Risk Management Strategies Employed by Businesses in Thailand to Navigate Economic Crises

Abstract

This research investigates the risk management strategies used by businesses in Thailand to adapt and respond to changes during economic crises. The main objective is to identify and analyze the risk management practices employed by Thai businesses during periods of economic disruption, particularly focusing on the 1997 Asian financial crisis and the 2020 COVID-19 pandemic. The study employs a mixed-method approach, combining qualitative interviews with business leaders and quantitative surveys distributed to a sample of companies across various sectors. The findings reveal that businesses that adopted diversified supply chains, digital transformation, financial risk mitigation, and crisis preparedness plans were more resilient during economic disruptions. Moreover, the research highlights the role of government support in enabling businesses, especially SMEs, to withstand economic shocks. Based on the findings, the study recommends that Thai businesses should prioritize flexibility in their supply chains, invest in digital technologies, and establish robust financial management frameworks to prepare for future economic challenges.