Management Challenges for Business in Digital Economy: New Pathways and Research Trends

A special issue of Economies (ISSN 2227-7099).

Deadline for manuscript submissions: closed (31 December 2022) | Viewed by 49481

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Department of Management, Business Management Faculty, Vilnius Gediminas Technical University, Saulėtekio av. 11, LT–10223 Vilnius, Lithuania
Interests: internationalization and international entrepreneurship; entrepreneurship and human capital; entrepreneurship and social capital; regional development; strategic management; human resource management
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Guest Editor
Department of Management, Vilnius Gediminas Technical University, Saulėtekio av. 11, LT-10223 Vilnius, Lithuania
Interests: organization management and development; leadership and human resource management; management of social issues in organization and among consumers behaviour

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Guest Editor
Department of Management, Vilnius Gediminas Technical University, Saulėtekio av. 11, LT-10223 Vilnius, Lithuania
Interests: green marketing; customer loyalty; customer behavior; marketing communication

Special Issue Information

Dear Colleagues,

The digital economy has significantly impacted countries throughout the world by contributing to the growth of the economy and the further progress of societies. Recent developments demonstrate that the information and innovation-driven era triggered integration of traditional activities and digital technologies. Moreover, the rise of innovation has been accelerating in emerging industries such as cleantech, the new generation of information technology, biotechnology, and high-end equipment manufacturing. The estimations provided by the World Economic Forum predict that “new value creation over the next decade will be based on digitally enabled platform business models” (www.weforum.org). Therefore, traditional organizations must change the approaches adopted and capture value in the context of digital disruptions. These tendencies raise a number of management challenges that need to be solved by the efforts of the scientific community. Therefore, this Special Issue provides the platform for a fruitful discussion and the development of relevant theories.

What novel techniques are leading to ground-breaking theories? To answer this question, researchers are encouraged to integrate new ideas from other disciplines. The extension of general systems theory in the field of organizations, aiming to transform prevailing approaches, is a classic example of such integration. Furthermore, researchers are encouraged to apply new methods, which would be helpful for theorizing. Management challenges appear at many different levels: micro, mezzo, and macro. Thus, we have to answer the following questions: What is the role of employees in the digital transformation of businesses? What are some fruitful ways to deal with the challenges of new methods, approaches to work, and attempts to maintain the high performance of organizations? How can we balance the needs of employees and the demands of owners and managers? How are the processes and capabilities of organizations changing and how do these changes influence performance? How do the dynamics of competition, networking, and pressure groups shape organizations and what managerial approaches are relevant in this context? How does consumer behaviour shape the market situation and challenges of an organization? How can we respond to the challenges of economic disruptions and technological and social changes? Thus, this Special Issue contributes to closing these gaps in the scientific literature. High-quality papers are warmly welcomed.

Dr. Renata Korsakienė
Dr. Laima Jesevičiūtė-Ufartienė
Dr. Neringa Vilkaitė-Vaitonė
Guest Editors

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Keywords

  • organization and management
  • strategic management
  • innovation management
  • organizational restructuring
  • strategy
  • stakeholders
  • business models
  • international management
  • marketing
  • digital marketing
  • consumer behaviour
  • leadership
  • human resource management
  • digital recruitment
  • engagement of employees
  • artificial intelligence in an organization
  • risk management
  • research methods
  • comparative analysis
  • bibliometric analysis
  • systematic literature review

Published Papers (10 papers)

