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COVID-19 and Short-Run Survival in the Service Sector: Evidence from the Tourism Economy

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Optimal Transport Statistics for Economics and Related Topics

Part of the book series: Studies in Systems, Decision and Control ((SSDC,volume 483))

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Abstract

This study aims to evaluate the survival probability of small- and medium-sized enterprises (SMEs) in the service sector during the COVID-19 pandemic and empirically investigate their survival determinants. The sample group of 420 firms was analyzed utilizing the Cox proportional hazard model. The results showed that several business categories had various levels of survivability. The businesses that served exposure to tourists (e.g., travel agencies, entertainment, accommodation, and restaurant) were more likely to fail. Furthermore, business characteristics, financial statements, and government support substantially impacted the firm survival likelihood. These findings have several practical implications for businesses, governments, and policymakers in dealing with pandemics in the future.

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Author information

Authors and Affiliations

  1. Faculty of Economics, Chiang Mai University, Chiang Mai, Thailand

    Surapot Baiya & Pithoon Thanabordeekij

  2. Centre of Excellence in Econometrics, Faculty of Economics, Chiang Mai University, Chiang Mai, Thailand

    Paravee Maneejuk

Authors
  1. Surapot Baiya
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  2. Pithoon Thanabordeekij
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  3. Paravee Maneejuk
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Corresponding author

Correspondence to Surapot Baiya .

Editor information

Editors and Affiliations

  1. Ho Chi Minh University of Banking, Ho Chi Minh city, Vietnam

    Nguyen Ngoc Thach

  2. Department of Computer Science, Texas A&M University, El Paso, TX, USA

    Vladik Kreinovich

  3. Ho Chi Minh City University of Banking,, Ho Chi Minh City, Vietnam

    Doan Thanh Ha

  4. Ho Chi Minh City University of Banking,, Ho Chi Minh city, Vietnam

    Nguyen Duc Trung

A Appendix

A Appendix

Table 5. Estimation results of parametric survival function
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Baiya, S., Thanabordeekij, P., Maneejuk, P. (2024). COVID-19 and Short-Run Survival in the Service Sector: Evidence from the Tourism Economy. In: Ngoc Thach, N., Kreinovich, V., Ha, D.T., Trung, N.D. (eds) Optimal Transport Statistics for Economics and Related Topics. Studies in Systems, Decision and Control, vol 483. Springer, Cham. https://doi.org/10.1007/978-3-031-35763-3_14

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  • DOI: https://doi.org/10.1007/978-3-031-35763-3_14

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