Business Strategy in the Digital Age: Empowering SMEs for Sustainable Growth

Special Issue Editors


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Guest Editor
School of Management Sciences, Department of Business Management, Nelson Mandela University, South Campus, Gqeberha 6031, South Africa
Interests: sustainability; finance; general management

E-Mail Website
Guest Editor
School of Management Sciences, Department of Business Management, Nelson Mandela University, South Campus, Gqeberha 6031, South Africa
Interests: strategic management; sustainability; digital transformation

Special Issue Information

Dear Colleagues,

We warmly invite contributions to a Special Issue of Administrative Sciences (a Scopus-indexed and DHET-accredited journal) entitled “Business Strategy in the Digital Age: Empowering SMEs for Sustainable Growth,” which aims to explore how small and medium-sized enterprises (SMEs) can leverage digital transformation, innovation, and sustainability to achieve strategic success in today’s dynamic digital economy.

SMEs are widely recognised as pivotal drivers of economic growth, innovation, and job creation globally (Manyaga, Goldman, & Thomas, 2024). They constitute over 90% of registered businesses in South Africa, contribute between 34 and 57% to GDP, and employ nearly half of the workforce (Takawira, & Pooe, 2025). Similarly, SMEs are vital to economic and employment growth in East Africa (Kato, Chiloane-Tsoka & Mugambe, 2024), while in Europe they employ 66% of the workforce and generate 75% of industrial output (Gallotta, Baranova & Paterson, 2023). Despite their critical economic role, SMEs face substantial challenges in the digital era, including limited access to finance, inadequate digital infrastructure, skills gaps, and difficulties in integrating sustainability into business strategies (Mavimbela & Dube, 2016).

The rapid advancement of digital technologies such as artificial intelligence, e-commerce, and data analytics offers unprecedented opportunities for SMEs to innovate, expand market reach, and enhance competitiveness (Takawira & Pooe, 2025). Digital transformation also enables sustainable innovation, such as eco-efficiency, waste reduction, and renewable energy integration, which is positively associated with SME growth. Yet, many SMEs lack formal sustainability strategies, face high failure rates (70–80% within five years in South Africa), and struggle to align economic objectives with social and environmental goals (Manyaga, Goldman, & Thomas, 2024).

This Special Issue aims to advance knowledge on how SMEs can integrate digital transformation, innovation, and sustainability into their business strategies to achieve sustainable growth. It aligns with the journal’s scope by examining administrative and strategic processes within organisations, specifically focusing on SMEs in the digital era. The scope is broad, encompassing diverse industries, regions, and methodologies (e.g., empirical studies, theoretical frameworks, and case studies), provided contributions align with the theme.

Focus

  • To explore how SMEs can leverage digital transformation, innovation, and sustainability to achieve strategic success in the digital economy;
  • To examine the opportunities and challenges SMEs face in integrating digital tools and sustainable practices into their business strategies.

Scope

  • Open to diverse contexts, industries, and regions, focusing on SMEs within the digital age;
  • Welcomes empirical studies, theoretical frameworks, and case-based research that address digital transformation, sustainability, and strategy in SMEs.

Purpose

  • To provide actionable insights and frameworks that support SME leaders in achieving sustainable growth;
  • To inform policy, advance academic knowledge, and contribute to practical solutions for SMEs navigating digital and sustainability transitions.

The Special Issue seeks to deliver practical frameworks for SME leaders, inform policy development, and contribute to academic discourse on digital strategies, with the goal of publishing at least 10 articles for potential inclusion in a printed book.

Suggested Themes and Article Types

In this Special Issue, original research articles and reviews are welcome, and research areas may include, but are not limited to, the following topics:

  • Digital transformation strategies for SMEs (e.g., AI, e-commerce, etc.);
  • Innovative business models for sustainable SME growth;
  • Sustainability integration into SME strategic planning;
  • Policy frameworks to support SME digitalization;
  • Overcoming barriers to digital adoption in SMEs (e.g., resource constraints);
  • Cybersecurity and digital risk management for SMEs;
  • Policy and ecosystem support for digital SMEs.