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Research

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14 pages, 289 KiB  
Article
Investigating the Impact of Digital Transformation on the Labor Market in the Era of Changing Digital Transformation Dynamics in Saudi Arabia
by Masahina Sarabdeen and Hind Alofaysan
Economies 2023, 11(1), 12; https://doi.org/10.3390/economies11010012 - 04 Jan 2023
Cited by 6 | Viewed by 4495
Abstract
In Saudi Arabia, limited studies have developed models related to measuring the impact of the digital economy on the labor market. This model concerns the agricultural, service, and industrial sectors in Saudi Arabia. This study further investigates the relationship between digitalization, labor productivity, [...] Read more.
In Saudi Arabia, limited studies have developed models related to measuring the impact of the digital economy on the labor market. This model concerns the agricultural, service, and industrial sectors in Saudi Arabia. This study further investigates the relationship between digitalization, labor productivity, and unemployment using the ARDL error correction method for time-series data obtained from the World Bank database for the period of 2001–2019. The findings of this study illustrate, digital variables such as fixed broadband subscriptions (LNFBS), mobile cellular subscriptions (LNMCS), and computer, communications, and other services (LNCCO) do not significantly affect the labor market in the agricultural sector. LNMCS and LNCCO do not influence the service sector. However, they are negatively influencing the industrial sector and labor productivity. In contrast, LNFBS has a positive impact on both the service and industrial sectors. Interestingly, all three digital variables significantly reduce unemployment in the long run in Saudi Arabia. However, in the short run, digitalization does not have a positive impact on the economy. This study hopes to benefit policymakers in considering how to reorganize the socioeconomic infrastructure to balance economic growth through greater technology and the utilization of the country’s human resources. Full article
15 pages, 1490 KiB  
Article
Digital Entrepreneurship and Sustainability: The State of the Art and Research Agenda
by Catarina Fernandes, Rui Pires and Maria-Ceu Gaspar Alves
Economies 2023, 11(1), 3; https://doi.org/10.3390/economies11010003 - 20 Dec 2022
Cited by 7 | Viewed by 4824
Abstract
Digital technologies have changed and disrupted the dynamics of the economy and society as a whole, offering new opportunities for entrepreneurs with potential impact on economic, environmental, and social value creation. This paper examines the scientific research on digital entrepreneurship (DE) and sustainability [...] Read more.
Digital technologies have changed and disrupted the dynamics of the economy and society as a whole, offering new opportunities for entrepreneurs with potential impact on economic, environmental, and social value creation. This paper examines the scientific research on digital entrepreneurship (DE) and sustainability based on data from Scopus database. The main purpose is to identify both the predominant themes and further research opportunities to this topic. This study uses a bibliometric analysis, analyzing and synthesizing research on DE and sustainability, based on a total of 58 publications. Co-word analysis used to identify the conceptual structure reveals three thematic clusters: (1) innovation and entrepreneurship, (2) digital transformation: strategy and business models, and (3) sustainability and sustainable development goals. For each thematic cluster, the most significant contributions are presented. Further, this paper offers a future research agenda and holds significant implications for the theory and practice of the different subtopics of DE and sustainability. Full article
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20 pages, 848 KiB  
Article
Effects of Relational Benefits in the Model of Customers’ Benefits and Relationship Quality in Vietnam
by Phuong T. Nguyen, Hieu V. Cao, Hiep M. Phuoc and Phong T. Tran
Economies 2022, 10(11), 283; https://doi.org/10.3390/economies10110283 - 11 Nov 2022
Viewed by 2048
Abstract
With the aim of comparing the influence of economic benefits with social benefits in the model of integrating customer benefits and relationship quality in the context of university–enterprise relationship research in Ho Chi Minh City (HCMC), Vietnam. From the perspective of enterprises, a [...] Read more.
With the aim of comparing the influence of economic benefits with social benefits in the model of integrating customer benefits and relationship quality in the context of university–enterprise relationship research in Ho Chi Minh City (HCMC), Vietnam. From the perspective of enterprises, a study combining qualitative and quantitative research was carried out. Data for the main study were collected from 486 enterprises using an online survey. The research model and hypotheses are tested by analyzing the structural equation model. The results of examining the influence of economic benefits and social benefits in the research model indicate that the influence of economic benefits is more significant than the influence of social benefits. This is a new finding of this study in comparison with previous studies on relational benefits. In addition, the study also pointed out that economic benefits and social benefits have a direct impact on perceived service quality. Full article
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10 pages, 243 KiB  
Communication
Stablecoin-Based Digital Trading and Investment Platforms and Their Potential in Overcoming Sanctions Restrictions
by Elena Vladimirovna Travkina, Alim Borisovich Fiapshev and Marianna Tolevna Belova
Economies 2022, 10(10), 246; https://doi.org/10.3390/economies10100246 - 09 Oct 2022
Cited by 2 | Viewed by 1925
Abstract
The current article summarizes the main properties of stablecoins and explores their potential use in digital platforms to solve problems of supporting foreign trade and investment processes in countries subjected to restrictions on a wide range of its interactions with foreign countries, companies [...] Read more.
The current article summarizes the main properties of stablecoins and explores their potential use in digital platforms to solve problems of supporting foreign trade and investment processes in countries subjected to restrictions on a wide range of its interactions with foreign countries, companies and international markets. Empirical results show that gold-backed stablecoins, being effective at hedging assets in certain situations, provide countries with the opportunity to distance themselves from traditional financial institutions and reserve currencies in the context of external operations. Digital trading and investment platforms created on its basis do not exclude the risks inherent to the instrument. Moreover, they are exacerbated by continuing and increasing sanctions pressure on the economy integrated with such platforms. However, at the same time, these assets remain one of the most effective ways to support foreign trade and investment processes in these countries. The thesis is proven using an informalized method based on expert evaluations regarding the possibility of digital platforms overcoming trade and investment sanctions, the effects of which on the Russian economy cannot yet be accurately predicted. The study proposes two scenarios for the development of these platforms, potentially expanding the boundaries of foreign trade and investment interaction of the country subjected to sanctions with international markets. Full article
15 pages, 808 KiB  
Article
The Mechanism of an Individual’s Internal Process of Work Engagement, Active Learning and Adaptive Performance
by Widya Nandini, Aurik Gustomo and Dedy Sushandoyo
Economies 2022, 10(7), 165; https://doi.org/10.3390/economies10070165 - 12 Jul 2022
Cited by 6 | Viewed by 2596
Abstract
This paper aims to investigate the mechanism linking an individual’s internal processes, work engagement, active learning, and adaptive performance in three of Indonesia’s digital technology-based companies. The research uses a mixed-method approach. The first study used a quantitative research method in which the [...] Read more.
