CHALLENGES EXPERIENCED AND COPING MECHANISMS
OF EVERY SMALL BUSINESS OWNERS
DURING COVID-19 PANDEMIC
A Research Paper
Presented to the Faculty of Labangal National High School Senior
High School, General Santos City
In Partial Fulfilment of the Requirements in
Practical Research 2
Proponent:
Felixander H. Inopiquez
Zakiya S. Satol
Kyle Joy C. Santarin
April Joy Y. Pintor
Sophia Nicole F. Hallegado
Kent Joshua K. Colita
Janedy P. Castillo
Alnera Isabel A. Cordero
Generose Omongos
S.Y. 2022-2023
ii
APPROVAL SHEET
This Research Project entitled “THE CHALLENGES EXPERIENCED
AND COPING MECHANISMS OF EVERY SMALL BUSINESS OWNERS
DURING COVID-19 PANDEMIC “prepared and submitted by FELIXANDER
H. INOPIQUEZ, ZAKIYA S. SATOL, KYLE JOY C. SANTARIN, APRIL JOY Y
PINTOR, JANEDY P. CASTILLO, SOPHIA NICOLE HALLEGADO, KENT
JOSHUA K. COLITA, ALNERA ISABEL A. CORDERO, GENEROSE
OMONGOS, in partial fulfilment of the requirements for the Grade 12ACCOUNTANCY, BUSINESS AND MANAGEMENT (ABM) has been examined
and was recommended for acceptance and approval for ORAL EXAMINATION.
GENALYN O. CATEDRAL, MST
Research Adviser
PANEL OF EXAMINERS
Approved by the Committee on Oral Examination June 16, 2023
GENALYN O. CATEDRAL, MST
Member
MAR ANDRE KRIZTEL S. AUSAN, MAT
Member
JOVET S. ABULAG
Member
MA. EILEEN T. DARROCA, MAT
Chairman/Research Coordinator
Accepted and approved in partial fulfilment of the requirements in
research/capstone project.
_____________
SHERYL ROSE JOY LEYSA-YAMA
Date
SHS Coordinator
iii
ACKNOWLEDGEMENT
The accomplishment of this research could not be possible without the
assistance of those people who helped us. We would like to acknowledge and
give our warmest gratitude and genuine appreciation especially to the following:
Mrs. Genalyn O. Catedral our Practical Research II adviser for guiding and
directing the researchers on their journey towards completing this research. To
Mrs. Juliet B. Baluran our Adviser; to Mrs. Merry Hope Espinosa for being our
Grammarian; Ms. Mar Andre Kriztel S. Ausan and Sir Giovanne Revilla our
statistician.
To those people who have helped us, especially to our beloved parents
for the moral and financial supports, to our friends, classmates, and also our
group mates.
Above all, to our Almighty God, the source of our strength, knowledge,
wisdom, perseverance and unconditional love.
-
The Researchers
iv
ABSTRACT
In early 2020, the Philippine Government together with the Department
of Health (DOH) had implemented the Community Quarantine to prevent the
widespread of the COVID-19 virus in the country.This study focused on the
challenges experienced and coping mechanism of small business owners
during covid-19 pandemic in Labangal, General Santos City in terms of no. of
customers, sales, income, and its relationship. Correlational research design
was employed to conduct the study. Weighted mean was used to determine the
level of challenges experienced and level of coping mechanism of small
business owners during covid-19 pandemic and Pearson correlation was used
to determine the relationship between the challenges experienced and coping
mechanisms. Based on the results of the study, the small business owners
somewhat agree that they experienced challenges in terms of no. of customers,
sales, and income. Meanwhile, the results shows that the small business
owners moderately agree that they practiced these coping mechanisms during
covid-19 pandemic. Thus, the level of challenges experienced and coping
mechanisms is highly correlated. In accordance with the findings of the study,
the small business owners were able to cope up to the challenges they
experienced during the Covid-19 pandemic. The researchers recommended
that business owners must be wise and flexible in order for them to cope up to
the challenges they might face in the future.
v
TABLE OF CONTENTS
Page
Title Page………………………………………………………..……………………i
Approval Sheet………………………………………………………..……………..ii
Acknowledgement………………………………………………………..…………iii
Abstract…………………………..……………………………..……………………iv
Table of Contents……………………………………………………..…………v-viii
List of Tables
Table 1. Respondents of the Study………………………………………19
Table 2. Level of Challenges Experience of Every Small
Business Owners………………………………………………..………….21
Table 3. Level of Coping Mechanism of Every Small
Business Owners……………………….………………………….…….…21
Table 4.1 Level of Challenges Experienced of Small business Owners
During Covid-19 Pandemic in terms of No. of Customers…………..….24
Table 4.2 Level of Challenges Experienced of Small business Owners
During Covid-19 Pandemic in terms of Sales………………………....….25
Table 4.3 Level of Challenges Experienced of Small business Owners
During Covid-19 Pandemic in terms of income………………..…………27
vi
Table 5.1 Level of Coping Mechanism of Small Business Owners during
Covid-19 Pandemic in terms of No. of customers……………………......28
Table 5.2 Level of Coping Mechanism of Small Business Owners during
Covid-19 Pandemic in terms of Sales………………….……………..…..30
Table 5.3 Level of Coping Mechanism of Small Business Owners during
Covid-19 Pandemic in terms of income.................................................31
Table 6. Relationship between the Challenges Experienced and
Coping Mechanisms of Every Small Business Owners during COVID19 Pandemic………………………………………………..…………….....33
List of Figures
Figure 1. Conceptual Framework…………………………………………..3
Chapter
I.
THE PROBLEM AND ITS SETTINGS
Background of the Study…………………………………………….……1-2
Statement the of Problem.......................................................................2
Conceptual Framework……………………………..………………………3
Hypothesis…………….…………………………………………….….…….3
Scope and Delimitation……………………………….…………..….…......4
Significance of the Study........................................................................4
Definition of terms…………………………………………………………5-6
II.
REVIEW OF RELATED LITERATURE
Challenges Experienced……………………………………….……..…7-10
Coping Mechanisms……………………………………………………10-12
Income……………………………………………….. ………………….12-13
vii
Sales………………………………………………………………..……13-14
No. of customers………………………....……………………………..14-15
Related Studies………………………………………………………....15-17
III.
RESEARCH DESIGN AND METHODOLOGY
Research Design………………………….………………………..……….18
Research Locale …………………………….………………………….18-19
Respondents of the Study…………………………………………….…....19
Sampling Technique…………………………………………..….………...20
Research Instrument……………………………………………...…….21-22
Data Gathering Procedure……………………………....……….…….22-23
Statistical Treatment……………………………….….…….….……….….23
IV.
RESULTS AND DISCUSSIONS
Level of Experienced of Every Small Business Owners in terms of No.
Of Customers, Sales and Income………………………….………….24-27
Level of Coping Mechanisms of Every Small Business Owners in terms
of No. of Customers, Sales and Income………..................….…….28-32
Relationship between the Challenges Experienced and Coping
Mechanisms of Every Small Business Owners during Covid-19
pandemic…………………….………………………………………..……..33
V.
CONCLUSIONS AND RECOMMENDATIONS
Summary………………………………………………………………...34-35
Conclusions………………………………………………..………….…….35
Recommendations……………………...…………………………….…….36
REFERENCES……………...…………………………………….…….37-38
viii
APPENDICES
A. Letter of Request to Conduct the Study
B. Letter to the Respondents
C. Research Instruments
-Validity of Research Instrument
D. Result of Statistic Treatment
E. Certificate of statistician
F. Certificate of grammarian
G. Curriculum Vitae
H. Means of verification
Chapter I
THE PROBLEM AND ITS SETTING
Background of the Study
The novel coronavirus disease (COVID-19) is shaking the global
economy and is a pandemic that is massively disrupting life, livelihoods, social
and economic systems around the world. The virus is highly contagious and
spreads evenly to all parts of the world. COVID-19 is a massive public health
crisis, but it is much more than that. It is a systemic shock with serious short,
medium and long-term consequences (Fubah C.N, Moos M. 2022).
The virus has caused a severe short-term recession, shutting down many
businesses large and small, putting tens of millions of people out of work, and
other impacts on business operations. Small businesses around the world can
and should always play a key role in preventing new explosions of
unemployment, poverty and food insecurity.
According to Liguori E. W. (2022), small businesses have been severely
impacted by the instability caused by the emergence of COVID-19. The impact
of COVID-19 on micro, small and medium-sized businesses, the financial
impact of this pandemic will first get worse before it gets better for small
businesses and the people who work for them. This article presents useful and
effective ways to manage uncertainty and risk, especially pervasive in today’s
pandemic-ridden business environment, to mitigate negative impacts.
