International Journal of Science, Engineering and TechnologyAuthors: Dr.C. Mani, Mr.N. GnanaSekaran
Abstract: Digital transformation (DT) is now a key enabler of business model innovation (BMI) in the modern competitive landscape. Businesses are increasingly using digital technologies like artificial intelligence (AI), cloud computing, big data, and the Internet of Things (IoT) to increase operational effectiveness, devise new revenue streams, and provide better customer experiences. This research analyzes the effect of DT on BMI, with determinants, issues, and approaches chosen by companies. Based on secondary data collected from journals, industry reports, and case studies, the study identifies that DT has a significant effect on cost bases, customer relationship, and value proposition. According to the findings, although DT fosters innovation, it is challenging due to high costs of implementation and cultural resistance. Recommendations are the adoption of agile strategies, investing in digital competencies, and implementing technology-based business models to achieve sustainable growth.
