Author(s): Ashutosh Rai and Jainendra Kumar Verma
The Internet is acquiring an essential space in today’s modern life. It has influenced our day-to-day activities by providing essential information, connectivity through online platforms, and filling the gap between institutions and individuals. While the COVID-19 pandemic had a significant negative impact on the Micro, Small, and Medium Enterprises (MSMEs) sector, the adoption of digital platforms proved to be a lifeline for many start-ups and small businesses. Many MSMEs in India have adopted digital technologies in the production and distribution of goods, leaving behind their traditional methods of marketing and management. In this background, the paper aimed at identifying major factors that are responsible for digital transformation of MSMEs in India. After reviewing the relevant literature for the study, it has been found that Internet and mobile revolution, and the outbreak of COVID-19 pandemic are the two major factors responsible for digital transformation of MSMEs in India. The paper concludes that there is rapid growth in use and consumption of digital platforms and internet in India and it is providing essential economic environment for digital transformation of Indian MSMEs.