We investigate how small businesses in a very remote island tourist destination are able to cope with shocks and disruptions they face, that is, their resilience. Given their size and resource limitations as well as disadvantages due to lack of accessibility and remoteness, we expect resilience in these types of firms to be underpinned by their close relationships with other local stakeholders. Drawing on concepts from Instrumental Stakeholder Theory (IST), we explore how close relationship capabilities with stakeholders affect small business resilience on the remote tourist destination of St Helena. Through in-depth interviews with the owner-managers of seven case firms on the island we identify how aspects of IST are relevant to resilience, while also uncovering emerging variables of interest. To make sense of these variables we use a Fuzzy Cognitive Mapping (FCM) approach, capturing respondents' mental models in graphical form.The result supports IST by reinforcing the positive effects of valuable partners and mutually beneficial interaction with valuable partners, as well as a negative impact of the cost of managing relationships. However, negative impacts of logistical costs and, surprisingly, the role of government policy on resilience are also identified. Implications for research and policy are discussed.
scite is a Brooklyn-based organization that helps researchers better discover and understand research articles through Smart Citations–citations that display the context of the citation and describe whether the article provides supporting or contrasting evidence. scite is used by students and researchers from around the world and is funded in part by the National Science Foundation and the National Institute on Drug Abuse of the National Institutes of Health.
customersupport@researchsolutions.com
10624 S. Eastern Ave., Ste. A-614
Henderson, NV 89052, USA
This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
Copyright © 2024 scite LLC. All rights reserved.
Made with 💙 for researchers
Part of the Research Solutions Family.