Never have a crisis like COVID-19

¹ California State University San Bernardino, 5500 University Parkway, San Bernardino 92407
² Kookmin Universsity, 77, Jeongneung-ro, Seongbuk-gu, Seoul, South Korea

^* Corresponding author: drlee@kookmin.ac.kr

Abstract

Current circumstances caused by COVID-19 pandemic pose a unique challenge to businesses. How could businesses survive? What strategic options do businesses have when they effectively engage such a challenge? Delving into the inquiry, we explore and investigate different strategic approaches to measure their effectiveness. For the study’s explorative and investigative purposes, our investigation involves a set of tests at both business and corporate levels. Using 224 responses from the leaders and key individuals of Korean startups, we tested the effectiveness of strategic options using the notion of ambidexterity and alliances, and mergers and acquisitions. Using the ambidexterity lens, we found exploitation and exploration indirectly affect firm performances and are still effective under COVID-19. We also found “reinforcing the relationship with existing alliances,” a corporate-level approach, to be effective.