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Impact of the Role of the State on Digital Transformation Activities of Enterprises: Insights from Vietnam

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  • Dinh Van Cuong
  • Le Trung Hieu

Abstract

This study provides a comprehensive analysis of the role of the State in the digital transformation activities of enterprises in Vinh Phuc province, Vietnam. The study determines the primary correlations between the State's role and enterprise digital transformation initiatives using structural equation modeling (SEM). The State undertakes several roles, including policy formulation on digital transformation, financial support for enterprises, workforce training, building a digital ecosystem for enterprises, investing in digital infrastructure, and overseeing safety and e-commerce promotion. These roles statistically significantly impact enterprises' digital transformation activities. The results indicate that businesses highly appreciate the state’s role, with an average score of over 4.0. The role in developing the digital transformation ecosystem is considered the most crucial. Recommendations are made for both enterprises and the state to foster digital transformation. Limitations include sample size and geographic focus, with suggestions for future research.

Suggested Citation

  • Dinh Van Cuong & Le Trung Hieu, 2025. "Impact of the Role of the State on Digital Transformation Activities of Enterprises: Insights from Vietnam," Journal of Management World, Academia Publishing Group, vol. 2025(1), pages 878-887.
    • Handle: RePEc:bjx:jomwor:v:2025:y:2025:i:1:p:878-887:id:823
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