IDEAS home Printed from https://ideas.repec.org/a/ibn/jmsjnl/v14y2024i2p114.html
   My bibliography  Save this article

Transforming Rural Entrepreneurship Through Digital Innovation: A Review on Opportunities, Barriers and Challenges

Author

Listed:
  • Debbra Toria Nipo
  • Jaratin Lily
  • Noor Fzlinda Fabeil
  • Izaan Azyan Abdul Jamil

Abstract

This paper delves into the transformative impact of digital innovation on rural entrepreneurship, highlighting the opportunities, barriers and challenges rural entrepreneurs face. Digital technologies, including e-commerce platforms, mobile applications, and social media, enable rural entrepreneurs to reach broader markets, enhance operational efficiencies, and develop innovative business models. Despite these benefits, the digital divide—characterised by inadequate technological infrastructure and low digital literacy—presents substantial barriers to these digital advancements. Further complicating the adoption of digital technologies are challenges such as a lack of technological expertise and financial constraints, which impede the full realisation of digital innovation in rural areas. This paper discusses various strategies to overcome the barriers to digital transformation in rural entrepreneurship. The key point among these strategies is the implementation of supportive policies encouraging digital adoption. Investment in digital infrastructure is crucial to bridge the technological gap and provide rural areas with the necessary tools to compete in the digital economy. Additionally, targeted educational programs are essential to improve digital literacy and provide rural entrepreneurs with the skills to effectively leverage digital technologies. The paper underscores the importance of a holistic approach, combining policy support, infrastructure development and education to empower rural entrepreneurs. By adopting these strategies, rural communities can achieve sustainable economic growth, enhance their competitiveness, and improve the quality of life for their residents. Ultimately, this paper aimed to provide a comprehensive understanding of the role of digital innovation in transforming rural entrepreneurship and offered practical solutions to foster inclusive and sustainable economic development.

Suggested Citation

  • Debbra Toria Nipo & Jaratin Lily & Noor Fzlinda Fabeil & Izaan Azyan Abdul Jamil, 2024. "Transforming Rural Entrepreneurship Through Digital Innovation: A Review on Opportunities, Barriers and Challenges," Journal of Management and Sustainability, Canadian Center of Science and Education, vol. 14(2), pages 114-114, June.
    • Handle: RePEc:ibn:jmsjnl:v:14:y:2024:i:2:p:114
    as