Please see the following examples of existing articles linked to these research themes (to serve as a guide for article types):

Achieng, M., & Malatji, M. (2022). Digital transformation of small and medium enterprises in sub-Saharan Africa: A scoping review. The Journal for Transdisciplinary Research in Southern Africa, 18(1), Article a1257. https://doi.org/10.4102/td.v18i1.1257

Ammeran, M. Y., & Latip, M. S. A. (2024). Influencing factors of digital transformation in developing economies: A case study of Malaysia’s SME sector. International Journal of Business and Society, 25(2), 696–712. https://doi.org/10.33736/ijbs.7623.2024

Arroyabe, M. F., Arranz, C. F. A., & de Arroyabe, J. C. F. (2024). The integration of circular economy and digital transformation as a catalyst for small and medium enterprise innovation. Business Strategy and the Environment, 33(7), 7162–7181. https://doi.org/10.1002/bse.3858

Bennett, R., Kottasz, R., & Yuan, P.-Y. (2025). The mediating role of digital innovation capability on the relationship between organisational agility and performance: The case of the UK arts and culture sector. Cogent Business & Management, 12(1). https://doi.org/10.1080/23311975.2025.2465893

Berman, T., Schallmo, D., & Kraus, S. (2024). Strategies for digital entrepreneurship success: The role of digital implementation and dynamic capabilities. European Journal of Innovation Management, 27(9), 198–222. https://doi.org/10.1108/EJIM-01-2024-0081

Cheng, C.-H., Tang, B.-J., & Cheng, Y.-R. (2024). Strategies and tools for small- and medium-sized enterprises (SMEs) to move toward green operations: The case of the Taiwan metal industry. Sustainability, 16(11), 4705. https://doi.org/10.3390/su16114705

Chonsawat, N., & Sopadang, A. (2020). Defining SMEs’ 4.0 readiness indicators. Applied Sciences, 10(24), 8998. https://doi.org/10.3390/app10248998

Cvijić Čović, M., Borocki, J., Djaković, V., Vekić, A., & Okanović, A. (2023). Entrepreneurial strategic orientation: Prerequisite for SMEs’ success in IoT and digital transformation sphere? Systems, 11(6), 272. https://doi.org/10.3390/systems11060272

Gaaje, N., Ogundaini, O., & Mlitwa, N. (2025). Optimising data management systems for SME scalability in South Africa: A vendor perspective. South African Journal of Business Management, 56(1), Article a4924. https://doi.org/10.4102/sajbm.v56i1.4924

Hansen, A. K., Christiansen, L., & Lassen, A. H. (2024). Technology isn’t enough for Industry 4.0: On SMEs and hindrances to digital transformation. International Journal of Production Research. Advance online publication. https://doi.org/10.1080/00207543.2024.2305800

Kumar, L., & Sharma, R. K. (2025). Adapting to Industry 4.0: Evaluating SMEs’ preparedness through a comprehensive digital readiness assessment maturity model by validating stakeholders’ perceptions. Business Process Management Journal. Advance online publication. https://doi.org/10.1108/BPMJ-07-2024-0546

Mick, M. M. A. P., Kovaleski, J. L., & Chiroli, D. M. G. (2024). Sustainable digital transformation roadmaps for SMEs: A systematic literature review. Sustainability, 16(19), 8551. https://doi.org/10.3390/su16198551

Nguyen, H. T. (2025). Digital transformation for SMEs through an optimized approach to business process management. Management, 1, 362–403. https://doi.org/10.58691/man/202535

Rubio-Andrés, M., Linuesa-Langreo, J., Gutiérrez-Broncano, S., & others. (2024). Tackling digital transformation strategy: How it affects firm innovation and organizational effectiveness. Journal of Technology Transfer. Advance online publication. https://doi.org/10.1007/s10961-024-10164-9

Serirungsun, P., Badir, Y. F., & Frank, B. (2024). Achieving digital transformation: The effect of open innovation strategies at different stages of SME development in an emerging market. IEEE Transactions on Engineering Management, 71, 15555–15568. https://doi.org/10.1109/TEM.2024.3487297

Syah, D. H., Prayogo, R. R., Nugroho, Y., Masyhuri, M., & Sagala, G. H. (2025). In search of the digital transformation framework of SMEs: A bibliometric analysis. Journal of Entrepreneurship and Public Policy. Advance online publication. https://doi.org/10.1108/JEPP-09-2024-0160

We look forward to receiving your contributions.

