Digital Transformation in Small and Medium-Sized Enterprises: Approaches and Challenges (Focus: Agricultural Sector of Georgia)
Eter Kharaishvili1* and Nino Lobzhanidze2
1Professor, Microeconomics Department, Ivane Javakhishvili Tbilisi State University, Georgia
2Assistant Professor, Microeconomics Department, Ivane Javakhishvili Tbilisi State University, Georgia
*Corresponding Author: Eter Kharaishvili, Ivane Javakhishvili Tbilisi State University, 2 University Street, Tbilisi, Georgia.
Published: December 19, 2023
Abstract
Introduction: The digitization process is multifaceted and serves different purposes. This process requires the effective use of various strategic assets. The paper analyzes the challenges and opportunities of the digitization process in small and medium enterprises in the example of Georgia. Various approaches have been used as research methodology, in particular, local and international scientific papers and official reports have been studied from various scientific bases. Analysis and comparison methods are used.
Aim and tasks: The main purpose of the article is to highlight the main challenges and approaches for promoting the digitization process in SMEs in Georgia. To achieve this goal foreign experience in different countries in terms of stimulating digital transformation has been studied.
Research results: The agricultural sector of Georgia is taken as the focus of the research. Accordingly, in the agricultural sector, the number of representatives of small and medium-sized businesses was initially determined. As the findings of the analysis revealed, small and medium-sized enterprises have less opportunity to implement digital transformation - the smaller the enterprise, the less likely it is to adopt new digital technologies. The impact of the number of Internet and social media users on productivity is positive.
Conclusions: Conclusions are made on the main barriers to digital transformation in SMEs. As a result of the analysis, conclusions were made and relevant recommendations were written.
Keywords: Digital transformation; Digital infrastructure; Small and medium-sized enterprises (SMEs); Agricultural sector; Digitization barriers; Online community
.