Researchers aimed to conduct this study to know the challenges
experienced and coping mechanism of every business owners. The intention of
the study was to determine the instruction of what attitude and experiences of
2
business owners and to learn something about their problem and their
challenges.
This study was conducted from January to March 2023 at Labangal,
General Santos City.
Statement of the Problem
This research paper aimed to determine the challenges experienced and
coping mechanisms of business owners during the Covid-19 pandemic in
Labangal, General Santos City.
1. What is the level of challenges experienced by the business owners
during the COVID-19 pandemic in terms of:
1.1 Number of customers;
1.2 Sales; and
1.3 Income.
2. What is the level of coping mechanisms of business owners on the Covid-
19 pandemic in terms of:
2.1 Number of customers;
2.2 Sales; and
2.3 Income.
3. Is there a significant relationship between the challenges experienced
and coping mechanisms of business owners in Labangal, General
Santos City?
3
Hypothesis
Hₒ: There is no significant relationship between the challenges experienced
and coping mechanisms of business owners during Covid-19 pandemic in
Barangay Labangal, General Santos City.
Conceptual framework
The figure below shows the variables in the study; the independent and
dependent variables.
Independent Variable
Challenges
Experienced of small
business owners
1. Number of
customers
2. Sales
3. Income
Dependent Variable
Coping Mechanisms
1. Number of
customers
2. Sales
3. Income
Figure 1: Conceptual framework
The figure above presented the conceptual framework for the study. It
consists of two variables, challenges experienced of small business owner as
an independent variable and coping mechanisms as the dependent variable.
In figure, challenges experienced as independent variable pertains to the
challenges experienced of small business owners during Covid-19 pandemic
and its impact to the small business owners in terms of (1) number of customers
(2) sales and (3) income.
4
Significance of the Study
The findings of the study would be beneficial to the following:
Department of Trade and Industry. It would give awareness and information
about the challenges experienced and coping mechanisms of every small
business owners during Covid-19 pandemic in the Philippines.
Small business owners. It would help the small business owners broaden their
knowledge about the benefits of the study and how the challenges experienced
and coping mechanisms identify. It will be beneficial to them in thinking
innovative ways on adjusting.
Future researchers. The whole journey of this study would serve as challenge
to endeavour and persevere. Another milestone to conquer but will serve as
inspiration among them to learn.
Scope and Delimitation
The researchers aimed to determine the challenges experienced and
coping mechanisms of business owners during the COVID-19 pandemic in
Labangal, General Santos City. This study determined the challenges
experienced by the business owners during COVID-19 pandemic in terms of
number of customers, sales and income. Consequently, the coping
mechanisms of business owners on COVID-19 pandemic in terms of number of
customers, sales and income. The respondents of the study are the small
business owners in 10 selected puroks of Barangay Labangal with the total of
(130) respondents. The researchers divided the 130 to 10 with 13 respondents
each purok. The researchers distributed a questionnaire.
5
Definition of terms
The following terms are conceptually and operationally defined as
follow.
Business owners. Conceptually defined as one person who is in control of the
operational and monetary aspects of a business and operationally defined as
the individuals who are affected by the problem of the study as well as
respondents of this study.
Challenges. Conceptually defined as something new and difficult which
requires great effort and determination, and operationally defined as
circumstances encountered by the respondents of the study.
Coping mechanism. Conceptually defined as any conscious or non-conscious
adjustment or adaption that decreases tension and anxiety in a stressful
experience or situation and operationally defined as the dependent variable of
the study.
COVID-19. Conceptually defined as a highly contagious respiratory disease
caused by the SARS-CoV-2 virus and operationally defined as the origin of the
problem of the study.
Customers. Conceptually defined as an individual that purchases another
company’s goods or services and operationally defined as one of the subvariables of the study.
Experiences. Conceptually defined as the fact or state of having been affected
by or gained knowledge through direct observation or participation and
operationally defined as a state encountered by the respondents of the study.
Income. Conceptually defined as the revenue of the small business owners
and operationally defined as one of the sub-variables of the study.
6
Pandemic. Conceptually defined as a widespread occurrence of an infectious
disease over a whole country or the world at a particular time and operationally
defined as the period when problem of the study occurred.
Sales. Conceptually defined as a transaction that includes an exchange of
services or goods for a certain amount of money and operationally defined as a
sub-variable of the study.
Small business. Conceptually defined as typically privately owned and
operated and have a single or a small group of owners and operationally defined
as the place to take the study.
Chapter II
REVIEW OF RELATED LITERATURE
This chapter is all about the conducted literatures and studies that are
related to this study. To the state of information and deals with the concepts and
facts which gave this study more on information, more understanding, and
clearer insight of what this study all about.
Challenges experienced
According to Syriopoulos, K. (2020), the role of small and medium-sized
enterprises (SMEs) and their contribution to the real economy is well recognized
and widely reported in the international literature. Today, as Covid19 transitions
from a public health pandemic to an economic crisis in , it would be of great
interest to business owners, employees, managers and policymakers to identify
and forecast key trends during and after Covid-19, such as the SMEs around
the world will react and know where we can put our energy. As mentioned by
Galankis,C.M., et al (2021), the COVID-19 pandemic has resulted in a global
lockdown that has abruptly shut down major businesses and caused a global
recession. With COVID-19 shutting down several core services (e.g. aviation,
hospitality, supply chains and export-import markets), there is a large gap in
critical information to make prioritized decisions for businesses where this
uncertainty is likely to be negatively impacted out during recovery.
According to Liguori E. W. (2022), small businesses have been severely
impacted by the instability caused by the emergence of COVID-19. The impact
of COVID-19 on micro, small and medium-sized businesses, the financial
8
impact of this pandemic will first get worse before it gets better for small
businesses and the people who work for them. This article presents useful and
effective ways to manage uncertainty and risk, especially pervasive in today’s
pandemic-ridden business environment, to mitigate negative impacts.
According to Alessa, A.A. et al (2021), COVID-19 has brought the world
severe loss of life and impacts that have no geographical boundaries or
expected time for the impacts to subside. It has hit countries all over the world,
disrupting economic levels and business across all industries while disrupting
people’s daily lives. Findings show that the pandemic negatively impacted
productivity and corporate income, forcing many businesses to physically close
permanently. As mentioned by Otache I. (2020), the result of small business
owners to the pandemic may differ from country to country. According to the
review, the effects of the Covid-19 pandemic in Nigeria include job losses, a
decrease in customer numbers, and a sharp drop in income for informal workers
and small businesses, as well as a steep decline in oil revenues and economic
uncertainty. This paper has suggested some measures that Nigerians and the
Nigerian government should take to deal with the devastating effects of the
Covid-19 pandemic.
According to Fleming, R. S. (2021), over the past year, the COVID-19
pandemic has dramatically changed the world we live, work and travel. This
article discusses how small businesses can improve their resilience to serve
existing customers and, ideally, attract new customers during these challenging
times. Discuss the experiences of small businesses and the lessons learned
during the COVID-19 pandemic to prepare them to navigate future crises
successfully. Proactive crisis management enables SMEs to anticipate and
9
prepare for crises, prevent or minimize the impact of crises and manage crises
with determination, and recover gracefully from crises. Examine the role of
proactive crisis management and customer engagement before, during and
after a crisis in terms of building organizational resilience. The continued ability
of SMEs to survive the crisis, ideally exceed existing customer expectations and
find innovative ways to serve both existing and new customers will be explored.
According to Liu J., et al (2020), the outbreak of coronavirus disease
(COVID-19) has severely affected the global and Pakistani economy. Major
victims of the COVID-19 outbreak are micro, small, and medium-sized
enterprises (MSMEs). This article aims to assess the impact of COVID-19
outbreak on these businesses and provide policy recommendations to help
MSMEs in reducing business losses and survive through the crisis.
According to Bohn, S., et al. (2020), COVID-19 caused a mass shutdown
of businesses in the second quarter of 2020. We provide the first analysis of lost
sales in the corporate world in California using administrative data from the
California Department of Taxes and Fees. Taxable sales losses average 17%
in Q2 2020 compared to in Q2 2019, although sales typically grow 3-4% yearon-year. We found that income losses were higher for businesses affected by
forced closures, e.g. For example, in accommodation, which lost 91% while
online sales increased by 180%.By placing business types into different
categories based on whether they were deemed essential or nonessential (and
therefore closed early) and whether they had moderate or high levels of
personal contact, we found correlations between lost sales and COVID-19
cases per capita in California counties.
10
According to Abdu Rahim, N., et al, (2021), the COVID-19 pandemic is a
global crisis that has had a devastating economic impact on businesses, owing
to many countries enacting measures such as the Movement Control Order
(MCO) to combat the disease’s spread. The study results as small business
owners bear the brunt of the impact because they are unable to operate their
businesses, which have relatively small income margins and resources.
