Digital divide, craft firms’ websites and urban-rural disparities: empirical evidence from a web-scraping approach

Research output: Contribution to journalArticleResearchpeer review

Authors

  • Anita Thonipara
  • Rolf Sternberg
  • Till Proeger
  • Lukas Peter Häfner

External Research Organisations

  • University of Göttingen
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Details

Translated title of the contributionDigital Divide, Websites von Handwerksunternehmen und städtisch-ländliche Disparitäten: empirische Erkenntnisse aus einer Web-Scraping Analyse
Original languageEnglish
Pages (from-to)69-99
Number of pages31
JournalReview of Regional Research
Volume43
Issue number1
Early online date21 Jul 2022
Publication statusPublished - Apr 2023

Abstract

Following the “death of distance” postulate, digitalization may reduce or even eliminate the penalty of firms being located in rural areas compared with those in urban agglomerations. Despite many recent attempts to measure digitalization effects across space, there remains a lack of empirical evidence regarding the adoption of digital technologies from an explicit spatial perspective. Using web-scraping data for a sample of 345,000 small firms in Germany, we analyze the determinants of website prevalence. Comparing urban with rural areas, we show that running a website—as a proxy for the degree of digitalization of the respective firm—is highly dependent on location, whereby firms in urban areas are almost twice as likely to run websites compared with those located in rural areas. Our county-level analysis shows that a high population density, a young population and a high educational level have a positive and significant association with the probability that firms run websites. Surprisingly, we find a negative and significant association of gross domestic product per capita with website prevalence, which is driven by urban regions. There are no differences between urban, semi-urban and rural areas in terms of website up-to-dateness as well as social media prevalence. We conclude that there is a substantial digital divide and discuss policy implications.

ASJC Scopus subject areas

Cite this

Digital divide, craft firms’ websites and urban-rural disparities: empirical evidence from a web-scraping approach. / Thonipara, Anita; Sternberg, Rolf; Proeger, Till et al.
In: Review of Regional Research, Vol. 43, No. 1, 04.2023, p. 69-99.

Research output: Contribution to journalArticleResearchpeer review

Thonipara, A, Sternberg, R, Proeger, T & Häfner, LP 2023, 'Digital divide, craft firms’ websites and urban-rural disparities: empirical evidence from a web-scraping approach', Review of Regional Research, vol. 43, no. 1, pp. 69-99. https://doi.org/10.1007/s10037-022-00170-5
Thonipara, A., Sternberg, R., Proeger, T., & Häfner, L. P. (2023). Digital divide, craft firms’ websites and urban-rural disparities: empirical evidence from a web-scraping approach. Review of Regional Research, 43(1), 69-99. https://doi.org/10.1007/s10037-022-00170-5
Thonipara A, Sternberg R, Proeger T, Häfner LP. Digital divide, craft firms’ websites and urban-rural disparities: empirical evidence from a web-scraping approach. Review of Regional Research. 2023 Apr;43(1):69-99. Epub 2022 Jul 21. doi: 10.1007/s10037-022-00170-5
Thonipara, Anita ; Sternberg, Rolf ; Proeger, Till et al. / Digital divide, craft firms’ websites and urban-rural disparities : empirical evidence from a web-scraping approach. In: Review of Regional Research. 2023 ; Vol. 43, No. 1. pp. 69-99.
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title = "Digital divide, craft firms{\textquoteright} websites and urban-rural disparities: empirical evidence from a web-scraping approach",
abstract = "Following the “death of distance” postulate, digitalization may reduce or even eliminate the penalty of firms being located in rural areas compared with those in urban agglomerations. Despite many recent attempts to measure digitalization effects across space, there remains a lack of empirical evidence regarding the adoption of digital technologies from an explicit spatial perspective. Using web-scraping data for a sample of 345,000 small firms in Germany, we analyze the determinants of website prevalence. Comparing urban with rural areas, we show that running a website—as a proxy for the degree of digitalization of the respective firm—is highly dependent on location, whereby firms in urban areas are almost twice as likely to run websites compared with those located in rural areas. Our county-level analysis shows that a high population density, a young population and a high educational level have a positive and significant association with the probability that firms run websites. Surprisingly, we find a negative and significant association of gross domestic product per capita with website prevalence, which is driven by urban regions. There are no differences between urban, semi-urban and rural areas in terms of website up-to-dateness as well as social media prevalence. We conclude that there is a substantial digital divide and discuss policy implications.",
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