The influence of complexity, uncertainty, and munificence on long‐term organizational resilience to natural disasters

Abstract

The turbulent conditions of the external environment have placed unprecedented pressure on firms, drawing management scholars' attention to organizational resilience. This research aims to study if complexity, uncertainty, and munificence influence organizational resilience in terms of long‐term firm survival. We performed a binary logistic regression using a database of 1,849 Italian joint‐stock firms between 2014 and 2020, of which 89 received public funds as compensation for damages caused by natural disasters. We found that munificence in the context where firms operate is likely to increase their survival in the long term compared to the peers together with turnover, however, context complexity and uncertainty have not been found significant. The results shed light on the role of the context as an antecedent of organizational resilience.