Digital Resilience in Volatile Markets: Antecedents and Performance Outcomes of Social Media Integration Among Malaysian SMEs

Contemporary markets are characterized by intense rivalry, uncertainty, and volatility. The COVID-19 pandemic exemplifies a “perfect storm” of abrupt environmental disruption, compelling organizations to accelerate digital transformation. In this context, social media has emerged as a prominent open innovation resource, a cost-effective tool for Small and Medium Enterprises (SMEs) to maintain operations amid restrictions, altered procedures, and remote work arrangements. When deployed effectively, social media offers considerable potential to enhance organizational outcomes. Nevertheless, the precise nature of its relationship with firm performance, both direct and indirect, warrants deeper scholarly attention. Malaysian policy authorities have highlighted digitalization as a pathway to strengthen SME resilience and competitiveness, addressing concerns over high failure rates. This article develops a conceptual model that positions social media adoption as a mediating construct, linking two antecedent factors, compatibility and security concern, to firm performance. Grounded in the Resource-Based View (RBV), the study treats social media as a strategic resource that may foster competitive advantage. The discussion provides an updated perspective, bridging academic insight and practical application for SMEs operating under challenging conditions.