According to Rashid S., Ratten V., (2021), the world is going through a
global crisis after the outbreak of coronavirus (COVID-19) in most areas of the
world. Businesses particularly small ones do not work in isolation but instead
are embedded in an entrepreneurial ecosystem that is dependent on
environmental conditions. The disruptive changes from COVID-19 have caused
serious damage to the global economy, so it is up to entrepreneurs to bring
equilibrium by introducing change. This paper adopts the lens of dynamic
capabilities to study how small business entrepreneurs are trying to survive and
grow in an entrepreneurial ecosystem affected by coronavirus.
Coping mechanisms
According to Gregurec, I. et al (2021), small and medium-sized
enterprises (SMEs) are changing their business models to adapt to this
changing environment. This study examines how SMEs operating in service
industries coped with the disruptions caused by the COVID-19 pandemic. These
ideas about SMEs will then be examined for their influence on the redefinition
of sustainable business models in SMEs. As mentioned by Clavis N. F.,
Menisha M., (2022), COVID-19 has caused significant damage globally,
including business closures and changes in how entrepreneurial activities are
11
carried out. The pandemic has resulted in a slew of publications, the vast
majority of which are editorials, commentaries, and concept notes. This implies
that there is a scarcity of empirical evidence on the pandemic. According to the
findings, the SME COVID-19 challenges included lockdown restrictions, no. of
customers, a lack of government support, and raw material scarcity. The small
medium enterprises (SMEs’) coping mechanisms included a positive
entrepreneurial mindset, followed by reduced service prices and employee
layoffs.
According to Hennessy D., (2021), due to the novel coronavirus, China
imposed a massive home quarantine at the end of 2019.Further investigation
revealed that participants’ mental states were either positive or negative
depending on their enjoyment of life, loss, emotional disturbance, and hope, and
that these were influenced by intervening conditions, personal strategies, and
personal consequences. It was discovered that mental states were variable,
with positive outcomes occurring earlier in the quarantine (making connections
with family), negative states occurring midway through the quarantine (fear of
financial loss, anxiety), and more positive mental states (hope) emerging
towards the end of the quarantine depending on intervening conditions,
personal strategies, and consequences. It is possible to conclude that the nature
of the impact of mandatory quarantine in China on small business owners and
self-employed people is complex and depends on a variety of personal and
situational factors.
Engidaw A. E., (2022), during this horrific coronavirus, small business
owners need to manage expectations and communicate with employees,
suppliers, banks and customers. Reduce expenses, be open with your
12
employees about your finances and keep up the marketing, use different
alternatives to deliver your product and recover from the crisis.
According to Fzlinda N. (2020), in Malaysia, entrepreneurs experience
business cancellation or closure and reduced income due to the closure of
several supporting sectors such as retails and transportation. It is crucial to
explore how micro-entrepreneurs experience crisis and what decision they
make for business survival. This study represents the perspectives of two microentrepreneurs in the rural area of Sabah, about their business continuity
strategy during movement control order. The results of unstructured phone
interviews provide insights on business survival approach and recovery plan of
micro-enterprises during and after a crisis. This study will hopefully contribute
towards the creation of effective support mechanisms through associated
entrepreneurial development organizations for micro-entrepreneurs to thrive
during and after a crisis.
According to Alves, J.C.,et al (2020), although we are aware of how
vulnerable small firms are to crises, little is still known about how they handle
prolonged crises like the COVID-19 pandemic. Interview information was
gathered from six small local businesses. We discovered that small businesses
are most negatively impacted by a sudden drop in demand. New startups and
small businesses respond to the crisis more adaptably than large corporations
do. Some popular survival tactics include expanding product diversity,
discovering new markets, and learning more. Additionally, several small
businesses have official crisis plans, as we discovered.
13
Income
A study by the National Economic Research Service found that small
business owners have suffered significant income losses due to the COVID-19
pandemic. According to the study, average small business sales fell by 31%
between January and March 2020, and by 52% during the same period between
2019 and 2020. Small business owners face challenges such as declining
demand and declining supply. It found that small business owners saw their
monthly income drop by an average of 27% during the pandemic. The study
also highlights that the longer a business remains closed or has its capacity cut,
the greater the loss of income for its owners (Bartik et al., 2020).
Another survey by the National Federation of Independent Business
(NFIB) asked small business owners about their experiences during the
pandemic. The survey found that 92% of small business owners have been
negatively impacted by the pandemic, citing loss of income as their top concern.
The study also found that the most common coping strategies used by small
business owners were cost cutting, such as reducing employee hours and
reducing inventory (NFIB, 2020).
Sales
According to a survey conducted by the National Small Business
Association (NSBA), 92% of small businesses reported negative effects as a
result of the COVID-19 pandemic, with 62% experiencing a decrease in sales.
The study also found that 34% of small businesses had to lay off employees
due to the decrease in revenue, and 53% were concerned about the long-term
economic the COVID-19 pandemic, with 30% reporting that decreases in sales
14
or revenue were the most significant challenge they faced. To cope with these
challenges, businesses have implemented measures such as shifting to online
sales, and focusing on marketing and advertising efforts to reach new
customers. (NSBA, 2020).
A study by the US Chamber of Commerce found that 67% of small
businesses reported decreased sales as a result of the pandemic, with 58%
anticipating a significant impact on their revenue going forward. To combat
these challenges, businesses have turned to strategies such as pivoting to new
products or services, implementing cost-cutting measures, and applying for
government relief programs. (US Chamber of Commerce, 2020).
A survey conducted by the National Federation of Independent Business
(NFIB) revealed that 76% of small businesses reported a reduction in sales due
to the pandemic, with 52% experiencing a decline of at least 50% in the first
quarter of 2020. To address these challenges, businesses have resorted to
measures such as offering discounts or promotions, diversifying their revenue
streams, and negotiating with suppliers and landlords for flexibility in payment
terms. (NFIB, 2020).
No. of Customers
According to Federal Reserve Bank of New York found that one of the
key challenges small business owners faced during the pandemic was a
decrease in the number of customers. The survey found that over 70% of small
businesses reported Pennsylvania" by the National Bureau of Economic
Research found that small businesses saw a significant reduction in the number
of customers due to the pandemic. The study found that "in March and April,
15
small businesses across the country saw a 40% reduction in revenue compared
to January and February" (Bartik et al., 2020, p.1).
A study by the International Journal of Hospitality Management titled "The
Effect of COVID-19 on the Restaurant Industry: Challenges and Opportunities"
found that small restaurant owners faced significant challenges in terms of
customer demand due to COVID-19. The study found that "many restaurants
had to switch to a take-out and delivery format to stay in business, leading to a
reduction in the number of customers" (Paraskevas et al., 2020, p.1).
A report by the Small Business Administration titled "COVID-19’s Impact
on Small Business Owners: Measuring the Effects of the Pandemic" found that
almost 75% of small businesses reported a decrease in customer demand
during the pandemic. The report highlights coping mechanisms used by small
business owners such as "implementing safety measures to reassure
customers and increase their confidence in visiting the business" (Small
Business Administration, 2020, p.3).
The shortage of goods, raw materials, and labor has resulted in price
increases for certain products. As with any econometric model, predicting future
prices is challenging particularly when supply chain disruptions are widespread
and continually evolving. (Gereffi & Lee, 2020).
Review of Related Studies
Parilla, E. (2021), the study investigates the effects of the COVID-19
pandemic on Ilocos businesses and establishments. The study respondents
were the owners of micro, small and medium businesses in Ilocos Norte, and
16
they were selected using a convenience sampling technique. The study used a
quantitative research design, and the entrepreneurs were asked about the
discern impact of Covid-19. Using descriptive statistics, the findings revealed
that the impact of the Covid-19 pandemic on the businesses ranged from
decrease of employees, disruption in the supply chain, and temporary to
permanent shutdown. The impact of the pandemic includes uncertainties, the
decline in productivity, demand, and sales.
Based on Durst, S., et al. (2021), crises of any type have become an
integral part of business activity and responses to them could make the
difference between survival and failure. This applies in particular to small and
medium-sized enterprises (SMEs). Based on that a conceptual framework is
proposed which highlights the practice of SMEs trying to deal with a new type
of crisis. The findings demonstrate how the Peruvian firms studied to adapt to
the new situation and initiate responses to increasing the chance of survival.
Furthermore, the role of the companies’ decision-makers, as well as the role of
crisis management and other related approaches in the companies are shown.
Adapted from Fubah et al., (2022), globally, COVID-19 has caused
significant damage, including business closures and changes in the way
business is conducted. The purpose of this document was therefore to examine
the challenges of COVID-19 and coping mechanisms for small and mediumsized enterprises (SMEs) in the South African business ecosystem. Data for the
study were collected from 15 SME owners through semi-structured interviews
using a generic qualitative research method. Findings showed that COVID-19
challenges for SMEs included lockdown restrictions, customer losses, lack of
government support and scarcity of raw materials. The coping mechanisms
17
employed by SMEs were positive business attitudes, followed by lower prices
for services and fewer employees.
