The relationship between the use of technologies and digitalization strategies for digital transformation in family businesses

Abstract

Purpose Analyzing the effect of digitalization strategies and barriers to digital transformation (DT) on the use of technologies, in the Brazilian context, is necessary to broaden the understanding of topics in emerging economies. Thus, empirical research to evaluate and analyze aspects related to DT in small and medium-sized family businesses in an emerging economy is necessary, as it is a necessary strategic alternative in the current context. Design/methodology/approach Using data from a survey conducted with 210 managers of Brazilian family businesses, the authors analyzed the positive cause and effect relationship between digitalization strategy and technology use. In addition, the authors seek to explore the moderating effect of barriers to digital development on the relationship between digitalization strategy and technology use. This analysis was conducted using the structural equation modeling technique, with the help of SmartPLS 4.0 software. Findings The findings confirm the positive relationship between the implementation of digitalization strategies and technology usage in small family businesses, thereby contributing to the broader analysis of how small family businesses employ and define their digitalization strategies. Furthermore, the authors identified barriers that hinder the development and utilization of technology for digitalization purposes. Originality/value This study fills gaps in empirical research by explaining the factors that drive barriers to DT in small family businesses. It contributes to advancing the understanding of digitalization strategies used by family SMEs and identifies the real strategic value opportunities that DT represents for businesses.