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Digital Transformation Adoption in Small and Medium Enterprises (SMEs): Challenges and Opportunities in the New Zealand Context
Author: Manoj Khare
Supervisors: Shafiq Alam Asanthika Imbulpitiya
19 June 2026
Khare, M. (2026). Digital transformation adoption in Small and Medium Enterprises (SMEs): Challenges and opportunities in the New Zealand context [Master's thesis, Otago Polytechnic Auckland International Campus]. Research Bank. https://doi.org/10.34074/thes.7389
Abstract
This research explores the adoption of digital transformation within New Zealand SMEs and covers four main gaps: quantification, performance-maturity linkage, policy effectiveness, and practical tooling. The results of a quantitative survey of 100 SMEs indicate that financial uncertainty and competency gaps are the main barriers to adoption and that the size of the firm seems to influence investment capacity. The results show positive correlations between digital maturity and performance outcomes: 80.8% of respondents said their digital investments led to better customer satisfaction, and 75% said their digital investments resulted in revenue growth. Policy measures, however, had low awareness (35%) and uptake (22%), and no statistically significant difference in digital maturity or business outcomes between participating and non-participating firms. A conceptually informed digital maturity model is built based on literature and survey results as a possible self-assessment tool for SME owners. Recommendations are directed at business leaders, policymakers and support providers in order to promote more equitable digitalisation in New Zealand's diverse SME sector.
Keywords
digital transformation, SMEs, Technology-Organization-Environment (TOE) framework, digital maturity, policy effectiveness, New Zealand
Licence
A copy of the thesis is publicly available under a Creative Commons Attribution Non-Commercial No Derivatives licence CC BY-NC-ND 4.0 International license. This licence applies except where otherwise indicated, especially for images.
