SMEs SURVIVAL STRATEGY IN THE TIME OF THE COVID-19 PANDEMIC

ABSTRACT : This study aims to empirically examine the effect of cost leadership strategies, differentiation strategies, focus strategies, and combination strategies on the performance of SMEs in Denpasar Bali Municipality. The theories used include: Porter’s (1980) strategic generic theory, Resources Based View (RBV) in analyzing the survival strategy of SMEs in Indonesia, especially in Bali. The population in this study were all SMEs in the Province of Bali registered at the Cooperatives Service totaling 326,009 SMEs. The sample used is 100 SMEs which is calculated using the Slovin formula, the criteria for determining the respondents are using purposive sampling. This study uses primary data, which was collected by survey method. The analytical method used is multiple linear regression analysis, which is assisted by the SPSS version 22.0 analysis tool. Based on the results of the analysis, it is found that the differentiation strategy, focus strategy and combination strategy have a significant effect on the performance of SMEs, while the cost leadership strategy has no effect on the performance of SMEs in Bali. SMEs are expected to create a simple cost accounting system so that the determination of the cost of production is carried out more accurately, thus cost efficiency can be maintained and performance can be improved.

Keywords -Cost Leadership Strategy, Differentiation Strategy, Focus Strategy, Combination Strategy, SMEs Performance)