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After the Ground Stopped Shaking: Socioemotional Wealth and Social Capital in Post-Disaster Recovery of Small Family firms

May 9, 2013 | by Rocky Adiguna

This study is the first to measure the interaction between socioemotional wealth (SEW) and social capital—in the forms of community support and institution support—to their impact on the post-disaster recovery of small family businesses. Hierarchical multiple regression is used based on a sample of 79 small family businesses in Indonesia. Our findings suggest that family firms in post-disaster situation are able to pursue both SEW goals and economic gains, thus breaking off the trade-off between SEW vs. economic benefits. More specifically, we found that SEW shows its prominence on the interaction between SEW-community and SEW-institution. This implies that small family businesses in post-disaster context need to find synergy between socioemotional endowments and social capital to help them bounce back and recover.

Tags: disaster, economic recovery, sustainability

Categories: Resources: Markets in Crisis

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