Combining Effectuation and Causation As Decision-Making Approaches Amidst Covid-19: Case of Micro-Business in Indonesia

Lussia Mariesti Andriany

Abstract


The decision-making process in business has become more critical since the Covid-19 pandemic. This study aims to present a decision-making process used in starting a micro-business that opened before and during the pandemic in Indonesia. I argue that the pandemic increased the likelihood that micro-business owners would base their decisions on effectuation, which is the creation of potential effects through resource ownership, rather than causation, which emphasizes the initial setup of the decision-making process in the opening phase of their business. This studys main finding is that regardless of the period of business opening, business owners decision-making combines effectuation and causation in opening their business. Nevertheless, the decision-making process is different between owners who opened the micro-business before and during the pandemic regarding the complexity of given means and interaction outcomes.

Keywords


Effectuation, Covid-19, Micro-Business

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References


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DOI: https://doi.org/10.30596/miceb.v1i0.197

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