THE ROLE OF DIGITALIZATION IN TRANSFORMING THE EXTERNAL ENVIRONMENT OF MODERN BUSINESS

Abstract

Purpose of the study. This study examines the role of digitalization in transforming the external environment of modern business. The relevance of the topic is determined by the rapid development of digital technologies that significantly change the conditions of enterprise operations, create new models of competition, and transform interactions between economic actors. In the context of the digital economy, companies face the need to adapt to a dynamically changing technological and institutional environment, as well as to evolving consumer preferences. The purpose of the research is to identify the main directions of digitalization’s influence on the external business environment and to analyze its impact on the competitive conditions of enterprise activity. The methodological basis of the study includes a systemic approach, analysis of scientific literature, comparative analysis of modern digital business models, and generalization of practical experience in the digital transformation of companies. The results of the study show that digitalization contributes to the formation of new forms of economic interaction, accelerates innovation processes, and intensifies global competition. It is demonstrated that the implementation of digital technologies has a comprehensive impact on the market environment, institutional conditions, and strategic development of enterprises. The practical significance of the research lies in identifying key directions for business adaptation to the digital economy and in developing recommendations for improving competitiveness.