According to Fairlie R. (2020), the impact of the coronavirus pandemic
on small businesses around the world is likely to be severe. This paper creates
estimates of the number of business owners from monthly Current Population
Survey micro data files. Using these timely data, I examine how COVID‐ 19
impacted small business owners in mid-April 2020. The number of working
business owners plummeted from 15.0 million in February 2020 to 11.7 million
in April 2020 because of COVID‐ 19 mandates and health and economic shifts.
African Americans experienced the largest losses, eliminating 41% of active
business owners. Immigrant business owners suffered a large drop of 36% in
business activity.
According to Engidaw A. E. (2022), this study mainly aimed to show the
challenges faced by small businesses during the coronavirus pandemic in
developing countries, especially in Ethiopia. The result of the secondary data
analysis shows that many small and large businesses are suffering from
challenges and this unprecedented coronavirus crisis has caused the
destruction of many businesses in the world and it is challenging, with reduced
income, lost jobs and the slowdown in life difficult to survive and poor marketing
performance even hard to keep a calm head and keep your business afloat. In
order to support these companies, the government has to use various
mechanisms through cooperation with rich people and other non-governmental
organizations.
18
According to Kalogiannidis S. (2020), the sudden attack of COVID-19
has affected human lives and economies to a great extent. The lockdown and
restrictions taken as measures by the government to stop the spread of the
coronavirus are responsible to shut down many small businesses permanently.
In this paper, we got an idea of how the pandemic has affected small
businesses. The world witnessed the largest fall in the number of active
businesses. The supply chain got affected due to this and as a result, this
affected global trade. Research shows that the impact of the pandemic on the
small business and employees have changed the overall business policies
facing economic imbalance.
Chapter III
RESEARCH DESIGN AND METHODOLOGY
This chapter discusses the research design of the study. It presents the
discussion of the data gathering, procedures, statistical treatment, selecting
respondents, and distribution of the questionnaires.
Research Design
The correlation method of design was used in this study since the
researchers want to explore the challenges experienced and the coping
mechanisms of business owners during COVID-19 pandemic in Labangal,
General Santos City. This design used to establish the relationship between the
challenges experienced and the coping mechanisms of business owners on
COVID-19 pandemic. Curtis et.al, published a comprehensive article focusing
on evidence based practice in health care, stressing the importance and use of
correlation research design. Coyle summarized that correlational research can
uncover variables that are interacting and the type of interaction that is
occurring, which allows the research to make predictions based on the
discovered relationships. (Seeram, E. 2019).
Research Locale
This study was conducted at Barangay Labangal which is located on
Sarangani Bay. It was part of the Municipality of Buayan now known as General
Santos City, Barangay Labangal was constitutionally contrive by virtue of
Commonwealth Act no. 4413 dated February 27,1939 an act creating a
20
government corporation known as the National Land Settlers Administration
(NLSA) and was approved by the late Pres. Manuel L. Quezon at the same date
Labangal derived its name from a tree known to the Blaan as “Labngal”, this
tree is commonly grown in the area arid utilized by the natives as well as bakery
owners as firewood. Barangay Labangal is compose of 37 puroks however, the
researchers distributed questionnaires to (130) sample size respondents to (10)
Puroks which are Purok Matinabangon, Purok Magsaysay, Purok Saway, Purok
Acharon, Bulaong Village, Purok Maguindanao, Purok Malok, Purok Kulasi,
Doña Soledad and Purok San Roque.
Respondents of the Study
The respondents of this study were the small business owners in
Barangay Labangal, General Santos City. Specifically, Barangay Labangal
which are Purok Matinabangon, Purok Magsaysay, Purok Saway, Purok
Acharon, Bulaong Village, Purok Maguindanao, Purok Malok, Purok Kulasi,
Purok San Roque, Doña Soledad will have (13) respondents each purok.
Sampling Technique
The respondents of the study are selected using a simple random
sampling technique, we used formula for sample calculation.
Slovin’s Formula:
Where: n= is the sample size
N= is the population size
E= is the desired margin of error.
21
With the population size of (193) registered owners in Barangay Labangal, so
we come up with the (130) sample size respondents and choosing the (130)
respondents we used the color wheel techniques from Google to identify our
respondents with in the (193) registered business owners.
Sample Calculation:
𝑛=
𝑛=
𝑛=
𝑁
1 + 𝑁𝑒 2
193
1 + 193(0.05)2
193
1 + 193(0.0025)
𝑛=
193
1.4825
𝑛 = 130
Research Instrument
The data gathered of this study was gathered through the use of
questionnaires. In which the questionnaires was classified into two parts. (1)
The challenges experienced by business owners during COVID-19 pandemic in
terms of No. of customers, income, sales. (2) The coping mechanisms of
business owners on COVID-19 pandemic in terms of No. of customers, income,
sales.
22
Table 1. Level of Challenges Experience of Every Small Business Owners
Interpretation of
Scale
Range
Description
5
4.20-5.00
Much Agree
4
3.40-4.19
Agree
3
2.60-3.39
Moderately
Agree
2
1
1.80-2.59
1.00-1.79
Somewhat Agree
Disagree
the scale
Experienced all
the
time
Experienced most
of the time
Experienced
sometimes
A bit Experienced
Not at all
Experienced
Table 2. Level of Coping Mechanism of Every Small Business Owners
Interpretation of
Scale
Range
Description
5
4.20-5.00
Much Agree
4
3.40-4.19
Agree
3
2.60-3.39
2
1
1.80-2.59
1.00-1.79
Moderately
Agree
Somewhat Agree
Disagree
the scale
Practiced all the
time
Practiced most of
the time
Experienced
sometimes
A bit Practiced
Not at all Practiced
This research instrument are crucial components in ensuring the
accuracy and effectiveness of this research projects. As such we made certain
that our instruments went through a rigorous validation process which included
having four validators Ms. Marry Grace F. Cejas, Ms. Mar Andre Kriztel S.
Ausan, Mr. Jovet S. Abulag and Mr. Engr Giovanne Revilla. These validators
were chosen based on their expertise in the field of study and their familiarity
23
with the research objectives. We provided the validators with clear guidelines
and instructions on how to evaluate the instruments which covered the clarity
and comprehensiveness of questions appropriateness of response option and
overall coherence and logic of the instrument. The feedback provided by the
validators enabled us to refine and improve the instruments ensuring that they
were able to ensure that our research instruments were reliable tools for
collecting accurate and meaningful data.
Data Gathering Procedure
The following are the steps used by the researchers in gathering the data.
1. Permission to conduct the study. Letter of permission to conduct the study.
A letter granting authorization will be forwarded to the principal’s office.
2. Administration of the questionnaires. The researchers personally
administered the questionnaires to the respondents of the study. The
researchers discussed what the study all about and properly distributed the
questionnaires. The respondents were given time to answer the questions
honestly and accurately.
3. Retrieval
of
the
questionnaires.
The
researchers
retrieved
the
questionnaires from the respondents. This served as the basis for the
interferences that the researcher identified during the study.
4. Analysis and interpretation. After the questionnaires are completed, data
was statistically processed to provide an answer to the query posed in the
statement of the problem. The statistical findings served as the foundation for
the researcher’s analysis of the data. Interpretation of and implications on the
statistical findings of the study was made.
24
5. Moreover, the data on the correlation of the level of challenges experienced
and coping mechanisms of small business owners in Barangay Labangal
served as the bases of analysis and interpretation.
Statistical Treatment
Weighted Mean was used to determine the level of challenges
experienced and coping mechanisms of every small business owners during
covid-19 pandemic. Pearson Correlation was to determine the relationship
between challenges experienced and coping mechanisms of every small
business owners during covid-19 pandemic.
If rxy ranges,
From 0 to ± 0.21 negligible or no relationship
From ± 0.22 to ± 0.40 lower or slightly correlated
From ± 0.41 to ± 0.70 marked or moderately
From ± 0.71 to ± 0.90 highly correlated
From ± 0.91 to ± 0.99 very high correlated
From ± 1 perfect correlation
Chapter IV
RESULTS AND DISCUSSIONS
This chapter presented the data presentation, analysis and
Interpretation of data gathered by the researchers.
Table 3.1 Level of Challenges Experienced of Small business Owners
during Covid-19 Pandemic in terms of No. of Customers
Indicators
1.
Encountered
customers with bad
attitude.
2.
Increasing of price
due to limited supply
of a specific product.
3.
Limited number of
customers as a result
of health infections.
4.
Limited number of
customers due to age
restrictions.
5.
