E-Thesis 80 views
An Analysis of Digital Transformation in Knowledge-Intensive Micro-SMEs in Saudi Arabia / HAIFA ALHARBI
Swansea University Author: HAIFA ALHARBI
DOI (Published version): 10.23889/SUThesis.71168
Abstract
Digital transformation (DT) plays a vital role in business success, particularly for the smallest form of knowledge-based small and medium-sized enterprises, known as knowledge-intensive micro-SMEs. As technology accelerates and the business landscape evolves, knowledge-intensive micro-SMEs increasi...
| Published: |
Swansea
2025
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| Institution: | Swansea University |
| Degree level: | Doctoral |
| Degree name: | Ph.D |
| Supervisor: | Jones, P., Doneddu, D., and Cotterell, D. |
| URI: | https://cronfa.swan.ac.uk/Record/cronfa71168 |
| Abstract: |
Digital transformation (DT) plays a vital role in business success, particularly for the smallest form of knowledge-based small and medium-sized enterprises, known as knowledge-intensive micro-SMEs. As technology accelerates and the business landscape evolves, knowledge-intensive micro-SMEs increasingly adopt DT to remain competitive. However, DT adoption entails disruptive changes that reshape businesses, sometimes rendering existing models or processes obsolete. Additionally, rapid advances in digital technology continue to drive DT across industries, requiring businesses to adapt continuously to ensure long-term growth. Despite the increasing importance of DT, major research gaps remain regarding DT adoption, particularly in relation to knowledge-intensive micro-SMEs in developing countries. These gaps are especially evident in the context of the Kingdom of Saudi Arabia (KSA), with studies predominantly focusing on large businesses, leaving micro-SMEs underexplored.Given that the KSA government is pushing a transition towards a knowledge-based economy, understanding DT adoption by knowledge-intensive micro-SMEs operating in the KSA is important. In light of these issues and gaps, this thesis contributes to the literature by evaluating DT adoption among knowledge-intensive micro-SMEs in the KSA. The thesis is theoretically grounded in the triple helix model, institutional theory, and the resource-based view (RBV). It draws on these theories to provide a comprehensive understanding of DT adoption by critically examining the drivers, inhibitors, and key elements of the external environment that influence this process.The qualitative study underpinning this thesis is based on semi-structured interviews with owner-manager entrepreneurs (OMEs) of knowledge-intensive micro-SMEs in the KSA, as well as key actors from the KSA’s government, industry, and university institutions. The data were analysed using the reflexive thematic analysis method. The findings reveal the inhibitors of DT adoption, including a lack of information technology (IT) skills, inadequate financing, a lack of innovation, the OME mindset, and gender, as well as regulatory difficulties and a weak IT infrastructure. Drivers include the OME background, the advantages of technology, Saudi Vision 2030,consumer behaviour, and global crises such as Covid-19. Crucially, the thesis also identifies key elements within the external environment, including the need to enhance collaboration between ecosystem actors and knowledge-intensive micro-SMEs, foster an entrepreneurial culture, improve the technical infrastructure, and strengthen support mechanisms. This thesis enhances the understanding of DT adoption among knowledge-intensive micro-SMEs by offering both theoretical and contextual contributions. Theoretically, it extends the RBV, institutional theory, and the triple helix model by showing how internal resources and external sociocultural, institutional, and ecosystem dynamics shape DT in knowledge-intensive micro-SMEs.Contextually, it provides insights into DT adoption among knowledge-intensive micro-SMEs in a developing country, offering implications for practitioners and policymakers. |
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| Keywords: |
digital transformation (DT), knowledge-intensive micro small and medium-sized enterprises (knowledge-intensive micro-SMEs), Kingdom of Saudi Arabia (KSA), innovation ecosystem (IE), entrepreneurial ecosystem (EE) |
| College: |
Faculty of Humanities and Social Sciences |
| Funders: |
Sattam Bin Abdulaziz University |

