A Study of How the COVID-19 Pandemic Impacts Swedish SMEs’ Internal Communication

Sammanfattning: A popular area that has increased in interest within the literature of International Business has lately been devoted to the field of international small and medium-sized enterprises (SMEs). Parallelly, the literature concerning uncertainties and crises has also grown, particularly regarding coronavirus disease 2019 (COVID-19). In todays’ highly volatile and fast- changing business environment, managing a crisis is a task many organizations are used to. However, the subsequent consequences that certain crises entail are crucial for an organization to overcome as well as adapt to and handle for it to survive as an operating mechanism in the world market. The COVID-19 pandemic entails consequences never experienced before, therefore, the importance of researching the phenomenon becomes vital to develop ways for organizations, particularly international SMEs, to cope with the situation. For this reason, this study began by investigating Swedish SMEs, with international connections, with the purpose to discover how internal communication in SMEs occurs as well as how it is impacted by leadership and organizational climate during the COVID-19 pandemic. This study conducted six semi-structured interviews with managers and executives from six Swedish organizations within the industry and manufacturing sector.  This thesis generated several interesting findings generating an enriched understanding of how and why internal communication during the COVID- 19 pandemic is important to manage for SMEs. The findings inform that internal communication is perceived as highly important by managers and executives to mitigate uncertainties, create a feeling of trust, and create or keep engagement within the firm. Further uncoverings indicate how leadership and organizational climate impact how internal communication occurs, is perceived, and practiced. In other words, leadership and organizational climate can be assumed to influence internal communication in various levels and are important to be aware of. In conclusion, the study has showcased that during the COVID-19 pandemic, the way that internal communication occurs and how it is impacted by both leadership and organizational climate are, within SMEs, intertwined. Moreover, it seems evident that internal communication, leadership, and organizational climate are, independently and interdependently, affected by the COVID-19 pandemic which, in turn, impact how they interact.