This paper aims to investigate the mechanism linking an individual’s internal processes, work engagement, active learning, and adaptive performance in three of Indonesia’s digital technology-based companies. The research uses a mixed-method approach. The first study used a quantitative research method in which the data is based on a survey of 185 employees and the collected survey data is then analyzed using the Structural Equation Modeling technique. The second study used a qualitative research method where the data is gathered from 17 managers through semi-structured interviews. We found from the quantitative research that work engagement fully mediates the relationship between self-efficacy and a growth mindset toward active learning. Meanwhile, a partial mediating effect of active learning between work engagement and adaptive performance was also discovered. Based on our literature study, previous research has shown inconsistent findings on the relationship between growth mindset and work engagement. Our findings contribute to the existing literature by clarifying the direct relationship between growth mindset and work engagement. Meanwhile, the qualitative findings emphasized that there are two mechanisms underlies individual adaptive performance (i.e., work engagement and active learning). Additionally, the active learning process promotes continuous new knowledge accumulation to produce new innovation inside an organization. Full article
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18 pages, 652 KiB  
Article
Leadership Styles, High-Involvement Human Resource Management Practices, and Individual Employee Performance in Small and Medium Enterprises in the Digital Era
by Afriyadi Cahyadi, Taufiq Marwa, István Hágen, Mohammed Nuru Siraj, Parama Santati, József Poór and Katalin Szabó
Economies 2022, 10(7), 162; https://doi.org/10.3390/economies10070162 - 05 Jul 2022
Cited by 11 | Viewed by 6331
Abstract
This research investigates the positive relationship between leadership styles, high-involvement human resource management practices, and individual employee performance. In this study, we adopt servant, shared, and empowering leadership to explain leadership styles in the digital era. We propose four hypotheses and design a [...] Read more.
This research investigates the positive relationship between leadership styles, high-involvement human resource management practices, and individual employee performance. In this study, we adopt servant, shared, and empowering leadership to explain leadership styles in the digital era. We propose four hypotheses and design a research framework to be analyzed. We develop a self-report questionnaire and distribute it online to three hundred targeted respondents, and collect two hundred and seventy-six complete responses from November 2021 to January 2022. This research applies a quantitative method, using structural equation modeling run by SPSS and AMOS. The results reveal well-distributed data, and all the indicators of the three variables are valid and reliable. The use of CFA confirms the indicators’ validity and reliability. The GoF analysis ensures that the research model is feasible for SMEs. The hypothesis analysis shows the acceptance of H1 and H3, but the rejection of H2 and H4. Leadership styles positively affect individual employee performance and high-involvement human resource management practices in SMEs operating in Lubuklinggau. High-involvement human resource management is not a mediator of the relationship between leadership styles and individual employee performance. Full article
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15 pages, 1540 KiB  
Article
Digitalisation in Hospitals in COVID-19 Times—A Case Study of the Czech Republic
by Jarmila Zimmermannova, Lukas Pavlik and Ekaterina Chytilova
Economies 2022, 10(3), 68; https://doi.org/10.3390/economies10030068 - 17 Mar 2022
Cited by 4 | Viewed by 3401
Abstract
In COVID-19 times, the healthcare system needs more financial and other resources for covering all necessary medical products and services. On the other hand, we have observed pressure on the effectiveness and optimisation of resources in hospitals and healthcare facilities. Digitalisation represents an [...] Read more.
In COVID-19 times, the healthcare system needs more financial and other resources for covering all necessary medical products and services. On the other hand, we have observed pressure on the effectiveness and optimisation of resources in hospitals and healthcare facilities. Digitalisation represents an important source of information for various levels of management in hospitals. The main aim of our research is the identification of the benefits of digitalisation of medical devices in hospitals in COVID-19 times, focusing on a case study of the Czech Republic. For our methodological approach, a literature review, data analysis, correlation analysis, and regression analysis were used. The case study presents the changes to the equipment/facilities use in years 2019 and 2020 in a selected hospital in Prague and the impact of COVID-19 on such use of resources. Management and financial issues are discussed, together with recommendations for healthcare sector management. As a result, economic benefits are represented mainly by various kinds of savings and optimisation of both processes and employees. On the other hand, it is not easy to identify all possible savings, as some of them can be in non-financial expression. Full article
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21 pages, 1346 KiB  
Article
Performance of Academic Staff during COVID-19 Pandemic-Induced Work Transformations: An IPO Model for Stress Management
by Muhammad Shoaib, Ayesha Nawal, Renata Korsakienė, Roman Zámečník, Asad Ur Rehman and Agota Giedrė Raišienė
Economies 2022, 10(2), 51; https://doi.org/10.3390/economies10020051 - 18 Feb 2022
Cited by 12 | Viewed by 11792
Abstract
The COVID-19 pandemic has adversely affected all spheres of services-related business, including the higher education sector. As a pre-emptive measure, almost all traditional educational institutions have been transformed into virtual organizations. This pandemic-induced work transition has created stress among academic staff and has [...] Read more.
The COVID-19 pandemic has adversely affected all spheres of services-related business, including the higher education sector. As a pre-emptive measure, almost all traditional educational institutions have been transformed into virtual organizations. This pandemic-induced work transition has created stress among academic staff and has hampered their performance. The present study aims to examine the impact of leadership behaviors, e-training, and employment security on the stress management process, consequently improving employee performance during and after the pandemic. Based on the IPO (input–process–output) model, this study examines the effect of leadership behavior, e-training, and employment security on teaching staff’s tasks and adaptive and contextual performance, mediated by stress management. To test the conceptual model, data were collected from the teaching staff of Malaysian universities. The structural equation modeling technique was used for data analysis, while bootstrapping with the maximum likelihood estimator was used to confirm the mediational role of stress management. The study revealed that task- and relation-oriented leadership behavior, e-training, and employment security positively influence stress management and employee performance in virtual organizations. Moreover, stress management acts as a full mediator in the relationship between leadership behavior and employee performance, while partial mediation occurs between e-training, employment security, and employee performance. This study offers valuable insights into the literature by proposing leadership behavior, e-training, and employment security as input in the stress management process to attain the performance output of teaching staff. Higher education institutions should come forward to assist their teaching employees in managing their stress levels for better outcomes. Full article
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Review

