Enhancing sustainability and competitiveness of self-funded SMEs: The hotel model

Objective: This research aims to analyze the relationship between digital transformation and sustainability, analyze the relationship between digital innovation and sustainability and analyze the relationship between digital knowledge management and sustainability. Method: The research method used in this research is a quantitative method, research data analysis uses the structural equation modelling partial least squares (PLS-SEM) method with tools for processing data using SmartPLS 4.0 software. The population of this research are administrators or managers of SMEs in Indonesia. The respondents of this research were 467 SME managers who were determined using a simple random sampling method. Research data was obtained by distributing online questionnaires via digital platforms or online media. The questionnaire was designed to contain statement indicators using a 5 Likert scale. The independent variables of this research are digital transformation, digital innovation and digital knowledge management, the dependent variable of this research is sustainability. The stages of data analysis are unified validity, reliability testing hypothesis testing or significance testing of relationships between variables. Result: The results of this research are that digital transformation has a positive and significant relationship to sustainability, digital innovation has a positive and significant relationship to sustainability and digital knowledge management has a positive and significant relationship to sustainability. Research Implication: The results of this research provide an idea to SME stakeholders that to improve SME sustainability, competitiveness and performance, SME managers need to adopt digital transformation in SME operational activities. To achieve SME sustainability, SME managers need to cultivate a culture of digital innovation and management. digital knowledge in SME operational activities.

The application of business analytics has become a critical success factor for improving the performance and economic impact of SMEs in competitive markets. With advancements in digital transformation, SMEs can now leverage analytical tools to enhance decision-making, understand complex markets, and compete effectively with larger organizations. This study employed an exploratory and quantitative research approach, collecting primary data from SME owners and managers and secondary data on financial performance, market dynamics, and economic impact. Statistical and thematic analyses revealed a strong positive relationship between business analytics adoption and improved financial performance, operational efficiency, and economic contribution. Key gains were observed in inventory management, customer relationship management, and strategic decision-making, with businesses adopting analytics achieving higher revenue growth and resilience during economic volatility. The findings underscore the importance of organizational readiness, data quality, and strategic alignment in ensuring successful analytics implementation. This research highlights the managerial and policy implications of supporting SMEs in building analytics capacity to drive economic growth. Further studies are recommended to explore specific implementation models and address barriers to analytics adoption, emphasizing the pivotal role of business analytics in enhancing the competitiveness and sustainability of SMEs.

The application of business analytics has become a critical success factor for improving the performance and economic impact of SMEs in competitive markets. With advancements in digital transformation, SMEs can now leverage analytical tools to enhance decision-making, understand complex markets, and compete effectively with larger organizations. This study employed an exploratory and quantitative research approach, collecting primary data from SME owners and managers and secondary data on financial performance, market dynamics, and economic impact. Statistical and thematic analyses revealed a strong positive relationship between business analytics adoption and improved financial performance, operational efficiency, and economic contribution. Key gains were observed in inventory management, customer relationship management, and strategic decision-making, with businesses adopting analytics achieving higher revenue growth and resilience during economic volatility. The findings underscore the importance of organizational readiness, data quality, and strategic alignment in ensuring successful analytics implementation. This research highlights the managerial and policy implications of supporting SMEs in building analytics capacity to drive economic growth. Further studies are recommended to explore specific implementation models and address barriers to analytics adoption, emphasizing the pivotal role of business analytics in enhancing the competitiveness and sustainability of SMEs.

This study aims to optimize the competitiveness and sustainability of agribusiness SMEs in Indonesia through the application of the circular economy business model, using the design thinking approach, which includes the stages of empathize, define, ideate, and prototype. In light of increasing consumer awareness regarding sustainability, SMEs need to adapt in order to remain competitive. The circular economy offers solutions by utilizing waste as raw materials and extending product life cycles. This research is based on a literature review, direct discussions, and insights from a seminar presented by agribusiness owners, namely Mitra Tani Farm and Sangreat Natural Indonesia, to provide a deeper understanding of the application of the circular economy in the field. The findings indicate that circular economy-based strategies can improve operational efficiency and business resilience, while also providing positive environmental sustainability impacts, as demonstrated through case studies at Mitra Tani Farm and Sangreat Natural Indonesia. The prototype phase of this study outlines managerial implications that can be applied by agribusiness SMEs to enhance business sustainability. This article offers practical guidance for SMEs to achieve long-term sustainability while meeting market demands for responsible business practices.

