The Role of Digital Technologies in Creating Competitive Advantages of Modern Entrepreneurship
Abstract
Digital technologies have become a key factor in transforming entrepreneurship and strengthening its competitiveness in the current global instability and growing competition. Digitalization is especially important for countries that are undergoing post-crisis recovery and integration into the European space, where it forms new mechanisms for economic growth, opens access to new markets, and optimizes business processes. The aim of this article is to assess the impact of digital technologies on the creation of competitive advantages of enterprises in Moldova, Romania, Ukraine, Poland, and Germany using an econometric approach.
The research methodology is based on a panel data model for 2019–2024 considering fixed effects. The model includes five independent variables: the level of digitalization, the number of innovations, the share of R&D spending, export orientation, and enterprise size.
The modelling results showed that R&D has the strongest positive impact (β=8.70), followed by digitalization (β=0.52), and innovation (β=0.31). The highest average competitiveness was recorded in Germany (3.62), the lowest - in Poland (3.27), while Ukraine has a consistently positive dynamic.
The developed model confirms the importance of comprehensive digital transformation for ensuring long-term market advantage. Further studies may expand the model, considering industry specifics, digital environmental friendliness, sustainability, and regional characteristics of the countries of Central Asia, the Balkans, and the Baltics.
References
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[2] Baran, G., and Berkowicz, A. (2021). Digital platform ecosystems as living labs for sustainable entrepreneurship and innovation: A conceptual model proposal. Sustainability, 13(11). DOI:10.3390/su13116494
[3] Bican, P. M., and Brem, A. (2020). Digital business model, digital transformation, digital entrepreneurship: Is there a sustainable “digital”? Sustainability, 12(13): 5239. DOI: 10.3390/su12135239
[4] Contreras, F., and Dornberger, U. (2023). Sustainable entrepreneurship as a field of knowledge: Analyzing the Global South. Sustainability, 15(1): 31. DOI: 10.3390/su15010031
[5] Del Río Castro, G., González Fernández, M. C., and Uruburu Colsa, Á. (2021). Unleashing the convergence amid digitalization and sustainability towards pursuing the Sustainable Development Goals (SDGs): A holistic review. Journal of Cleaner Production, 280: 122204. DOI: 10.1016/j.jclepro.2020.122204
[6] Fernandes, C., Pires, R., and Gaspar Alves, M.‑C. (2022). Digital entrepreneurship and sustainability: The state of the art and research agenda. Economies, 11(1): 3. DOI: 10.3390/economies11010003
[7] Fuerst, S., Sanchez‑Dominguez, O., and Rodriguez‑Montes, M. A. (2023). The role of digital technology within the business model of sustainable entrepreneurship. Sustainability, 15(14). DOI:10.3390/su151410923
[8] Gavrila-Gavrila, S., and De Lucas Ancillo, A. (2022). Entrepreneurship, innovation, digitization and digital transformation toward sustainable growth within the pandemic environment. International Journal of Entrepreneurial Behavior & Research, 28(1): 45–66. DOI: 10.1108/IJEBR-05-2021-0395
[9] George, G., Merrill, R. K., and Schillebeeckx, S. J. D. (2021). Digital sustainability and entrepreneurship: How digital innovations are helping tackle climate change and sustainable development. Entrepreneurship Theory and Practice, 45(5): 999–1027. DOI: 10.1177/1042258719899425
[10] Gregori, P., and Holzmann, P. (2020). Digital sustainable entrepreneurship: A business model perspective on embedding digital technologies for social and environmental value creation. Journal of Cleaner Production, 272: 122817. DOI: 10.1016/j.jclepro.2020.122817
[11] Guandalini, I. (2022). Sustainability through digital transformation: A systematic literature review for research guidance. Journal of Business Research, 148: 456–471. DOI: 10.1016/j.jbusres.2022.05.003
[12] Huang, Q., and Tang, Y. (2025). Enterprise digital transformation strategy: The impact of digital platforms. Entropy, 27(3): 295. DOI: 10.3390/e27030295.
