A dynamic capability perspective on digital transformation: drivers, the process and consequences

Purpose Despite wide awareness of the importance of digital transformation (DT) for emerging market firms, we have limited understanding of the drivers, the process or the outcomes of DT in emerging market firms. Design/methodology/approach We conducted a qualitative study on 24 case companies in Thailand and embraced thematic analysis to generate our research findings. Findings The framework shows that the DT process in emerging market firms proceeds over three stages—market-opportunity sensing, digital technology acquisition and leading DT—which are driven by technological dynamism, business ties and institutional support. Once DT is successfully implemented, emerging market firms can improve their operational efficiency, customer relationship management, business model innovation and human resources management. Originality/value This study thus contributes to the DT literature by offering a three-stage model of DT and identifying important antecedents and consequences of DT, which together specify how emerging market firms transform themselves digitally.