Research background: In the context of Industry 4.0 and 5.0, competitiveness is intricately linked to innovativeness and ongoing technological advancements, posing a formidable challenge for countries and organizations aspiring to thrive in this environment. Within this framework, the significance of innovativeness is escalating, emerging as a crucial factor for the competitiveness of enterprises and economies alike. Purpose of the article: The article aims to present the structure and dynamics of research on the competitiveness of SMEs shaped on the basis of their innovativeness to further guide both research and management practice. Methods: This comprehensive bibliometric analysis delves into the Scopus database to uncover the leading authors, journals, and countries driving empirical research on SME competitiveness and innovation. The study utilizes the VosViewer software to graphically represent the overarching themes explored by researchers in this field. Additionally, an analysis of the selected articles identifies trends shaping the discourse on SME competitiveness and innovation. This multifaceted approach provides a holistic understanding of the current state of research in this domain, paving the way for future directions and insights. Findings & value added: In this study, the authors conduct a comprehensive analysis of the current research landscape on SME competitiveness and innovation in the digital transformation era. By identifying key challenges, opportunities, and strategies for SMEs, our findings offer valuable guidance for researchers, policymakers, and SMEs themselves in navigating the complexities of the digital transformation landscape.

Objectives: The objective of this study is to predict and analyze the mediating role of digital transformation (DT) innovation capability (IC) and digital literacy (DL) on the relationship between digital literacy (DL) and economic competitiveness (CP) of SMEs, by proposing a model construction.Methodology: The survey method was carried out by distributing research instruments to 99 respondents, the collected data was used to analyze the relationship between digital literacy, digital transformation, innovation ability, and competitiveness, and also used to test hypotheses. Evaluation of predictions through structural equation models with partial least squares-structural equation modeling (PLS-SEM).Finding: DL directly has a significant positive effect on CP. DL has a significant positive influence on DT. DL has a significant positive effect on IC. DT has a significant positive effect on CP. DT has a significant positive effect on IC. DT and IC serially have a mediating effect on the effect of DL on CP, each moderately mediating effect. Conclusion: The results of model measurement and the results of the evaluation of model suitability show that model suitability is achieved and guarantees model suitability. The results of the structural model path analysis show that all hypotheses are accepted, DT and IC serially have a mediating effect on the influence of DL on the economic competitiveness of SMEs. The novelty findings of this research produce a model of the economic competitiveness of SMEs in the digital economy era, which involves DL, DT, and IC. The implication is that to improve the effectiveness of highly competitive businesses in this era, DL, digital competence and digital transformation capabilities of human resources (HRDT) among SMEs need to be carefully prepared, and IC must be improved.

La transformación digital es un proceso tanto tecnológico como sociocultural que involucra la adopción de tecnologías digitales y modificaciones en los modelos de negocio y la estrategia de las firmas. La literatura que estudia relaciones entre la transformación digital y la competitividad de las empresas se incrementó en el periodo de postpandemia, sin embargo, las investigaciones antes de la pandemia son escasas, por lo cual el objetivo de esta investigación es analizar el efecto de la transformación digital en la competitividad de las empresas antes de esta crisis. Los datos que se utilizaron para el análisis son de las Encuestas Nacionales sobre Productividad y Competitividad de las Pymes en Sectores Estratégicos en México. El análisis se realizó en dos partes: I. geoestadístico para buscar clústeres geográficos de corte natural y II. estadístico mediante la regresión Ridge. Los resultados evidenciaron que tanto la transformación digital como la competitividad se distribuyen de manera desigual en los territorios; sin embargo, se encontró un efecto positivo de la transformación digital en la competitividad de estas. De acuerdo con lo anterior, se concluyó que las empresas que quieran aumentar su competitividad deben incrementar su transformación digital, por lo que los gobiernos deben continuar estableciendo políticas y programas de transformación digital en todos los sectores y en forma más equitativa.

