Digital transformation of Craft Enterprises in the SME sector: Evidence from Italy

Today the craft enterprise faces digital transformation and finds it difficult to have an equilibrium between technological innovation and artisanal handcrafted production. Therefore, this paper describes how Italian craft companies are based on digital tools within this new scenario. In applying the Gioia method, this research conducts semi-structured interviews with ten Italian craft entrepreneurs from the Veneto region to discuss the main drivers barriers, and strategic adaptations influencing their digital transformation journey. This research identifies internal factors such as financial constraints, skill gaps and organizational dynamics that influence the adoption of digital technologies. It also studies regulatory and institutional influences as external factors in shaping the digital evolution of craft enterprises to comprehend better the ecosystem wherein these enterprises are functioning. The contribution of the work includes the synthesis of empirical findings with theoretical models, applying TAM and UTAUT models to understand digital adoption in craft enterprises. It evaluates major aspects like perceived usefulness, ease of use, and external influence by comparing theoretical expectations with the practical challenges that artisans face. So, the work provides an objective evaluation of the elements that determine the digitalization process of craft enterprises in Italy, having previously integrated theoretical research and empirical findings and also taking with it some recommendations for further development.