Weathering the Unforeseen: The Interplay of Resilience and Innovation in Start-Up Performance Amidst Crisis

Jonathan Mukiza Kansheba and Mutaju Isaack Marobhe

Journal of African Business, 2025, vol. 26, issue 1, 225-242

Abstract: Understanding entrepreneurial dynamics during crises increasingly gains scholars’ and practitioners’ attention, highlighting the adaptability and innovation inherent in entrepreneurial ventures. This study investigates the intertwined role of organizational resilience (OR) and business model innovation (BMI) on the performance of startups amidst the COVID-19 pandemic using data from 258 start-ups in Tanzania. It employs a stepwise multiple regression analysis to assess the moderating effect of BMI on the relationship between OR and the start-ups’ performance. The findings suggest that service sector startups exhibited higher performance than those in manufacturing and merchandising. The results show that startups that actively participate in BMI exhibited greater resilience and outperformed their counterparts during the pandemic. The study underscores the imperative for startups to consistently innovate their business models to maintain their competitiveness and success during disruptive moments.

Date: 2025
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DOI: 10.1080/15228916.2024.2361501

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