This study aims to explore the utilization of digital mindset transformation in SME entrepreneurship through community engagement activities. In the rapidly evolving digital era, SMEs face complex challenges in adopting digital technologies and transforming their business behaviors. This community engagement involves training, guidance, and collaboration with SMEs to strengthen their understanding of the importance of digital mindset transformation. The main findings of this community engagement initiative demonstrate that digital mindset transformation can have positive impacts on SME entrepreneurship. SMEs that embrace digital mindset transformation tend to achieve better business growth, enhance operational efficiency, adapt to market changes, and make better strategic decisions. Furthermore, community engagement activities significantly contribute to the development of SME entrepreneurship, community development, and local economic empowerment. The potential implications of this initiative include improved quality and competitiveness of SMEs in the digital era. Therefore, recommendations for further development involve expanding collaborations among universities, governments, and relevant stakeholders, intensifying efforts in digital infrastructure development, and exploring other aspects of digital transformation such as cyber security and e-commerce.

Pathway towards SME competitiveness: Digital capability and digital business model innovation

This chapter shows the results of studying the relationship of three microeconomic variables—cost, price, and quality of products—in Apparel SMEs in the city of Bogotá. The findings allow the authors to conclude that there is a narrow correlation between said variables, which determines that entrepreneurs in the sector must complete previous analyses and put strategies to maintain productivity, competitiveness, and sustainability in international markets in place before deciding to export their products. The development of a country can be reached if its companies reach it as well. It is understood that, for some managers and business owners, the initiative to export is a path to reach greater coverage and profitability, a complicated task given that it requires that companies better their levels of competitiveness measured by various independent factors. The study concludes by showing some tools that relate the aforementioned variables and that may better the competitiveness of SMEs with a focus on exportation.

Smart technology is essential for integrating circular economy principles. This research investigates how conflict management strategies (collaboration, accommodation, avoidance, compromise, and competition) impact the adoption of smart technology, particularly blockchain, in Jordanian SMEs. Additionally, the study explores the moderating role of customer-centric green supply chain management in the relationship between blockchain adoption and circular economy principles. This research addresses a gap in the literature by focusing on Jordanian SMEs, an under-explored context. Data were collected from 421 senior managers, department heads, and executives of Jordanian SMEs, and analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM), to test the hypotheses and analyze complex relationships. The findings reveal that conflict management strategies are critical in blockchain adoption, with collaboration and compromise emerging as the most influential. Moreover, blockchain adoption positively impacts the implementation of circular economy principles. The moderating effect of customer-centric green supply chain management enhances the sustainability and competitiveness of SMEs through blockchain technology. This research contributes to theory and practice by providing valuable insights into the strategic role of conflict management in driving technological innovation and sustainability within the circular economy framework, particularly in the context of Jordanian SMEs.

This paper presents a comparative bibliometric analysis of digital transformation in small and medium enterprises, focusing on before and after the COVID-19 pandemic. Using data from the Scopus database, the study analyzes 1566 articles published between 2001 and 2024, focusing on pre-COVID (2001–2018) and post-COVID (2019–2024). Bibliometric tools, including VOSviewer and Biblioshiny, were employed to conduct performance analysis, scientific mapping, and co-occurrence analyses of keywords and co-authorship. The results demonstrate a substantial increase in research output post-COVID, particularly in areas such as the Internet of Things (IoT), cloud computing, and e-commerce. These technologies have become vital for the survival and competitiveness of SMEs in the post-pandemic world. However, the study also highlights significant challenges, including limited financial resources and a lack of skilled personnel, which have hindered SMEs’ ability to implement digital transformation fully. Government intervention, through financial assistance and strategic support, is identified as crucial in enabling SMEs to overcome these obstacles and successfully navigate the digital era. This analysis contributes to the growing body of literature on SMEs’ digitalization, offering key insights for policymakers, researchers, and businesses aiming to adapt to the evolving digital landscape in a post-pandemic economy.