References:

Kato, AI., Chiloane-Tsoka, EG & Mugambe, P. 2024. Unlocking the potential: the influence of sustainable finance solutions on the long-term sustainability of small and medium-sized enterprises. Cogent Business & Management, 11(1): 2391122. https://doi.org/10.1080/23311975.2024.2391122

Gallotta, B., Baranova, P., & Paterson, F. 2024. Pro-environmental enterprise support: Developing a framework to unlock the potential of SMEs in sustainability transitions. Local Economy, 38(6): 582-605. https://doi.org/10.1177/02690942241237977

Manyaga, M.B., Goldman, G.A. & Thomas, P. 2024. Sustaining SMEs through Indigenous Knowledge Systems: Exploring opportunities and challenges. Southern African Journal of Entrepreneurship and Small Business Management, 16(1), a882. https://doi.org/10.4102/ sajesbm.v16i1.882

Mavimbela, R. & Dube, E. 2016. Can an Internet Adoption Framework be Developed for SMEs in South Africa. Journal of Entrepreneurship and Innovation in Emerging Economies, 2(2) 120–135.

Takawira, B. & Pooe, D. 2025 SME readiness for Industry 5.0: A systematic literature review. Southern African Journal of Entrepreneurship and Small Business Management, 17(1): a946. https://doi.org/ 10.4102/ sajesbm.v17i1.946

Prof. Dr. Miemie Struwig
Dr. Storm Watson
Guest Editors

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Keywords

  • small and medium enterprises (SMEs)
  • digital transformation
  • innovation
  • sustainability
  • business strategy
  • digital age
  • strategic management
  • SME competitiveness
  • sustainable growth
  • digital technologies

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Published Papers (1 paper)

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Research

19 pages, 2058 KB  
Article
From Informality to Formality: The Interplay of Economic Motivation, Future Intention, and Behavioral Control in Entrepreneurial Transitioning
by Adebanji Adejuwon William Ayeni
Adm. Sci. 2025, 15(11), 451; https://doi.org/10.3390/admsci15110451 - 18 Nov 2025
Viewed by 420
Abstract
Informal entrepreneurship is a pervasive feature of developing economies, yet the psychological drivers of the transition to formal entrepreneurship remain poorly understood. Grounded in the Theory of Planned Behaviour, this research investigates the mediating role of behavioural control in the relationship between economic [...] Read more.
Informal entrepreneurship is a pervasive feature of developing economies, yet the psychological drivers of the transition to formal entrepreneurship remain poorly understood. Grounded in the Theory of Planned Behaviour, this research investigates the mediating role of behavioural control in the relationship between economic motivation and future intentions’ transition to formalisation among informal entrepreneurs in Nigeria. Using a cross-sectional survey design, primary data were collected from 544 informal electronics entrepreneurs across six major marketplaces in South-West Nigeria. The data were analysed using structural equation modelling in the PLS 4 software. The findings showed that behavioural control significantly and substantially mediates the positive direct effect of economic motivation on formalisation intention. This indicates that informal entrepreneurs are more likely to translate financial aspirations into concrete plans for formalisation when they possess a strong belief in their own capabilities to navigate the process successfully. Consequently, we conclude that effective policy must move beyond purely financial incentives to embrace strategies that build entrepreneurial skills, simplify regulatory procedures, and enhance the self-efficacy of informal entrepreneurs, thereby empowering them to confidently transition into the formal economy. Full article
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