Digitalization intention in entrepreneurs and SMEs: a structural equation model of digital behavior and work-life balance

• Published in: International entrepreneurship and management journal 2025-12, Vol.21 (1), p.24, Article 24
• Main Authors: Aránega, Alba Yela, Montesinos, Clara Gonzalo, Urueña, Raúl Castaño, Sánchez, Rafael Castaño
• Format: Article
• Language: English
• Subjects: Business and Management; COVID-19; Digital technology; Emerging Markets/Globalization; Entrepreneurs; Entrepreneurship; Management; Pandemics; Small & medium sized enterprises-SME; Structural equation modeling; Work life balance
• ISSN: 1554-7191; 1555-1938
• DOI: 10.1007/s11365-024-01049-2

This research has exposed the importance of digital skills in allowing the entrepreneur to achieve a greater degree of work-life balance and their role in influencing the intention to become an entrepreneur. A questionnaire was developed, comprising control variables and sections on the level of administrative digitalization, team management, digital training and the use of digital tools, communication and marketing, and the work-life balance of self-employed entrepreneurs. Utilizing a statistical model, significant constructs were identified for the digitalization intention of entrepreneurs, mainly from small and medium-sized enterprises (SMEs). In the results obtained, the constructs were “entrepreneur digitalization level” (0.203), “management digital communication” (0.275), and “work-life balance” (0.710). The main conclusion is that despite the COVID-19 pandemic, many studies show that digitalization would enhance SMEs. However, although the level of digitalization is a key determinant for encouraging technological progress in business, traditional management methods continue to prevail. On the other hand, although many entrepreneurs are becoming more digital, they still have less time to spend with their families. Being able to manage their own communications (social networks, online management) is a positive benefit of the digitalization of the business, while communications carried out by external entities are not significant. Finally, this article expands the theoretical framework of digital entrepreneurship and offers a current vision of new entrepreneurs in the wake of the COVID-19 pandemic and the strong and growing trend of business digitalization.