FACTORS AFFECTING INTENTION TO IMPLEMENTATION DIGITAL TRANSFORMATION OF SMALL AND MEDIUM ENTERPRISES IN HANOI

Abstract

Digital transformation in the era of Industry 4.0 will improve the competitiveness of enterprises and SMEs, while motivating them to make optimal decisions for their businesses. If businesses do not think about digital transformation of their business models, they will be overtaken by competitors and reduce their competitiveness. However, small and medium enterprises in Hanoi are facing difficulties in digital transformation. So what factors affect the intention to implement digital transformation of small and medium enterprises? The study used regression analysis method from survey of information of 97 small and medium enterprises in Hanoi to determine the factors affecting the intention to carry out digital transformation of small and medium enterprises. The results found 5 influential factors including: Objectives of the Enterprise; Digital transformation strategy of enterprises; Technology infrastructure; Financial capacity of the Enterprise; The level of technology use affects the intention to implement digital transformation in SMEs in Hanoi with an effect of 0.832; 0.349; 0.130; 0.112; 0.100. From there, enterprises can choose a suitable digital transformation route for them to improve their business and production efficiency.