Digital Business Models and Startup Resilience: Evidence from Post-COVID Recovery

Abstract

This study investigates the influence of digital business models and digital ecosystem maturity on the survival prospects of startups in the post-pandemic economy. Drawing on a mixed-methods approach, the research combines survey data from 1,042 startups across Europe and Southeast Asia with econometric analyses, including probit regression and robustness checks. The results suggest that digital business model adoption, digital capabilities, and ecosystem maturity are significant predictors of startup survival, while traditional firm characteristics such as age and size exhibit limited explanatory power. The findings highlight the critical role of digital readiness and supportive ecosystem conditions in enhancing resilience. The study offers policy recommendations emphasizing investments in digital capabilities, ecosystem infrastructure, and flexible regulatory frameworks that encourage business model innovation. These insights contribute to ongoing discussions on entrepreneurial resilience and digital transformation, particularly in contexts marked by rapid technological change and external shocks.