Digital Transformation of Small and Medium Enterprises in Growth Economics – Antecedents and Consequences

Abstract Emerging economies depend much on small and medium enterprises (SMEs) for job development and economic expansion. Despite their importance, SMEs in growing nations have difficulty implementing digital transformation because of contextual restrictions and scarce resources. Utilizing qualitative data from 50 interviews with SME owners in India, this research examines the causes and effects of digital transformation in conventional SMEs. According to the results, key enablers of digital adoption are internal leadership, technological know- how, customer readiness, and institutional support. The results cover operational efficiency, strategic agility, and increased customer engagement. For g-SMEs, the research suggests a revised Technology– Organization–Environment (T-O-E) framework and presents policy and administrative advice.