Digital Transformation as a Catalyst for a Sustainable Economy: A Qualitative Review Analysis

Abstract

Purpose: This paper explores the intersection of digital transformation (DT) and sustainability, aiming to understand how digital technologies can act as enablers of sustainable economic practices across industries. As global businesses face growing pressure to balance profitability with environmental and social responsibilities, the study seeks to provide a comprehensive view of how digital tools can support long-term value creation aligned with environmental, social, and governance (ESG) goals.

Methodology: The study investigates the connections between “digital technologies”, like blockchain, “IoT”, “Big Data”, and “Artificial Intelligence”, and sustainable practices using a qualitative literature review methodology.

Findings: Digital transformation enhances operational efficiency, reduces resource consumption, and fosters innovation. It also enables traceability and transparency across supply chains, supporting more responsible corporate behaviour. However, integration challenges remain, including technological, cultural, and regulatory barriers.

Implications: The study provides actionable insights for business leaders and policymakers, emphasizing the need for supportive frameworks and incentives. It also contributes theoretically by advancing a model linking DT with sustainability outcomes.

Conclusion: Aligning digital transformation with sustainability is essential for creating resilient, future-ready organizations and achieving global sustainability goals.