Objectives: As a result of the COVID-19 pandemic, many MSMEs in Indonesia have experienced losses and some have even gone bankrupt. To try to keep their business running, MSMEs must carry out digital transformation, including by selling their merchandise via the internet, using social media such as Instagram and Facebook, as well as online markets including Tokopedia, Shopee, Bukalapak, Blibli, and Lazada. By using the internet for business, it is necessary to know the role of e-business technology and social media marketing. Therefore, this research examines how perceived usefulness, perceived ease of use, and digital transformation influence the sustainability of SMEs through e-business technology and social media marketing.Methodology: This research uses quantitative methods with a type of causal research. The population in this study were members of the CUP Bestari UKM community, numbering around 600 SMEs. To determine the sample size, the convenience sampling method was used, the sampling process was from the population closest and easiest to reach for researchers, taken from members of the CUP Bestari SMEs participating in the November 2021 bazaar at the Periuk District Hall, Tangerang City, totaling 108 samples. Primary data collection was carried out using a questionnaire by sending a Google Forms link to members of the UKM CUP Bestari community via WhatsApp. Then the data was analyzed using partial square rent structural equation modeling techniques. Finding: As a result, perceived usefulness and perceived ease of use have a significant influence on e-business technology. Perceived ease of use significantly affects social media marketing, perceived usefulness does not affect social media marketing. In addition, e-business technology significantly influences SMEs' sustainability, and e-business technology also influences SMEs' sustainability. Perceived usefulness and perceived ease of use influence SME sustainability both through e-business technology and through social media marketing. Meanwhile, digital transformation does not influence social media marketing both direct and indirect through social media marketing as a mediator.Conclusion: SME sustainability is influenced by factors of perceived usefulness, and perceived ease of use with e-business technology, and social media marketing as mediating variables. Another factor, namely digital transformation does not influence social media marketing both directly and indirectly through social media marketing as a mediator. In future research, it is recommended to use digital transformation as a variable that moderates the achievement of SME sustainability.

This study examines the impact of digital transformation, government support, human resource capacity, and innovation on the financial performance and sustainability of SMEs in the Soloraya region. The research method used is quantitative, with data collected through surveys using both Google Forms and paper questionnaires. A total of 137 respondents were analyzed using SEM-PLS in this study. The results indicate that digital transformation, human resource capacity, and innovation have a positive impact on financial performance. Additionally, government support, human resource capacity, innovation, and financial performance positively affect the sustainability of SMEs. However, digital transformation does not influence the sustainability of SMEs, and government support does not affect financial performance. These findings provide important insights for business practitioners and other stakeholders to enhance the performance and sustainability of SMEs in Indonesia.

The economy of Ghana has attained a middle-income status and is seeking to advance; hence, an analysis of the economy based on the supply chain management of energy is significant to provide the quantitative results and comprehensive information about how and where the en- ergy use affects economic growth and development. This information is necessary to enable the government to respond promptly with measures that will improve the supply of energy to ensure the profitability and competitiveness of firms. The objective of this paper is to analyse the effect of electric power fluctuations on the profitability and competitiveness of SMEs, using SMEs operating within the Accra business district of Ghana as a case study. This research is a cross- sectional survey and it adopted a mixed method approach. A sample of 70 Ghanaian SMEs was selected using a systematic sampling approach. Inclusion criterion for the selection of the SMEs was their location within the business district of Accra as well as their use of electricity in their main business operation. Data was collected with an interviewer-administered structured ques- tionnaire which focused on the effect of power fluctuation on the operations of SMEs, especially on the profitability and its resulting effect on the firms' competitiveness. The SPSS statistical package was used to group and analyse the data. The study is a single-factor analysis of the exog- enous problems facing the Small and Medium Enterprise sector. The study found that without reliable energy supply, SMEs are unable to produce in increased quantities and quality leading to poor sales hence low levels of profitability. It is established that low profitability negatively affects Return on Assets (ROA) and Return on Investment (ROI) of SMEs. Consequently, if the level of profitability is high, it is expected that ROA and ROI will be high and vice versa. With high profits, SMEs are able to increase their competitiveness.