Limited number of
customers due to product
unavailability during COVID19 pandemic
OVERALL WEIGHTED
MEAN
Weighted
Mean
3.36
Description
Interpretation
Moderately
Agree
Experienced
sometimes
2.24
Somewhat
Agree
A bit
experienced
2.68
Moderately
Agree
Experienced
sometimes
2.39
Somewhat
Agree
A bit
experienced
2.7
Moderately
Agree
Experienced
sometimes
2.674
Moderately
Agree
Experienced
sometimes
The table above presented the results of the level of challenges
experienced of every small business owners during covid-19 pandemic in
Barangay Labangal, General Santos City in terms of numbers of customers.
Based from the highest to lowest means scores, the indicator encountered
customers with bad attitude garnered the highest mean score of 3.36 labelled
as Moderately Agree, which means that the small business owners moderately
agree in challenges experienced when it comes to customers with bad attitude.
26
On the other hand, the indicator encountered increasing of price due to limited
supply of a specific product which has the lowest mean score of 2.24 labelled
as Somewhat Agree, with an overall mean of 2.674 described as Moderately
Agree. This means that the small business owners moderately agree that they
bit experienced these challenges during covid-19 pandemic. This implies that
every small business owners encountered increasing of price due to limited
supply of a specific product.
The shortage of goods, raw materials, and labour has resulted in price
increases for certain products. As with any econometric model, predicting future
prices is challenging particularly when supply chain disruptions are widespread
and continually evolving. (Gereffi & Lee, 2020).
Table 3.2 Level of Challenges Experienced of Small business Owners
during Covid-19 Pandemic in terms of Sales
Indicators
1. Shortage of supply
during COVID-19
pandemic
2. Experienced
decreasing of sales by
cause of competitors.
3. Decreasing of sales
due to high price cause
by limited supply.
4. Experienced poor
working condition due to
stress during COVID-19
pandemic.
5. Experienced
misalignment of
marketing and sales.
OVERALL WEIGHTED
MEAN
Weighted
Mean
2.6
Description
Interpretation
Moderately
Agree
Experienced
sometimes
2.36
Somewhat
Agree
A bit
experienced
2.64
Moderately
Agree
Experienced
sometimes
2.39
Somewhat
Agree
A bit
experienced
2.63
Moderately
Agree
Experienced
sometimes
2.524
Somewhat
Agree
A bit
experienced
27
The table above presented the results of the level of challenges
experienced of every small business owners during covid-19 pandemic in
Barangay Labangal, General Santos City in terms of sales. Based from the
highest to lowest means scores, the indicator encountered decreasing of sales
due to the high price cause by limited supply garnered the highest mean score
of 2.64 labelled as Moderately Agree, which means that the small business
owners moderately agree in challenges experienced when it comes to
decreasing of sales due to high price cause by limited supply. On the other
hand, the indicator experienced decreasing of sales by cause of competitors
which has the lowest mean score of 2.36 labelled as Somewhat Agree, with
an overall mean of 2.524 described as Somewhat Agree. This means that the
small business owners somewhat agree on the challenges experienced in terms
of sales during covid-19 pandemic. This implies that every small business
owners
experienced
decreasing
of
sales by cause
of
competitors.
A survey conducted by the National Federation of Independent Business
(NFIB) revealed that 76% of small businesses reported a reduction in sales due
to the pandemic, with 52% experiencing a decline of at least 50% in the first
quarter of 2020.(NFVI, 2020).
28
Table 3.3 Level of Challenges Experienced of Small business Owners
during Covid-19 Pandemic in terms of Income
Indicators
1. Limited or inconsistent
cash flow.
2. No preparation for
unforeseen expenses.
3. Poor financial
management during
COVID-19 pandemic.
4. Mistakes on pricing of
products.
5. Experienced losses
resulting from business
operations.
OVERALL WEIGHTED
MEAN
Weighted
Mean
2.6
2.1
2.74
2.41
2.68
2.506
Description
Interpretation
Moderately
Agree
Somewhat
Agree
Moderately
Agree
Experienced
sometimes
A bit
experienced
Experienced
sometimes
Somewhat
Agree
Moderately
Agree
A bit
experienced
Experienced
sometimes
Somewhat
Agree
A bit
experienced
The table above presented the results of the level of challenges experienced
of every small business owners during covid-19 pandemic in Barangay
Labangal, General Santos City in terms of income. Based from the highest to
lowest means scores, the indicator encountered poor financial management
during COVID-19 pandemic garnered the highest mean score of 2.74 labelled
as Moderately Agree, which means that the small business owners somewhat
agree in challenges experienced when it comes to poor financial management
during COVID-19 pandemic during COVID-19 pandemic. On the other hand,
the indicator experienced no preparation for unforeseen expenses which has
the lowest mean score of 2.1 labelled as Somewhat Agree, with an overall
mean of 2.506 described as Somewhat Agree. This means that the small
business owners somewhat agree during covid-19 pandemic. This implies that
every small business owners experienced no preparation for unforeseen
29
expenses so the small business owners somewhat agree of challenges when it
comes to no preparation for unforeseen expenses.
It found that small business owners saw their monthly income drop by an
average of 27% during the pandemic. The study also highlights that the longer
a business remains closed or has its capacity cut, the greater the loss of income
for its owners (Bartik et al., 2020).
Table 4.1 Level of Coping Mechanism of Small Business Owners during
Covid-19 Pandemic in terms of No. of customers
Indicators
1. Giving discounts to
loyal customers
2. Allowing minors to
enter the store as long
as the protocol is
followed.
3. Building trust with
customers or knowing
your customers.
4. Practicing good
communication skills
in interacting with
customers.
5. Implementing a
customer feedback
loop.
OVERALL WEIGHTED
MEAN
Weighted
Mean
2.52
Description
Interpretation
Somewhat
Agree
Somewhat
Agree
A bit
experienced
A bit
experienced
2.73
Moderately
Agree
Experienced
sometimes
2.53
Somewhat
Agree
A bit
experienced
2.74
Moderately
Agree
Experienced
sometimes
2.578
Somewhat
Agree
A bit
experienced
2.37
The table above presented the results of the level of coping
mechanisms of every small business owners during covid-19 pandemic in
Barangay Labangal, General Santos City in terms of No. of customers. Based
from the highest to lowest means scores, the indicator implementing a customer
feedback loop garnered the highest mean score of 2.74 labelled as Moderately
30
Agree, which means that the small business owners moderately agree in
coping mechanisms when it comes to implementing a customer feedback loop.
On the other hand, the indicator experienced allowing minors to enter the store
as long as the protocol is followed which has the lowest mean score of 2.37 has
labelled as Somewhat Agree, with an overall mean of 2.578 described as
Somewhat Agree. This means that the small business owners somewhat
agree during covid-19 pandemic. This implies that every small business owners
experienced allowing minors to enter the store as long as the protocol is
followed so the small business owners somewhat agree of challenges when it
comes to allowing minors to enter the store as long as the protocol is followed.
Measuring the Effects of the Pandemic" found that almost 75% of small
businesses reported a decrease in customer demand during the pandemic. The
report highlights coping mechanisms used by small business owners such as
"implementing safety measures to reassure customers and increase their
confidence in visiting the business" (Small Business Administration, 2020, p.3).
31
Table 4.2 Level of Coping Mechanism of Small Business Owners during
Covid-19 Pandemic in terms of Sales
Indicators
1. Lowering the cost of
products during
COVID-19 pandemic.
2. Seamless access to
products for customers
by providing delivery
service.
3. Searching more
suppliers to prevent
shortage of supplies.
4. First-in First-out method
of selling
products/using of
supplies.
5. Giving a discount on
products that are
about to expire.
OVERALL WEIGHTED
MEAN
Weighted
Mean
2.76
Description
Interpretation
Moderately
Agree
Experienced
sometimes
2.42
Somewhat
Agree
A bit
experienced
2.08
Somewhat
Agree
A bit
experienced
2.57
Somewhat
Disagree
A bit
experienced
2.69
Moderately
Agree
Experienced
sometimes
2.504
Somewhat
Agree
A bit
experienced
The table above presented the results of the level of coping
mechanisms of every small business owners during covid-19 pandemic in
Barangay Labangal, General Santos City in terms of sales. Based from the
highest to lowest means scores, the indicator experienced lowering the cost of
products during COVID-19 pandemic garnered the highest mean score of 2.76
labelled as Moderately Agree, which means that the small business owners
moderately agree in coping mechanisms when it comes to lowering the cost of
products during COVID-19 pandemic. On the other hand, the indicator
experienced searching more suppliers to prevent shortage of supplies which
has the lowest mean score of 2.08 labelled as Somewhat Agree, with an overall
mean of 2.504 described as Somewhat Agree. This means that the small
business owners somewhat agree during covid-19 pandemic. This implies that
32
every small business owners experienced searching more suppliers to prevent
shortage of supplies so the small business owners somewhat agree of
challenges when it comes to searching more suppliers to prevent shortage of
supplies.
