Vol. 13 No. 4 (2025)
December 2025

Articles

Is digitalization necessary for e-commerce adoption at small and medium-sized enterprises? The pandemic effects

Published 2025-12-28

  • Muhammad Usman Khan
    • ,
  • Samia Nassar
    • ,
  • Mohammad Fakhrul Islam
    • ,
  • Md Billal Hossain
    • ,
  • Laszlo Vasa

Muhammad Usman Khan
University of Punjab

Samia Nassar
Hungarian University of Agriculture and Life Sciences

Mohammad Fakhrul Islam
Hungarian University of Agriculture and Life Sciences

Md Billal Hossain
Westminster International University in Tashkent

Laszlo Vasa
Széchenyi István University

Abstract

Objective: The study aimed to conduct a comparative analysis of e-commerce adoption in small and medium-sized enterprises (SMEs) of Pakistan and Bangladesh in the period following the COVID-19 pandemic. This study aims to observe in detail the significance of e-commerce adoption for small and medium sized enterprises, their abilities to evolve consumer preferences and to dissect the challenges that hinder in the way of e-commerce adoption in Bangladesh and Pakistan. The key focus of this study was to find out how digitisation acts as a moderator to overcome challenges.

Research Design & Methods: We based the study on a quantitative design using a structured questionnaire to collect data from 500 SMEs with 250 respondents from each country, Bangladesh and Pakistan. We collected the study sample through a stratified random sampling from key industrial cities in both countries. We analysed the data of the study with SmartPLS version 4.0 to explore the relationship between external factors, need-bead factors, organisational factors, technological factors and e-commerce adoption with digitisation as a moderator.

Findings: This study has also examined that market related demands and the access to the technology has significant positive impact on digitisation in both countries. However, company’s resources and cultural factors that are related to the organisational factors have negative impact on digitisation in Bangladesh and Pakistan. The multi-group analysis composed to find the distinguishing factors among two countries, found the impact of all the factors on digitisation.

Implications & Recommendations: We observed a crucial role of digitisation in different fields to adopt e-Commerce in SMEs of Pakistan and Bangladesh. This study has been conducted in the time of COVID-19 pandemic, suggests that it should be the top priority of the policymakers to focus more on digitisation to enrich the country’s economic and digital infrastructure. The partnership programs can help both countries improve digitisation on modern standards. Findings suggests combined strategies to boost economic stability of both countries. However, this study has some limitations and future suggestions to entertain the role of artificial intelligence (AI) to examine the adoption of e-Commerce in both countries.

Contribution & Value Added: This study has provided a qualified analysis of the drivers of e-commerce adoption in SMEs of Pakistan and Bangladesh in the specific context of the post-COVID-19 pandemic, with digitisation as a moderator. It offers novel insight into the different types of challenges faced by SMEs in both countries and in the transformation of digitisation in the South Asian region.

Keywords

pandemic, e-Commerce, digitisation, Pakistan, Bangladesh

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Author Biography

Muhammad Usman Khan

His research interests include e-Commerce adoption in developing countries, social responsibility, Epistemology of entrepreneurship, Business ethics, and Philosophy based brand strategies.

Samia Nassar

Her research interests include Project management, Strategic planning, Organisational knowledge management, Monitoring and Evaluation, Food security etc.

Mohammad Fakhrul Islam

He is currently a doctoral candidate at the Doctoral School of Economic and Regional Sciences, Hungarian University of Agriculture and Life Sciences (MATE), Gödöllő, Hungary. He has also been contributing to academia for thirteen years in different capacities- Academic, Researcher, Visiting research position, Research Trainer etc. His research interests include GHRM, Management, Sustainability, Organizational Behaviour etc.

Md Billal Hossain

He is currently holding Senior Lecturer position at Westminster International University in Tashkent (WIUT), Uzbekistan and also a visiting researcher at Széchenyi István University of Győr, Hungary. His research interests include Technology Acceptance, E-commerce, Knowledge Management, Organisational Management, Innovation etc.

Laszlo Vasa

He is a research professor at the Széchenyi István University and a Full Professor. His research interests include economics of transition, post-Soviet studies and international issues of agricultural economics. He is a Full Professor and PhD supervisor of Hungarian and foreign doctoral schools, member of the editorial board of different referred international and Hungarian scientific journals.

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