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Business·G Space·Evidence-backed gain·Published 2026-07-20

Building entrepreneurial resilience during crisis using generative AI: An empirical study on SMEs

Recently, Gen AI has garnered significant attention across various sectors of society, particularly capturing the interest of small business due to its capacity to allow them to reassess their business models with minimal investment. To understand how small and medium-sized firms have utilised Gen AI-based tools to cope with the market's high level of turbulence caused by the COVID-19 pandemic, geopolitical crises, and economic slowdown, researchers have conducted an empirical study. Although Gen AI is receiving…

TRV-2026-0397Peer-reviewedPermanent record — cite & verify
Building entrepreneurial resilience during crisis using generative AI: An empirical study on SMEs

2025-12-17 Mohamed Muizzu meets with Small and Medium-Sized Enterprises (SMEs) (11) by The President's Office, Maldives. CC BY 4.0 · https://creativecommons.org/licenses/by/4.0

The quick read

In a peer-reviewed study published June 25 2024, researchers surveyed 87 SMEs in France about their use of generative AI tools during the COVID-19 pandemic, geopolitical crises, and economic slowdown. Using a pre-tested survey and WarpPLS 7.0 modelling, they tested how generative AI and entrepreneurial orientation relate to entrepreneurial resilience under market turbulence.

The finding matters because it moves beyond anecdotal claims to empirical evidence that generative AI can help small firms reassess business models with minimal investment and build resilience. Uncertainty remains about generalizability beyond France, causality from cross-sectional data, and the non-linear effects of turbulence that the authors flag for further research.

Main points
  • Empirical test used 87 usable survey responses from SMEs in France analyzed with WarpPLS 7.0 structural equation modelling.
  • Theoretical framing used the contingent view of dynamic capability to link generative AI, entrepreneurial orientation, and resilience.
  • Study examined coping during combined COVID-19 pandemic, geopolitical crises, and economic slowdown.
Gain

French SMEs using generative AI tools were able to reassess business models and build entrepreneurial resilience during COVID-19 and geopolitical market turbulence.

The rundown

Researchers surveyed small and medium enterprises in France to address a gap in empirical evidence on generative AI and entrepreneurial orientation. They grounded hypotheses in the contingent view of dynamic capability and tested them with variance-based structural equation modelling using WarpPLS 7.0.

Results showed generative AI and entrepreneurial orientation both influence resilience, but market turbulence negatively moderates the link between orientation and resilience, challenging linear assumptions that turbulence always enhances dynamic capabilities.

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