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INTERACTION BETWEEN DIGITIZATION AND SMALL BUSINESS IN RURAL TERRITORIES OF BALTIC STATES
Abstract
Rural areas in the Baltic countries are characterized by economic stagnation and demographic decline. These areas are making every effort to transition to a modern knowledge-based economy. The delay in development is associated with the aging of the population, unskilled labor, and as a result of this, the inability to develop knowledge-intensive enterprises, to support innovative and technical start-ups. Decline in the countryside The European Commission calls the process of ?inner peripheralization?, which is characterized by a growing gap and disconnection between the countryside and the city. The main factors of inner peripheralization are primarily urbanization and the migration of young people to major cities and other European countries. Poor transport infrastructure, lack of housing, low level of education of the rural population, poor access to social services are the main reasons that do not allow attracting skilled workers to rural areas. One of the effective tools for solving this problem is inclusive digitization, which is a way to promote the principles of a sustainable economy and a condition for the development of small and medium-sized businesses in rural areas of the Baltic countries. The purpose of this study is to analyze the level of digitalization in the Baltic countries, identify problems that impede digitization of rural areas and identify the opportunities that digitization offers to small and medium-sized enterprises in rural areas.
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References11
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