Interpreting Financial Crisis: Lived Experiences of MSME Owners in Post-Pandemic Indonesia
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Abstract
Micro, small, and medium enterprises (MSMEs) play a vital role in economic development, particularly in emerging markets such as Indonesia, where they contribute significantly to employment and community resilience. In the aftermath of the COVID-19 pandemic, many MSME owners—particularly those from culturally rooted communities like pesantren-based entrepreneurs—faced severe financial disruption, yet little is known about how they subjectively experienced and interpreted these crises. Existing studies often rely on quantitative approaches, which fail to capture the deeper emotional and existential dimensions of financial hardship among entrepreneurs. This study investigates how MSME owners made sense of their personal financial crises during and after the pandemic. Using an interpretative phenomenological approach, the research explores the subjective meanings embedded in these financial experiences. Data were collected through in-depth, semi-structured interviews with ten MSME owners in urban, semi-urban, and pesantren-based settings across Indonesia, then analyzed using Interpretative Phenomenological Analysis (IPA). The findings reveal that participants experienced financial crises as more than economic challenges—they represented identity loss, emotional disorientation, and moral struggle. Notably, several participants interpreted their experiences through the Islamic concept of barakah (divine blessing), reframing their financial hardship as part of a spiritually meaningful journey. Many reframed their hardship through spiritual narratives and adaptive strategies, highlighting resilience and transformation as central themes. These insights deepen our understanding of financial crises as lived experiences, suggesting the need for support mechanisms that go beyond economic policy and include psychological, spiritual, and cultural dimensions. The study contributes to the growing field of financial phenomenology and offers a foundation for future research on entrepreneurial resilience in crisis contexts.
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