Abstract
Digital platforms (DPs) are playing an important role in small businesses (SBs) digital transformation, particularly providing a means through which SBs are able to sell their product to the market. Despite understanding the importance of SBs, knowledge of exploiting resources by SBs owners remains underexplored. Thus, this study seeks to examine how SBs owners orchestrate resources for digital transformation. Building on resource orchestration theory (ROT), this study employs a multiple case study approach, incorporating different types of business segments from multiple cities in India. The findings of the study indicate that SBs digital transformation is based on acquiring appropriate resources and bundling them into learning and building capabilities. Through the process of DPs resource orchestration, SBs leverage capabilities, empowering people with skills, aspiration, a growth mindset and creating new organizational identity. However, the study also uncovers unintended outcomes in the form of disengagement from digital platform businesses. Control of existing DP governance structures undermines SBs’ sense of transformation and ownership of using digital platforms in their business. Overall, this research contributes to the existing literature and practice on DPs by demonstrating how SBs orchestrate DP resources and capabilities to drive digital transformation, while also explaining why some SBs ultimately decide to disengage from digital commerce platforms.
Recommended Citation
Das, Himasmita; Drews, Paul; and Ilavarasan, P. Vigneswara, "Why some small businesses transformed and others disengaged: A resource orchestration and platform governance perspective on digital commerce" (2025). GlobDev 2025. 4.
https://aisel.aisnet.org/globdev2025/4