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16 pages, 563 KiB  
Review
E-Management as a Game Changer in Local Public Administration
by Neringa Vilkaite-Vaitone and Karolina Povilaitiene
Economies 2022, 10(8), 180; https://doi.org/10.3390/economies10080180 - 25 Jul 2022
Cited by 2 | Viewed by 4475
Abstract
The rapid development of digital technologies provides an efficient way to overcome the drawbacks of traditional management. E-management, a new form of management, is attracting much attention worldwide. The current research is aimed at examining the development of e-management in public sector organizations [...] Read more.
The rapid development of digital technologies provides an efficient way to overcome the drawbacks of traditional management. E-management, a new form of management, is attracting much attention worldwide. The current research is aimed at examining the development of e-management in public sector organizations and anticipating possible alternatives for solving e-management problems. We use a qualitative strategy to explain the concept, specifics, benefits, drivers, situation, and progress of e-management in the public sector. Based on interviews with managers at local public administration institutions in Lithuania, we conclude that e-management in municipalities until the COVID-19 pandemic was applied only in exceptional cases due to legislation and workplace stationarity. However, at the moment, e-management in municipality administrations is treated not as an alternative but as the only possible choice. Full article
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19 pages, 521 KiB  
Review
Digital Entrepreneurship and Creative Industries in Tourism: A Research Agenda
by Nikolaos Varotsis
Economies 2022, 10(7), 167; https://doi.org/10.3390/economies10070167 - 13 Jul 2022
Cited by 3 | Viewed by 5561
Abstract
Recently, digital entrepreneurship and creative industries in tourism have been emerging strongly, possibly as a result of the global pandemic of the last two years. Their growth in the last decade has been due to the penetration of technology into the daily life [...] Read more.
Recently, digital entrepreneurship and creative industries in tourism have been emerging strongly, possibly as a result of the global pandemic of the last two years. Their growth in the last decade has been due to the penetration of technology into the daily life of the tourist and the desire for tours that combine intangible value and a differentiated experience. This paper presents the findings of a research agenda that aims to identify key factors and research dimensions in the adoption of digital entrepreneurship and the creative industries in tourism. The study includes a critical analysis based on a literature review through a filtered search method of statistical information from 20 relevant scientific publications listed in the Scopus and Google Scholar databases. Additionally, this research addresses research gaps and recommends directions for future research. Finally, the conclusions are presented. Full article
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