    Download full text from publisher

    File URL: https://ccsenet.org/journal/index.php/jms/article/download/0/0/51001/55299
    Download Restriction: no
    File URL: https://ccsenet.org/journal/index.php/jms/article/view/0/51001
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Lee, Hyeongjik & Jeong, Seonkoo & Lee, Kwanghee, 2023. "The South Korean case of deploying rural broadband via fiber networks by implementing universal service obligation and public-private partnership based project," Telecommunications Policy, Elsevier, vol. 47(3).
    2. Sohail Raza Chohan & Guangwei Hu, 2022. "Strengthening digital inclusion through e-government: cohesive ICT training programs to intensify digital competency," Information Technology for Development, Taylor & Francis Journals, vol. 28(1), pages 16-38, January.
    3. Nazik Fadil & Josée St-Pierre, 2021. "Growing SMEs and internal financing: the role of business practices," Post-Print hal-04999452, HAL.
    4. Daniel Kandie & Khan Jahirul Islam, 2022. "A new era of microfinance: The digital microcredit and its impact on poverty," Journal of International Development, John Wiley & Sons, Ltd., vol. 34(3), pages 469-492, April.
    5. Rosa Maria Fanelli, 2021. "Barriers to Adopting New Technologies within Rural Small and Medium Enterprises (SMEs)," Social Sciences, MDPI, vol. 10(11), pages 1-15, November.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Ahmad Alqatan & Najoua Talbi & Hasan Behbehani & Samira Ben Belgacem & Muhammad Arslan & Wafaa Sbeiti, 2025. "Dynamic Interaction Between Microfinance and Household Well-Being: Evidence from the Microcredit Progressive Model for Sustainable Development," Econometrics, MDPI, vol. 13(1), pages 1-20, March.
    2. Keiji Jindo & Jens A. Andersson & Foluke Quist-Wessel & Jackonia Onyango & Johannes W. A. Langeveld, 2023. "Gendered investment differences among smallholder farmers: evidence from a microcredit programme in western kenya," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 15(6), pages 1489-1504, December.
    3. Saeed Nosratabadi & Thabit Atobishi & Szilard HegedHus, 2023. "Social Sustainability of Digital Transformation: Empirical Evidence from EU-27 Countries," Papers 2305.16088, arXiv.org.
    4. Xiao Yu & Shu Liu, 2022. "Disparities in Online Use Behaviours and Chinese Digital Inclusion: A 10-Year Comparison," IJERPH, MDPI, vol. 19(19), pages 1-21, September.
    5. Yuliya S. Evlakhova & Alexandra A. Tregubova, 2023. "Russian Market of Online Microloans to the Population: Credit Risks Analysis," Journal of Applied Economic Research, Graduate School of Economics and Management, Ural Federal University, vol. 22(3), pages 710-738.
    6. Xiaoxue Du & Hernan Tejeda & Zhengliang Yang & Liang Lu, 2022. "A General-Equilibrium Model of Labor-Saving Technology Adoption: Theory and Evidences from Robotic Milking Systems in Idaho," Sustainability, MDPI, vol. 14(13), pages 1-17, June.
    7. Zou, Han & Zhong, MeiRui, 2024. "Local environmental constraints and city's position in dual value chain: What role does digital technology play?," Technology in Society, Elsevier, vol. 78(C).
    8. Setthasuravich, Prasongchai & Sirikhan, Kulacha & Kato, Hironori, 2024. "Spatial econometric analysis of the digital divide in Thailand at the sub-district level: Patterns and determinants," Telecommunications Policy, Elsevier, vol. 48(8).
    9. Abdalwali Lutfi & Akif Lutfi Al-Khasawneh & Mohammed Amin Almaiah & Adi Alsyouf & Mahmaod Alrawad, 2022. "Business Sustainability of Small and Medium Enterprises during the COVID-19 Pandemic: The Role of AIS Implementation," Sustainability, MDPI, vol. 14(9), pages 1-20, April.
    10. Ramona Rupeika-Apoga & Larisa Bule & Kristine Petrovska, 2022. "Digital Transformation of Small and Medium Enterprises: Aspects of Public Support," JRFM, MDPI, vol. 15(2), pages 1-21, January.
    11. Xie, Yan & Guo, Jingjun & Ma, Xiaowen, 2025. "Digital inclusive financial and household fertility:Discoveries based on dual machine learning algorithm," International Review of Economics & Finance, Elsevier, vol. 97(C).
    12. Camila Silva Mattos & Giustina Pellegrini & Geoffrey Hagelaar & Wilfred Dolfsma, 2024. "Systematic literature review on technological transformation in SMEs: a transformation encompassing technology assimilation and business model innovation," Management Review Quarterly, Springer, vol. 74(2), pages 1057-1095, June.
    13. Marcela Marçal Alves Pinto Mick & João Luiz Kovaleski & Daiane Maria de Genaro Chiroli, 2024. "Sustainable Digital Transformation Roadmaps for SMEs: A Systematic Literature Review," Sustainability, MDPI, vol. 16(19), pages 1-24, October.
    14. Wajid Khan & Ikram Ullah & Sun Shaorong, 2024. "The Income Augmenting and Budget Tightening Impacts of Microfinance: Theory and Evidence from Pakistan," SAGE Open, , vol. 14(3), pages 21582440241, August.
    15. Pellegrini, Giustina & de Mattos, Camila Silva & Otter, Verena & Hagelaar, Geoffrey, 2022. "Exploring how EU agri-food SMEs approach technology-driven business model innovation," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 26(3), December.
    16. Salem Ahmed Alabdali & Salvatore Flavio Pileggi & Dilek Cetindamar, 2023. "Influential Factors, Enablers, and Barriers to Adopting Smart Technology in Rural Regions: A Literature Review," Sustainability, MDPI, vol. 15(10), pages 1-38, May.
    17. Rosa Maria Fanelli, 2023. "Barriers and Drivers Underpinning Newcomers in Agriculture: Evidence from Italian Census Data," Sustainability, MDPI, vol. 15(14), pages 1-17, July.
    18. Thomä, Jörg, 2022. "An urban-rural divide (or not?): Small firm location and the use of digital technologies," ifh Working Papers 37/2022, Volkswirtschaftliches Institut für Mittelstand und Handwerk an der Universität Göttingen (ifh).
    19. Tamara Morte-Nadal & Miguel Ángel Esteban-Navarro, 2025. "Recommendations for digital inclusion in the use of European digital public services," Palgrave Communications, Palgrave Macmillan, vol. 12(1), pages 1-14, December.
    20. Ramona Rupeika-Apoga & Kristine Petrovska, 2022. "Barriers to Sustainable Digital Transformation in Micro-, Small-, and Medium-Sized Enterprises," Sustainability, MDPI, vol. 14(20), pages 1-19, October.

    More about this item

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ibn:jmsjnl:v:14:y:2024:i:2:p:114. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Canadian Center of Science and Education (email available below). General contact details of provider: https://edirc.repec.org/data/cepflch.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.