Navigating Challenges: How Flexibility, Digital Transformation, and Value Creation Drive Resilience in Tourism SMEs

Pwint Phyu Hninn; Yuen-onn Choong; Ai Na Seow

doi:10.30519/ahtr.1537391

Research Article

Navigating Challenges: How Flexibility, Digital Transformation, and Value Creation Drive Resilience in Tourism SMEs

Year 2025, Volume: 13 Issue: 4, 478 - 498, 05.12.2025

Pwint Phyu Hninn , Yuen-onn Choong , Ai Na Seow

https://doi.org/10.30519/ahtr.1537391

Abstract

This study examines the business resilience of small and medium-sized tourism enterprises (SMEs) in Malaysia through flexibility, digital transformation and value creation. The research model and proposed hypotheses were developed based on the resource-based view theory and the dynamic capabilities theory. The research employed quantitative methods to obtain data from 250 owners and managers of tourism SMEs. The data analysis was performed through structural equation modelling using the SmartPLS software version 4. The research outcomes demonstrate that tourism SMEs in Malaysia can benefit from business resilience through digital transformation and flexibility practices. Value creation functions as a mediator which explains the relationships between the variables. Tourism SMEs should follow recommendations to succeed in an unpredictable volatile market. These organisations need to develop business resilience effectively to handle crises and disruptions.

Keywords

Business Resilience , Flexibility , Digital Transformation , Value Creation , SMEs in Malaysia

Supporting Institution

Ministry of Higher Education (MOHE), Malaysia under the Fundamental Research Grant Scheme (FRGS)

Project Number

FRGS/1/2022/ SS02/UTAR/02/2

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