Digital readiness of small and medium enterprises in emerging markets: The construct, propositions, measurement, and implications

Srinivas R. Pingali, Sumanta Singha, S. Arunachalam and Kiran Pedada

Journal of Business Research, 2023, vol. 164, issue C

Abstract: Digital readiness is becoming increasingly critical for resource-constrained small and medium enterprises (SMEs) to remain competitive. However, despite its necessity, there is a limited understanding of the digital readiness of SMEs, especially in emerging markets. Employing a multi-study, multi-method approach involving qualitative interviews and quantitative surveys with SME owners in emerging markets (E-SMEs), this work conceptualizes the digital readiness of E-SMEs and identifies its key drivers. In Study 1, using a qualitative grounded-theory approach, we identify five themes and offer 11 propositions elaborating on the key factors that affect E-SMEs’ digital readiness. In Studies 2 and 3, using surveys, we develop, test, and validate a multi-item measurement scale of digital readiness characterized by three dimensions: technological sensemaking, agility, and implementation. We draw important insights from our studies and discuss their managerial and policy implications for E-SMEs.

Keywords: Digital readiness; SMEs; Sensemaking; Agility; Implementation; Emerging markets (search for similar items in EconPapers)
Date: 2023
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Citations: View citations in EconPapers (4)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:jbrese:v:164:y:2023:i:c:s0148296323003314

DOI: 10.1016/j.jbusres.2023.113973

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