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The Role of Digitalization in SMEs’ Strategy Development: The Case of Sweden

In: The Changing Role of SMEs in Global Business

Author

Listed:
  • Daniella Fjellström

    (University of Gävle)

  • Aihie Osarenkhoe

    (University of Gävle)

  • Tobias Pettersson

    (University of Gävle)

  • Daniel Tadesse

    (University of Gävle)

Abstract
The diffusion of digital technologies has enabled a notable transformation in firms’ boundaries, processes, structures, roles, and interactions. This digital revolution affects a company as a whole, thereby redefining its strategies, entrepreneurial processes, and governance mechanisms or structures. The aim of this study is to understand how digitalization affects small and medium-sized enterprises’ (SMEs’) marketing strategy. The study uses a qualitative approach with semi-structured interviews. The findings demonstrate that digital marketing tools demand few resources and have a positive effect on competitive advantage. The study contributes to our knowledge on how small enterprises develop strategy, showing that they focus on customer preferences. It also shows the benefits of SME digital marketing where digitalizing an enterprise’s marketing activities helps to reduce costs and increase dynamic capabilities to maintain competitive advantage.

Suggested Citation

  • Daniella Fjellström & Aihie Osarenkhoe & Tobias Pettersson & Daniel Tadesse, 2020. "The Role of Digitalization in SMEs’ Strategy Development: The Case of Sweden," Palgrave Studies in Cross-disciplinary Business Research, In Association with EuroMed Academy of Business, in: Alkis Thrassou & Demetris Vrontis & Yaakov Weber & S. M. Riad Shams & Evangelos Tsoukatos (ed.), The Changing Role of SMEs in Global Business, chapter 4, pages 65-88, Palgrave Macmillan.
    • Handle: RePEc:pal:pscchp:978-3-030-45831-7_4
    DOI: 10.1007/978-3-030-45831-7_4
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