INNOVATION AND ENTREPRENEURIAL ADAPTATION IN THE EMERGING SOCIAL COMMERCE ENVIRONMENT OF TIKTOK SHOP

Abstract

The rise of TikTok Shop has redefined entrepreneurship by merging social media engagement with digital commerce, offering entrepreneurs unprecedented opportunities and challenges. This paper examines the strategic dimensions of entrepreneurship within TikTok Shop, focusing on trust-building, consumer engagement, influencer collaboration, data-driven decision-making, and regulatory compliance. Findings highlight that TikTok Shop reduces barriers to entry and enhances market visibility through algorithm-driven discovery and live-stream commerce, enabling small entrepreneurs to scale rapidly. However, issues such as market saturation, algorithm dependency, consumer trust deficits, and logistical limitations pose significant risks. By synthesizing insights from trust theory, consumer behavior, and digital entrepreneurship literature, this study proposes a strategic framework that emphasizes algorithmic literacy, sustainable differentiation, responsible data use, and community-based marketing. The analysis contributes to both theoretical discourse and practical guidance by outlining how entrepreneurs can balance creativity, technological adaptation, and ethical responsibility. Ultimately, TikTok Shop is positioned not only as a sales platform but also as an evolving entrepreneurial ecosystem that reshapes value creation, opportunity recognition, and competitive advantage in the digital era.