When Digital Capability is Not Enough: Digital Competence, Organisational Readiness and an Integrated Pathway for Social Media Effectiveness in Indian Mses

Nelakuditi Krishna Veni; R. Siva Ram Prasad

When Digital Capability is Not Enough: Digital Competence, Organisational Readiness and an Integrated Pathway for Social Media Effectiveness in Indian Mses

Author(s)	Ms. Nelakuditi Krishna Veni, Prof. Dr. R. Siva Ram Prasad
Country	India
Abstract	This paper examines whether digital competence and organisational readiness independently explain social-media marketing effectiveness among Indian micro and small enterprises (MSEs), and develops an empirically disciplined integrated model for future testing. The analysis is based on the N=400 survey dataset reported in the supplied study the empirical analysis. Digital competence was measured with a four-item scale (Cronbach's α=.979), while organisational readiness was represented through competitive pressure (α=.985) and innovation orientation (α=.980). Mean digital competence was 3.00 (SD=.80), competitive pressure 3.00 (SD=.84), and innovation orientation 2.99 (SD=.81). Neither digital competence nor readiness showed a significant relationship with customer engagement, brand loyalty or business performance. Regression models for digital competence explained essentially no variance in the three outcomes (R²≈0); readiness models explained only .1% to .7% and were also non-significant. These findings challenge capability narratives that equate possession of digital skills or readiness with performance. The paper argues that competence and readiness should be understood as enabling conditions whose value becomes visible when connected to specific SMM practices and relational mechanisms. Building on the Resource-Based View, Relationship Marketing Theory and Dynamic Capabilities Theory, the paper develops a conditional pathway in which SMM practices provide inputs, customer engagement represents the relational mechanism, brand loyalty captures cumulative customer value, and business performance is the distal outcome. The paper concludes with a testable agenda using SEM, moderated mediation and longitudinal data.
Keywords	digital competence; organisational readiness; social media marketing; micro and small enterprises; customer engagement; brand loyalty; business performance.
Field	Business Administration
Published In	Volume 8, Issue 5, September-October 2026
Published On	2026-09-11

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When Digital Capability is Not Enough: Digital Competence, Organisational Readiness and an Integrated Pathway for Social Media Effectiveness in Indian Mses

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