[13] Jang, S. H., and Lee, C. W. (2025). Digital entrepreneurial orientation, technology absorptive capacity, and digital innovation on business performance. Systems, 13(4): 300. DOI: 10.3390/systems13040300.
[14] Khanh, Q. V., Chehri, A., Quy, N. M., Han, N. D., and Ban, N. T. (2023). Innovative trends in the 6G era: A comprehensive survey of architecture, applications, technologies, and challenges. IEEE Access, 11: 39824–39844. DOI: 10.1109/ACCESS.2023.3269297
[15] Koldovskiy, A. (2024). Strategic infrastructure transformation: Revolutionizing financial sector management for enhanced success. Acta Academiae Beregsasiensis. Economics, 5. DOI:10.58423/2786-6742/2024-5-323-332
[16] Kryvoviaziuk, I. (2013). Implementation of matrix approach to management of enterprise's logistic development based on a concept of ‘demand-driven techniques’. Economic Annals-XXI, 9–10(1): 60–64.
[17] Kussainov, K., et al. (2023). Anti-corruption management mechanisms and the construction of a security landscape in the financial sector of the EU economic system against the background of challenges to European integration: Implications for artificial intelligence technologies. Economic Affairs (New Delhi), 68(1): 509-521. DOI: 10.46852/0424-2513.1.2023.20
[18] Li, Y. (2025). Literature review on business model innovation: Digital technology perspective and suggestions for future research. SAGE Open, 15(2): 21–58. DOI: 10.1177/2158244025132806.
[19] Lichtenthaler, U. (2021). Digitainability: The combined effects of the megatrends digitalization and sustainability. Journal of Innovation Management, 9(2): 64–80. DOI: 10.24840/2183-0606_009.002_0006
[20] Lüdeke-Freund, F. (2020). Sustainable entrepreneurship, innovation, and business models: Integrative framework and propositions for future research. Business Strategy and the Environment, 29(2): 665–681. DOI: 10.1002/bse.2396
[21] Man, G. M., et al. (2025). The role of digital technologies and intellectual property management in driving sustainable innovation. Sustainability, 17(7): 3135. DOI: 10.3390/su17073135.
[22] Manea, D. I., Istudor, N., Dinu, V., and Paraschiv, D. M. (2021). Circular economy and innovative entrepreneurship, prerequisites for social progress. Journal of Business Economics and Management, 22(5): 1342–1359. DOI: 10.3846/jbem.2021.15547
[23] Melnyk, D. S., Parfylo, O. A., Butenko, O. V., Tykhonova, O. V., and Zarosylo, V. O. (2022). Practice of the member states of the European Union in the field of anti-corruption regulation. Journal of Financial Crime, 29(3): 853-863. DOI: 10.1108/JFC-03-2021-0050
[24] Nikonenko, U., Shtets, T., Kalinin, A., Dorosh, I., and Sokolik, L. (2022). Assessing the policy of attracting investments in the main sectors of the economy in the context of introducing aspects of Industry 4.0. International Journal of Sustainable Development and Planning, 17(2). DOI: 10.18280/ijsdp.170214
[25] Omidvar, M., Confetto, M. G., and Palazzo, M. (2025). Business model innovation: A bridge between corporate social responsibility and successful performance for medium-size enterprises (SMEs) in the digital era. Systems, 13(5): 378. DOI: 10.3390/systems13050378.