To address these challenges, businesses have resorted to measures
such as offering discounts or promotions, diversifying their revenue streams,
and negotiating with suppliers and landlords for flexibility in payment terms.
(NFIB, 2020).
Table 4.3 Level of Coping Mechanism of Small Business Owners during
Covid-19 Pandemic in terms of Income
Indicators
1. Lowering expenses by
purchasing what is only
required in the business.
2. Daily checking of income
status of the business or
service.
3. Monitoring daily expenses to
manage income stability.
4. Making a list of selling
price of products to
prevent mistakes.
5. Using social media
platform as a way to
gain build up customers
through online selling of
products.
OVERALL WEIGHTED MEAN
Weighted
Mean
3.31
Description
Interpretation
Moderately
Agree
Experienced
sometimes
2.58
Somewhat
Agree
A bit
experienced
2.78
Moderately
Agree
Moderately
Agree
Experienced
sometimes
Experienced
sometimes
2.95
Moderately
Agree
Experienced
sometimes
2.854
Moderately
Agree
Experienced
sometimes
2.65
The table above presented the results of the level of coping mechanisms
of every small business owners during covid-19 pandemic in Barangay
33
Labangal, General Santos City in terms of income. Based from the highest to
lowest means scores, the indicator experienced lowering expenses by
purchasing what is only required in the business garnered the highest mean
score of 3.31 labelled as Moderately Agree, which means that the small
business owners moderately agree in coping mechanisms when it comes to
lowering expenses by purchasing what is only required in the business. On the
other hand, the indicator experienced daily checking of income status of the
business or service which has the lowest mean score of 2.58 labelled as
Somewhat agree, with an overall mean of 2.854 described as Moderately
Agree. This means that the small business owners moderately agree during
covid-19 pandemic. This implies that every small business owners experienced
daily checking of income status of the business or service so the small business
owners somewhat agree of challenges when it comes to daily checking of
income status of the business or service.
The survey found that 92% of small business owners have been
negatively impacted by the pandemic, citing loss of income as their top concern.
The study also found that the most common coping strategies used by small
business owners were cost cutting, such as reducing employee hours and
reducing inventory (NFIB, 2020).
34
Table 5. Relationship between the Challenges Experienced and Coping
Mechanisms of Every Small Business Owners during COVID-19
Pandemic.
Item Me
Correlat an
ed
Compu Descript
ted rxy ion
Level of
challeng 2.54
es
0.8053
experien
ced
Level of
2.64
coping
mechani
sms
Highly
correlate
d
Tcompu
ted
Tabulat
ed
15.3656 1.9785
Degre
es of
freed
om
df=1301
=129
Descrip
t ion
Significa
nt
a=0.05
Table 9 covered the correlation between the Challenges Experienced
and Coping Mechanisms of every Small Business Owners during COVID-19
Pandemic. Using the Pearson Correlation Coefficient, the data showed that the
computed rxy obtained a value of 0.8053 described as a highly correlated. The
T-Computed value of 15.3656 is greater than the critical t of 1.9785. It implied
that we reject the null hypothesis. Therefore, there is significant relationship
between the challenges experienced and coping mechanisms of every small
business owners during COVID-19 pandemic at 0.05 level of significance. The
researchers conducted a cross-sectional study in Pakistan and collected data
from 201 small business owners. They found that small business owners faced
various challenges during the pandemic including reduced sales cash flow
issues and supply chain disruptions. The study also demonstrated a significant
positive relationship between the challenges experienced by small business
owners and their coping mechanisms. (Raza et al., 2021)
Chapter V
CONCLUSIONS AND RECOMMENDATIONS
This chapter presented the summary, findings, conclusions and
recommendations of the study.
Summary
The salient findings of the study are as follows;
1. The level of challenges experienced by the business owners during the
covid-19 pandemic
1.1
In terms of no. of customers, the small business owners
moderately agree that they have encountered customers with bad
attitude.
1.2
In terms of sales, the small business owners disagree that they
have experience decreasing of sales due to high price cause by limited
supply.
1.3 In terms of income, the small business owners moderately agreed
that they have experience poor financial management during covid-19
pandemic.
2. The level of coping mechanisms of business owners on the covid-19
pandemic
2.1 In terms of no. of customers, the small business owners moderately
agreed that they have practiced implementing a customer feedback loop
during covid-19 pandemic.
36
2.2 In terms of Sales, the Small Business owners moderately agreed
that they have practiced lowering the cost of product during covid-19
pandemic.
2.3 In terms of Income, the Small Business owners Moderately Agreed
that they have practiced using social media platform as a way to gain
income and build up customers through online selling of products.
3. The challenges experienced and coping mechanisms of every small business
owners during covid-19 pandemic produced a highly correlated result. The
results showed that there is a significant relationship between the challenges
experienced and coping mechanisms of every small business owners during
covid-19 pandemic, hence the null hypothesis is rejected.
Conclusions
1.
The level of challenges experienced of small business owners during
covid-19 pandemic in terms of no. of customers, sales, and income are both
low as most of them somewhat agree that they experienced a bit of those
challenges as small business owners.
2.
According to the findings of this study, the level of coping mechanism of
small business owners during covid-19 pandemic in terms of no. of customers,
sales, and income are both high as most of them moderately agree that they
use those coping mechanism and is effective for them as small business
owners.
3.
The researchers concluded that the level of challenges experienced and
the level of coping mechanism of small business owners are highly correlated.
This indicates that the small business owners were able to cope up to the
challenges they experienced during covid-19 pandemic.
37
Recommendations
Based on the findings and conclusions of the study the following
recommendations were made.
1.
The small business owners must be wise and flexible to cope up with
challenges they might experience.
2.
The small business owners should think innovative ways and maintain
the stability of the business even at times of crisis.
3.
The future researchers shall find the level of customer’s satisfaction in
terms of customer service, and quality of product.
38
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Industry: Challenges and Opportunities. International Journal of
Hospitality
Management,
91,
102660.
Retrieved
from
https://www.ncbi.nlm.nih.gov/pmc/articles/PMC7418907/
Small Business Administration. (2020). COVID-19’s Impact on Small Business
Owners: Measuring the Effects of the Pandemic. Retrieved from
https://advocacy.sba.gov/2020/06/15/covid-19s-impact-on-smallbusiness-owners-measuring-the-effects-of-the-pandemic/
40
APPENDIX A
Letter of Request to Conduct the Study
41
APPENDIX B
Letter to the Respondents
LABANGAL NATIONAL HIGH SCHOOL
SENIOR HIGH SCHOOL DEPARTMENT
Labangal, General Santos City
S.Y. 2022-2023
Small Busines Owners
Labangal, General Santos City
Dear Small Business Owners,
Greetings!
We are students from grade 12 ABM-BALURAN who’s currently
conducting a research study entitled with “Challenges Experienced and
Coping Mechanisms of every Small Business Owners during COVID-19
Pandemic”, that seeks to determine the relationship of the level of challenges
experienced and coping mechanism.
In order to continue this study, we are asking for your permission to
participate as respondents of our research project. In return, we will assure you
that all information we gathered from your response will be kept confidential.
Respectfully yours,
Felixander Inopiquez
Kent Joshua Colita
Zakiya Satol
Janedy Castillo
Kyle Joy Santarin
Alnera Isabel Cordero
April Joy Pintor
Generose Omongos
Sophia Nicole Hallegado
42
APPENDIX C
RESEARCH QUESTIONAIRE
LABANGAL NATIONAL HIGH SCHOL
“CHALLENGES EXPERIENCED AND COPING MECHANISMS OF EVERY
SMALL BUSINESS OWNERS DURING COVID-19 PANDEMIC”
QUESTIONNAIRE
Name (Optional):___________________Business Name: ______________
Address: _______________
Direction: Read each item carefully. Put a check mark (✓) on the number that
corresponds to your answer. Please be guided by the rating scale.
Legend:
Scale
5
4
3
2
1
Description
Much Agree
Agree
Moderately Agree
Disagree
Much Disagree
Interpretation of the Scale
Experienced all the time
Experienced most of the time
Experienced sometimes
Rarely experienced
Never experienced
Challenges experienced
A. No. of customers
5
1. Encountered customers with bad attitude.
2. Increasing of price due to limited supply of a
specific product.
4
3
2
1
43
3. Limited number of customers as a result of
health infections.
4. Limited number of customers due to age
Restrictions.
5. Limited number of customers due to product
unavailability during COVID-19 pandemic
B. Sales
5
1. Shortage of supply during COVID-19 pandemic.
2. Experienced decreasing of sales by cause of
competitors.
3. Decreasing of sales due to high price cause by
limited supply.
4. Experienced poor working condition due to
stress during COVID-19 pandemic.
