Problems for Regional Entrepreneurs Due to Economic Digitalisation and Covid-19

Abstract

The process of economic digitalisation has intensified in recent decades. However, it has reached a new level in the last two years due to the COVID-19 pandemic and the lockdowns imposed during the earlier waves of the virus. This article examines recent literature and data on how the pandemic has led to unprecedented levels of market digitalisation, particularly in electronic commerce, and how this has impacted regional entrepreneurs. Among others, we found that Russians embraced e-commerce during the pandemic, but the overwhelming beneficiaries of this has been big businesses and multinational corporations. On the contrary, regional entrepreneurs have faced severe challenges to compete and gain market share.