The path to digital maturity: A cluster analysis of the retail industry in an emerging economy

Marcelo Rezende Pinto, Paula Karina Salume, Marcelo Werneck Barbosa and Paulo Renato de Sousa

Technology in Society, 2023, vol. 72, issue C

Abstract: This study identifies dimensions that characterize retail companies' digital maturity, clustering them into distinct levels and placing them on a path toward maturity. A quantitative methodology was used, during which strategic-level managers of Brazilian retail companies completed an electronic questionnaire. Cluster analysis was used to identify digital maturity levels. Five maturity dimensions—strategy, market, operations, culture, and technology—separate companies across maturity levels, with no dimension systematically achieving higher scores. Higher average scores for the culture dimension were found, which supports that culture is a driver of digital transformation. Larger companies were part of the cluster of digitally mature firms, and companies with lower digital maturity required greater investment in strategy and operations. This study characterizes the Brazilian retail sector in terms of digital maturity, which might be similar to other emerging economies. This study's theoretical contributions are grounded by dynamics capabilities theory, suggesting that a company must develop capabilities related to five dimensions to achieve digital maturity, and thus competitive advantages. This study proposes a framework based on the structure-conduct-paradigm, which future research should explore further.

Keywords: Digital maturity; Digital transformation; Retail sector; Cluster analysis (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:teinso:v:72:y:2023:i:c:s0160791x22003323

DOI: 10.1016/j.techsoc.2022.102191

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