, corporate governance, and how Lebanese SMEs dealt with the situation during COVID-19. Accordingly, the thesis adopted a quantitative method testing three hypotheses testing strategic implementation, incorporation of corporate governance, and the adoption of sustainability efforts relying on the Pearson Correlation and Sig (2-tailed) correlation. Furthermore, it relied on the Linear Regression model to test the predictability level between variables. Lastly, it used the descriptive frequency of results to present all demographic data. All statistical analysis deduced qualitative results indicating that employing a robust organizational structure would improve SMEs performance. Notably, incorporating corporate governance and sustainability efforts will lead companies to reach effective corporate social responsibility. Mainly, all three stated hypotheses are accepted enabling maintained recommendations and implications.