How digital capabilities affect entrepreneurial resilience: evidence from farmers in China

Abstract

The primary contradiction in the urban–rural digital divide is shifting from a focus on hardware facilities to a gap in software literacy. Strengthening the digital capabilities of farmers is vital. This study aims to investigate the impact of the relationship between digital capabilities and entrepreneurial resilience, as well as its underlying mechanisms. Structural equation modeling with bootstrapping estimation was utilized to assess the causal relationship between digital capabilities and entrepreneurial resilience, using a sample of 542 respondents from rural areas in China. The results show that digital capabilities have a significant positive effect on entrepreneurial resilience. Network embeddedness and resource bricolage both play partially mediating roles in the effect of digital capabilities on entrepreneurial resilience. Digital capabilities enhance entrepreneurial resilience through the serial mediation of network embeddedness and resource bricolage. The analysis shows no significant generational differences in the model. First, this study introduces digital capabilities into the formation mechanism of entrepreneurial resilience, which provides a new perspective for studying the antecedents of entrepreneurial resilience. Second, this study explores the mediating effects of network embeddedness and resource bricolage on the relationship between digital capabilities and entrepreneurial resilience, which further interprets the driving mechanism of digital capabilities on entrepreneurial resilience among farmer entrepreneurs. Third, this study introduces comparative research of farmers from different generational groups to explain how digital capabilities affect entrepreneurial resilience.