DIGITAL READINESS AMONG MALAYSIAN RETAIL SMES- A CONCEPTUAL EXAMINATION IN THE POST-PANDEMIC CONTEXT

Abstract

The COVID-19 pandemic has accelerated digital transformation across industries, compelling small and medium-sized enterprises (SMEs) to adapt rapidly to technological change. Among retail SMEs in Malaysia, digital readiness has emerged as a critical capability influencing business continuity, innovation, and competitiveness in the evolving digital economy. However, the construct of digital readiness remains conceptually fragmented, often conflated with digital adoption or maturity. This paper undertakes a conceptual examination of digital readiness among Malaysian retail SMEs in the post-pandemic context, aiming to clarify its dimensions, antecedents, and implications. Drawing on recent literature from digital transformation, SME capability building, and technology management, this review highlights the multidimensional nature of digital readiness, encompassing technological infrastructure, human capital, organizational agility, and external support mechanisms. The paper critically reviews how contextual factors—such as Malaysia’s policy frameworks, socio-economic conditions, and consumer digital behaviour—mediate digital preparedness in the retail SME sector. It further identifies conceptual ambiguities in existing scholarship and advocates for a more coherent theoretical foundation to guide future research and policy development. By offering a comprehensive lens through which digital readiness can be understood, this paper contributes to the conceptual advancement of digital transformation research in emerging economies. It also provides practical insights for SME stakeholders, policymakers, and researchers seeking to foster sustainable digital enablement in the post-pandemic era.