THE IMPACT OF DIGITAL TRANSFORMATION ON TRADITIONAL BUSINESS

Abstract

This study investigates the impact of digital transformation on traditional businesses, with a particular focus on the challenges that arise during the transition. The research explores common barriers to growth and sustainability, including succession planning issues, financial limitations, and internal conflicts. As digital tools and technologies become increasingly integrated into business operations, understanding these challenges is essential for preserving the viability of traditional enterprises. A descriptive research design was employed, using a structured survey questionnaire as the primary instrument for data collection. A total of 30 respondents participated in the study, providing insights into the effects of digital transformation on various aspects of business operations. The demographic analysis showed that the majority of respondents were male (53%), with 46% having been in business for over one to five years. Among the identified challenges, business operations emerged as the most significant (weighted mean = 3.41), followed by operational efficiency (weighted mean = 3.26) and workplace culture (weighted mean = 3.21). These factors reflect the areas most affected by the shift from traditional methods to digital practices. The findings underscore the need for strategic management practices to guide traditional businesses through digital transformation. The results suggest that improvements in operational planning, employee adaptation, and cultural integration are critical to ensuring a smooth transition. By addressing these key areas, businesses can better position themselves to harness the benefits of digital innovation while minimizing disruption.