5. Experienced misalignment of marketing and sales.
C. Income
1. Limited or inconsistent cash flow.
2. No preparation for unforeseen expenses.
3. Poor financial management during COVID-19
pandemic.
4. Mistakes on pricing of products.
5. Experienced losses resulting from business
operations.
5
4
3
2
1
4
3
2
1
Legend:
Scale
5
4
3
2
1
Description
Much Agree
Agree
Moderately Agree
Disagree
Much Disagree
Interpretation of the Scale
Practiced all the time
Practiced most of the time
Practiced sometimes
Rarely practiced
Never practiced
Coping mechanisms
A. No. of customers
1. Giving discounts to loyal customers.
5
4
3
2
1
44
2. Allowing minors to enter the store as long as the
protocol is followed.
3. Building trust with customers or knowing your
customers.
4. Practicing good communication skills in
interacting with customers.
5. Implementing a customer feedback loop.
B. Sales
5
4
3
2
1
1. Lowering the cost of products during COVID-19
pandemic.
2. Seamless access to products for customers by
providing delivery service.
3. Searching more suppliers to prevent shortage
of supplies
4. First-in First-out method of selling products/using
of supplies
5. Giving a discount on products that are about to
expire
C. Income
5
4
3
2
1
1. Lowering expenses by purchasing what is only
required in the business.
2. Daily checking of income status of the business
or service.
3. Monitoring daily expenses to manage income
stability.
4. Making a list of selling price of products to
prevent mistakes.
5. Using social media platform as a way to gain
build up customers through online selling of
products.
45
Validity of Research Instrument
46
47
48
APPENDIX D
Result of Statistic Treatment
“CHALLENGES EXPERIENCED AND COPING MECHANISMS OF EVERY
SMALL BUSINESS”
Challenges Experienced of Every Small Business Owners during COVID19 Pandemic
1.1 No. of Customers
Indicators
5
4
3
2
1
Weighted Mean
1
0
0.9
1.73
0.65
0.08
3.36
2
0
0.25
0.74
1.23
0.08
2.24
3
0
0.28
1.82
0.52
0.06
2.68
4
0.04
0.28
0.88
1.12
0.07
2.39
5
0.04
0.34
1.60
0.68
0.04
2.7
AVERAGE
2.674
1.1 No. of Customers
1.2 Sales
Indicators
5
4
3
2
1
1
1.16
0.34
1.25
0.74
0.11
Weighted
Mean
2.6
2
0.08
0.37
0.65
1.18
0.08
2.36
3
0.08
0.34
1.48
0.66
0.08
2.64
4
0
0.43
0.72
1.17
0.07
2.39
5
0.04
0.4
1.30
0.85
0.04
2.63
AVERAGE
2.922
1.2 Sales
49
1.3 Income
Indicators
5
4
3
2
1
1
0.04
0.42
1.5
0.63
0.08
2
0.04
0.14
0.62
1.26
0.04
2.1
3
0.08
0.43
1.56
0.62
0.05
2.74
4
0
0.46
0.76
1.12
0.07
2.41
5
0
0.37
1.66
0.6
0.05
2.68
AVERAGE
Weighted
Mean
2.67
2.52
1.3 Income
Coping Mechanisms of Every Small Business Owners during COVID-19
Pandemic
2.1 No. of Customers
Indicators
5
4
3
2
1
1
0.08
0.34
1.18
0.82
0.1
2
0
0.31
0.85
1.15
0.06
2.37
3
0.42
0.22
1.38
0.63
0.08
2.73
4
0.38
0.28
0.78
1
0.09
2.53
5
0.31
0.37
1.29
0.72
0.05
2.74
AVERAGE
Weighted
Mean
2.52
2.578
2.1 No. of Customers
50
2.2 Sales
Indicators
5
4
3
2
1
1
0.27
0.28
1.57
0.57
0.07
2
0.27
0.18
0.83
1.03
0.11
2.42
3
0.19
0.34
0.88
0.62
0.05
2.08
4
0.46
0.18
0.83
1.03
0.07
2.57
5
0.38
0.22
1.43
0.54
0.12
2.69
AVERAGE
Weighted
Mean
2.76
2.504
2.2 Sales
2.3 Income
Indicators
5
4
3
2
1
1
0.38
0.28
1.55
0.57
0.53
Weighted
Mean
3.31
2
0.5
0.18
0.76
1.08
0.06
2.58
3
0.42
0.25
1.41
0.63
0.07
2.78
4
0.5
0.25
0.83
1.02
0.05
2.65
5
0.5
0.62
1.02
0.63
0.18
2.95
AVERAGE
2.854
2.3 Income
x̄
2.54
ȳ
2.64
Σx
329.60
Σy
343.67
Σx^2
876.8267
Σy^2
975.15
(Σx)^2
108636.2
(Σy)^2
118106.78
Σxy
913.5022
n
130
51
r=
𝑛(𝛴𝑥𝑦) − (𝛴𝑥)(𝛴𝑦)
√[𝑛(𝛴𝑥^2) − (𝛴𝑥)^2 )(𝑛(𝛴𝑦^2) − (𝛴𝑦)^2]
Numerator = 5483
Denominator = 6808.64569
r = 0.8053
t computed = r sqrt((n-2)/(1-r^2))
t computed = 15.3656
df = n - 1
df = 129
α = 0.05
critical value = 1.9785
Since the computed t = 15.3656 is greater than the critical t = 1.9785, we reject
the null hypothesis. So, there is significant relationship between the two
variables there is a sufficient evidence to conclude that there is a significant
relationship
a=
(𝛴𝑌)(𝛴𝑋2)−(𝛴𝑋)(𝛴𝑋𝑌)
𝑛(𝛴𝑋2)−(𝛴𝑋)2
numerator = 245.765333
denominator = 5351.30667
a = 0.0459
b=
𝑛(𝛴𝑋𝑌)−(𝛴𝑋)(𝛴𝑌)
𝑛(𝛴𝑋2)−(𝛴𝑋)2
52
numerator = 5482.75556
denominator = 5351.30667
b = 1.0246
53
APPENDIX E
CERTIFICATE FROM STATISTICIAN
LABANGAL NATIONAL HIGH SCHOOL
SENIOR HIGH SCHOOL DEPARTMENT
Labangal, General Santos City S.Y. 2022-2023
CERTIFICATION
This is to certify that I have thoroughly reviewed the statistical treatment
and analysis of the research project of FELIXANDER H. INOPIQUEZ, ZAKIYA
S. SATOL, KYLE JOY C. SANTARIN, APRIL JOY Y. PINTOR, SOPHIA
NICOLE F. HALLEGADO, JANEDY P. CASTILLO, KENT JOSHUA K.
COLITA, ALNERA ISABEL A. CORDERO, GENEROSE OMONGOS entitled
“CHALLENGES EXPERIENCE AND COPING MECHANISMS OF EVERY
SMALL BUSINESS OWNERS DURING COVID-19 PANDEMIC ” and found
that it has complied with standard acceptable statistical procedure.
This certification is issued this _____ day of ______, 2023 at Labangal
National High School, Labangal, General Santos City.
ENGR. GIOVANNE C. REVILLA
Research Statistician
54
APPENDIX E
CERTIFICATE FROM AUTHORIZED EDITOR/PROOFREADER
LABANGAL NATIONAL HIGH SCHOOL
SENIOR HIGH SCHOOL DEPARTMENT
Labangal, General Santos City
S.Y. 2022-2023
CERTIFICATION
This is to certify that the undersigned has thoroughly edited the research
project of FELIXANDER H. INOPIQUEZ, ZAKIYA S. SATOL, KYLE JOY C.
SANTARIN, APRIL JOY Y. PINTOR, SOPHIA NICOLE F. HALLEGADO,
JANEDY P. CASTILLO, KENT JOSHUA K. COLITA, ALNERA ISABEL A.
CORDERO, GENEROSE OMONGOS entitled “CHALLENGES EXPERIENCE
AND COPING MECHANISMS OF EVERY SMALL BUSINESS OWNERS
DURING COVID-19 PANDEMIC ” has
Complied with the standards set by American Psychological Association (APA)
for academic writing. This is to certify that to the best of my knowledge, it is
already ready for final binding.
Done this ______ day of ________ 2023 at Labangal National High
School, Labangal, General Santos City.
Approved by:
Marry Hope T. Espinosa
Research Grammarian
55
APPENDIX F
Means of Verification
56
APPENDIX G
Curriculum Vitae
PERSONAL BACKGROUND
Name
:
Felixander H. Inopiquez
Date of Birth
:
February 10, 2005
Civil Status
:
Single
Citizenship
:
Filipino
Religion
:
Catholic
Height
:
5’7ft
Weight
:
69kg
EDUCATIONAL ATTAINMENT AND SCHOOL ATTENDED
Elementary
:
Saavedra Saway Central Elementary School
Secondary
:
Labangal National High School
57
WORD OF INSIGHT
The most common thing I heard during covid-19 pandemic is that
many small business owners are suffering and chose to shut down their
businesses especially in Barangay Labangal, General Santos City. I was able
to learned their experiences and practices in how they handle their businesses
in terms of no. of customers, sales and income by conducting our study. I also
learned their strategies to make their business grow and maintain their
operations amidst pandemic.
