A Lesson Learned: How SMEs Build Dynamic Capability during Covid-19 Pandemic

The COVID-19 pandemic has had a significant impact on SME business sustainability. Some SMEs are no longer operating because the triggered number of risks for them. In order to survive, required develop elements dynamic capabilities their own businesses. This research aims explore in-depth how build microelements during pandemic. authors used case study method as design by selecting 4 that represent industrial center village in Wedi and Bayat Districts, Klaten Regency. analyze, this triangulation technique, data collection is done making visits companies, observations, interviews with key informants who understand development craft industry focused identifying critical proved be effective support through implementing abilities sensing, seizing, transforming. Sensing ability target new market segments opportunities. Seizing produce products customers really need. Meanwhile, transforming most powerful capability carried out so far managing more agile businesses innovative marketing practices.