Assessment of the factors influencing the digitalization of economies in the Baltic States

Abstract

Digitalization of the world economy is accompanied by a comprehensive digital transformation of all business processes. However, the speed of digital transformation varies across countries. The aim of the research was to identify the main factors influencing the pace of digitalization of economies in the three Baltic States. The research is based on Eurostat’s data from 2014 to 2020. For evaluating the factors that may impact the level of digitalization of economies in Estonia, Latvia and Lithuania the authors carried out a Pearson correlation analysis, using SPSS software. T he research results indicate that in the context of the digitalization of the economy, the factors directly linked to the level of GDP are the number of specialists involved in the R&D sector and use of the Internet for banking operations. T he findings of the study are supposed to be used for the development of a policy for business digital transformation in the Baltic States.