Abstract
Digital transformation and innovative business models are enabling a high level of competition among business enterprises. The worldwide adoption of the internet and an increasing number of associated technologies have strengthened the digital transformation. Digital technologies allow the customers to co-create value by designing and customizing products, perform last-mile distribution activities, and help other customers by sharing product reviews. Digital transformation is an enterprise-wide phenomenon that leads to the development of new business. This is intrinsically linked to strategic changes in the business model as a result of the implementation of digital technologies models, which may be new to the focal business units or industry. The chapter articulates the influence of digital transformation on the performance of business enterprises in the competitive environment. It analyzes the barriers to the effective use of digital technologies and also the digital transference initiatives of modern business enterprises.
TopBackground
In recent years, enterprises in almost all sectors have taken several initiatives to explore new digital technologies and exploit their advantages. This frequently involves transformations of key business operations and affects products and processes, as well as organizational structures and management thoughts. The enterprises should begin management practices to administer these complex digital transformations. An important approach is to formulate a digital transformation strategy that serves as a central concept to integrate the entire coordination, prioritization, and implementation of digital transformations within an enterprise.
The exploitation and integration of digital technologies often influence major segments of an enterprise and even go beyond their borders, by impacting products, business processes, sales channels, and supply chain systems. Potential beneðts of digitization are diverse and embrace rises in productivity, innovations in value creation, and novel forms of interaction with customers. As a result, entire business models can be reshaped or replaced (Downes & Nunes, 2013). Owing to this wide scope and extensive values, digital transformation strategies seek to coordinate and prioritize many independent threads of digital transformation.
Key Terms in this Chapter
Collaboration: It refers to the act of working together with another person, a group, or enterprises to achieve the goals or do something.
Globalization: It refers to the integration of the economy of the nation with the world economy. It describes an interdependence of nations around the globe fostered through free trade.
Digital Infrastructure: It refers to the digital technologies that provide the foundation for an enterprise’s information technology and operations.
Transposition: It refers to the act or process of changing something from one position to another, or of exchanging the positions of two things.
Innovation: It refers to an idea that has been transformed into practical reality. It is something new or a change made to an existing product, idea, or field.
Digitalization: It refers to the use of digital technologies to change a business model and provide new revenue and value-producing opportunities. It is the process of moving to a digital business.
Digital Transformation: It refers to the process of integrating digital technologies to create new or modify existing business processes, culture, and customer experiences to meet changing business and market requirements.
Digital Technologies: It refers to the electronic tools, systems, devices and resources that generate, store or process data.
Digital Marketing: It refers to the act of promoting and selling products/services by leveraging online promotional strategies such as social media marketing, search marketing, and email marketing.