[26] Pham, M., Nhan, T., Vuong, N., Nguyen, M., Nguyen, P., Sandiramourty, S., Nguyen, T., Pham, N., & Nguyen, T. (2024). Empowering Vulnerable Populations through Technology: Innovations and Challenges in Social Work. Journal of Research in Educational Sciences, 15(1), 5-16. DOI:10.14505/jres.v15.1(17).01
[27] Prokopenko, O., Koldovskiy, A., Khalilova, M., Orazbayeva, A., and Machado, J. (2024). Development of blockchain technology in financial accounting. Computation, 12(12): 250. DOI:10.3390/computation12120250
[28] Satalkina, L., and Steiner, G. (2020). Digital entrepreneurship and its role in innovation systems: A systematic literature review as a basis for future research avenues for sustainable transitions. Sustainability, 12(7): 2764. DOI: 10.3390/su12072764
[29] Shafranova, K., Navolska, N., and Koldovskyi, A. 2024. Navigating the digital frontier: A comparative examination of Central Bank Digital Currency (CBDC) and the Quantum Financial System (QFS). Socio-Economic Challenges, 8(1): 90–111. DOI: 10.61093/sec.8(1).90-111.2024
[30] Tim, Y., Cui, L., and Sheng, Z. (2021). Digital resilience: How rural communities leapfrogged into sustainable development. Information Systems Journal, 31(2): 323–345. DOI: 10.1111/isj.12312
[31] Verhoef, P. C., et al. (2021). Digital transformation: A multidisciplinary reflection and research agenda. Journal of Business Research, 122: 889–901. DOI: 10.1016/j.jbusres.2019.09.022
[32] Zaman, S. A. A., Vilkas, M., Zaman, S. I., and Jamil, S. (2025). Digital technologies and digitalization performance: The mediating role of digitalization management. Journal of Manufacturing Technology Management, 36(2): 307–333. DOI: 10.1108/JMTM-04-2024-0176.
[33] Zheng, S., and Zhou, Y. (2025). Digital Transformation and competitive advantages in manufacturing: The role of business model innovation. Economies 13(7): 209. DOI: 10.3390/economies13070209.
[34] Deloitte. (2023). Digital transformation 2023: Executive survey report. Deloitte Insights. https://www2.deloitte.com/
[35] European Commission. (2024). Eurostat regional yearbook 2024. Publications Office of the European Union. https://ec.europa.eu/eurostat
[36] Gartner. (2023). Market trends: Digital transformation services, worldwide. Gartner Research. https://www.gartner.com
[37] International Monetary Fund. (2023). World economic outlook database: October 2023 edition. https://www.imf.org/en/Publications/WEO/weo-database/2023
[38] International Telecommunication Union. (2023). Measuring digital development: Facts and figures 2023. https://www.itu.int/en/ITU-D/Statistics
[39] McKinsey & Company. (2023). The state of AI and digital transformation in business. https://www.mckinsey.com/
[40] National Bureau of Statistics of the Republic of Moldova. (2024). Business statistics 2019–2023. https://statistica.gov.md/
[41] OECD. 2023. Digital economy outlook (2023). 10.1787/bbe6b9b5-en
[42] Polish Central Statistical Office. (2024). Statistical yearbook of the Republic of Poland 2023. https://stat.gov.pl/
[43] PwC. (2023). The future of industries: Technology outlook 2023. PricewaterhouseCoopers. https://www.pwc.com/
[44] State Statistics Service of Ukraine. (2024). Enterprises activity report: 2019–2023. https://ukrstat.gov.ua/
[45] Statista. (2024). Digital economy and enterprise data dashboard. https://www.statista.com
[46] United Nations Conference on Trade and Development. (2023). Digital Economy Report 2023. https://unctad.org/
[47] World Bank. (2024). World Development Indicators. https://databank.worldbank.org/source/world-development-indicators
[48] World Trade Organization. (2023). World Trade Report: Digital technologies and global trade. https://www.wto.org/
Published
2025-09-30
How to Cite
PROKHORUK, Roman et al.
The Role of Digital Technologies in Creating Competitive Advantages of Modern Entrepreneurship.
Theoretical and Practical Research in Economic Fields, [S.l.], v. 16, n. 3, p. 679 - 690, sep. 2025.
ISSN 2068-7710.
Available at: <https://journals.aserspublishing.eu/tpref/article/view/9110>. Date accessed: 08 oct. 2025.
doi: https://doi.org/10.14505/tpref.v16.3(35).11.
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