Details
| Original language | English |
|---|---|
| Pages (from-to) | 281-301 |
| Number of pages | 21 |
| Journal | Journal of Small Business and Entrepreneurship |
| Volume | 36 |
| Issue number | 2 |
| Early online date | 28 Sept 2021 |
| Publication status | Published - 2024 |
Abstract
We unravel dimensions, conditions, and outcomes of digitalization for Hidden Champions (HCs) in rural areas in Germany. As highly innovative small- and medium-sized market leaders, HCs are challenged to maintain their niche dominance but are endowed with significant resources. However, firms in rural areas face resource constraints related to digitalization and innovation. Based on qualitative interviews with 28 companies, we develop a typology of HCs with four firm types differing in their handling of digitalization: Digital HCs, HCs of Digitalization, Traditional HCs, and Digitalization-Skeptical HCs. Their digitalization-related potential and risk assessment, resource availability, strategy, and innovation types are portrayed. We provide evidence that innovative market leaders in rural areas are not necessarily also digitalization front-runners. We contribute to a deeper understanding of the nexus of digitalization, SMEs, and rural areas. Our findings have managerial and policy implications. Less innovative SME can emulate HCs’ handling of digitalization. Regional policymakers should expand firm type-specific digitalization policy formulation.
Keywords
- digitalization, Hidden Champions, qualitative analysis, rural areas, SME
ASJC Scopus subject areas
- Business, Management and Accounting(all)
- Business and International Management
- Business, Management and Accounting(all)
- Strategy and Management
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In: Journal of Small Business and Entrepreneurship, Vol. 36, No. 2, 2024, p. 281-301.
Research output: Contribution to journal › Article › Research › peer review
}
TY - JOUR
T1 - Digital pioneers in the periphery?
T2 - Toward a typology of rural Hidden Champions in times of digitalization
AU - Rietmann, Carsten
N1 - Funding Information: This work was supported by the German Federal Ministry of Food and Agriculture (BMEL) [grant number 2820FD007A]. The funding source was not involved in the research, writing, and submission process. I would like to thank Ingo Liefner, Lisa Zirbes, Felix Carl Schultz, Leon Worbs, and three anonymous reviewers for valuable comments and suggestions.
PY - 2024
Y1 - 2024
N2 - We unravel dimensions, conditions, and outcomes of digitalization for Hidden Champions (HCs) in rural areas in Germany. As highly innovative small- and medium-sized market leaders, HCs are challenged to maintain their niche dominance but are endowed with significant resources. However, firms in rural areas face resource constraints related to digitalization and innovation. Based on qualitative interviews with 28 companies, we develop a typology of HCs with four firm types differing in their handling of digitalization: Digital HCs, HCs of Digitalization, Traditional HCs, and Digitalization-Skeptical HCs. Their digitalization-related potential and risk assessment, resource availability, strategy, and innovation types are portrayed. We provide evidence that innovative market leaders in rural areas are not necessarily also digitalization front-runners. We contribute to a deeper understanding of the nexus of digitalization, SMEs, and rural areas. Our findings have managerial and policy implications. Less innovative SME can emulate HCs’ handling of digitalization. Regional policymakers should expand firm type-specific digitalization policy formulation.
AB - We unravel dimensions, conditions, and outcomes of digitalization for Hidden Champions (HCs) in rural areas in Germany. As highly innovative small- and medium-sized market leaders, HCs are challenged to maintain their niche dominance but are endowed with significant resources. However, firms in rural areas face resource constraints related to digitalization and innovation. Based on qualitative interviews with 28 companies, we develop a typology of HCs with four firm types differing in their handling of digitalization: Digital HCs, HCs of Digitalization, Traditional HCs, and Digitalization-Skeptical HCs. Their digitalization-related potential and risk assessment, resource availability, strategy, and innovation types are portrayed. We provide evidence that innovative market leaders in rural areas are not necessarily also digitalization front-runners. We contribute to a deeper understanding of the nexus of digitalization, SMEs, and rural areas. Our findings have managerial and policy implications. Less innovative SME can emulate HCs’ handling of digitalization. Regional policymakers should expand firm type-specific digitalization policy formulation.
KW - digitalization
KW - Hidden Champions
KW - qualitative analysis
KW - rural areas
KW - SME
UR - http://www.scopus.com/inward/record.url?scp=85115855133&partnerID=8YFLogxK
U2 - 10.1080/08276331.2021.1979909
DO - 10.1080/08276331.2021.1979909
M3 - Article
AN - SCOPUS:85115855133
VL - 36
SP - 281
EP - 301
JO - Journal of Small Business and Entrepreneurship
JF - Journal of Small Business and Entrepreneurship
SN - 0827-6331
IS - 2
ER -