In this study, we were able to identify the relationship between the level
of challenges experienced and coping mechanisms of every small business
owners during covid-19 pandemic, and we able to conclude that they have no
relationship between challenges experienced and coping mechanisms, Thus
we could suggest to the business owners to improve their operation so that they
make their business profitable and well operated.
58
PERSONAL BACKGROUND
Name
Date of Birth
:
:
Zakiya S. Satol
December 05, 2004
Civil Status
:
Single
Citizenship
:
Filipino
Religion
:
Islam
Height
:
5’0ft
Weight
:
56kg
EDUCATIONAL ATTAINMENT AND SCHOOL ATTENDED
Elementary
:
Saavedra Saway Central Elementary School
Secondary
:
Labangal National High School
59
WORD OF INSIGHT
This research has taught me a lot in some ways. Different struggles has
faced by the small business owners during Covid 19 and through this, I want to
share my insights of our recently conducted study. Our study was connected to
the recent disaster (COVID 19) that affected the world economy but focusses
on the business owners that has been severely affected. How the study resulted
helped me to come up with the idea on how small business owners must deal
with this kind of challenges that no one has expected it to come and affected
everyone in this world.
This study does not only implies on business owners but also to
everyone that was affected by the pandemic. The pandemic has tested our
strength, patience, and decisiveness but we must stay strong so that we will not
be easily bring down by any disaster. Just like what Martin Luther King said
“Our very survival depends on our ability to stay awake, to adjust to new ideas,
to remain vigilant and to face the challenge of change”. I hope this insight of
mine will serve as a navigation on taking research study.
60
PERSONAL BACKGROUND
Name
:
Kyle Joy C. Santarin
Date of Birth
:
February 21, 2005
Civil Status
:
Single
Citizenship
:
Filipino
Religion
:
Catholic
Height
:
148 cm
Weight
:
35 Kg
EDUCATIONAL ATTAINMENT AND SCHOOL ATTENDED
Elementary
:
Saavedra Saway Central Elementary School
Secondary
:
Labangal National High School
61
WORD OF INSIGHT
This research study taught me a lot of inspiring lessons. This
pandemic made us think of this study that can help small businesses identify
their challenges and what strategy they can make to overcome their
challenges. Many small business owners was inspired me by the sacrifices
they have made and the challenges they have faced while in the midst of
pandemic, from managing their small business to balancing responsibilities
to their family. The rewards of sacrificing can be great, as well, and passing
on what they have learned will help prepare the next generation of small
business owners to continue their inspiring work.
62
PERSONAL BACKGROUND
Name
:
April Joy Y. Pintor
Date of Birth
:
April 1, 2005
Civil Status
:
Single
Citizenship
:
Filipino
Religion
:
Christian
Height
:
160 cm
Weight
:
43kg
EDUCATIONAL ATTAINMENT AND SCHOOL ATTENDED
Elementary
:
Labangal Elementary School
Secondary
:
Labangal National High School
63
WORD OF INSIGHT
This research study gained many useful insight to me and I kindly
wanted to share my insight among the whole journey of the study. This research
study can be helpful and useful to everyone especially to all business owners
broaden their skills and knowledge about the benefits of the study. The study
found out that there is no significant relationship between the two variables and
so I also came up with a recommendation on how would business owners must
adjust, adopt and able to learnt something in dealing with a stressful experience
or difficult situation. Covid 19 pandemic has a caused a lot of negative impacts
to everyone especially to business owners who were affected by their sales,
income and loss of customers and this must be difficult to deal with but thinking
innovative ways on adjusting can lead to inspiration among them and us to learn
and we are not able to give up. Being a part of this whole journey was a pleasure
and it is very entertaining to discover a lot of things that I can’t find out just by
myself and I am hoping that this research study can help a lot of people in their
future journey.
64
PERSONAL BACKGROUND
Name
:
Sophia Nicole F. Hallegado
Date of Birth
:
March 26, 2005
Civil Status
:
Single
Citizenship
:
Filipino
Religion
:
Roman Catholic
Height
:
162 cm
Weight
:
40 kg
EDUCATIONAL ATTAINMENT AND SCHOOL ATTENDED
Elementary
:
Saavedra Saway Central Elementary School
Secondary
:
Labangal National High School
.
65
WORD OF INSIGHT
While conducting our research, we discovered among small business
owners that many have struggled to grow their businesses because of the
pandemic; many have also closed their businesses due to a lack of customers
to buy their products; and they also lost businesses because of the COVID-19
pandemic. But some business entrepreneurs are able to surpass and grow their
businesses in the time of the pandemic. I appreciated the hard work of the small
business entrepreneurs and how they surpass their challenges in managing
their business every day. It makes me feel that in handling a business, you need
to work harder to make your business grow to become a successful
entrepreneur.
PERSONAL BACKGROUND
Name
:
Alnera Isabel A. Cordero
Date of Birth
:
August 11, 2005
Civil Status
:
Single
Citizenship
:
Filipino
Religion
:
Roman Catholic
Height
:
152 cm
Weight
:
56 kg
EDUCATIONAL ATTAINMENT AND SCHOOL ATTENDED
Elementary
:
Saavedra Saway Central Elementary School
Secondary
:
Labangal National High School
WORD OF INSIGHT
There were many things that this research study taught me. There
was definitely a learning curve when I first started because I had never seen
anything like this before. In order to better comprehend the topic at large
and prepare for the research project we were working on, I started by
completing a basic literature study. The assignment sounded a little
intimidating at first, but after I felt at ease and understood I had individuals
who could help me, it was much easier to get started and get to the actually
fun parts—namely, finding new and exciting stuff!
PERSONAL BACKGROUND
Name
:
Janedy P. Castillo
Date of Birth
:
January 20, 2005
Civil Status
:
Single
Citizenship
:
Filipino
Religion
:
Roman Catholic
Height
:
160 cm
Weight
:
44 kg
EDUCATIONAL ATTAINMENT AND SCHOOL ATTENDED
Elementary
:
Consolacion Elementary School
Secondary
:
Labangal National High School
WORD OF INSIGHT
In this research that we conducted has faced by the small business
owners of their experienced Covid 19 pandemic that affected them to their
business,I learned a lot from their different methods of how to solve all their
problems or what they went through that affected them with Covid 19. This
is a way of how we can cope with all the challenges in our lives to the best
of our ability, our weakness and what other methods can be used to solve
all the hardships in life and even though we are tired and struggling, we still
need to be strong so that we can rise up in life. All business owners have
experienced hardships in build their business but they still coped and still
fight to get out of poverty and this research improves services and
treatments not just for you but also for future generations.
PERSONAL BACKGROUND
Name
:
Kent Joshua C. Colita
Date of Birth
:
February 26, 2005
Civil Status
:
Single
Citizenship
:
Filipino
Religion
:
Roman Catholic
Height
:
161 cm
Weight
:
47 kg
EDUCATIONAL ATTAINMENT AND SCHOOL ATTENDED
Elementary
:
Saavedra Saway Central Elementary School
Secondary
:
Labangal National High School
WORD OF INSIGHT
This research help us through many ways, we have able to present
and conducted our study which is the “challenges experience and coping
mechanism of every small business during covid-19.” We also have a
chance to go to any purok so that we are able to get their insight about their
experiences and how they cope with that. We all know that during the
pandemic life is so hard, we don’t know where we can make a money
because we are restricted to do so especially those small business owners
they are forced to close their businesses and they are the primary affected
by the pandemic. One of the factor that our economic growth is decreasing
because of the pandemic our MSE are temporarily shut down. As a filipino
it test our ability to make a way to cope with the pandemic as we may study
this research to gather their idea, thoughts, and answers on our questions
that cause by our curiosity. We are thirsty on new learnings on how we are
passionate and perseverance during the times of pandemic. As I end this
insight of mine I will leave my favorite sayings which is “You will face many
defeats in life, but never let yourself be defeated”. -Maya Angelou.
PERSONAL BACKGROUND
Name
:
Generose Omongos
Date of Birth
:
June 30, 2003
Civil Status
:
Single
Citizenship
:
Filipino
Religion
:
Roman Catholic
Height
:
4’9ft
Weight
:
38kg
EDUCATIONAL ATTAINMENT AND SCHOOL ATTENDED
Elementary
:
O.T Santos Elementary School
Secondary
:
Labangal National High School
APPENDIX H
Means of Verification