Research Article

Digitalization and Startup Ecosystem Maturity: A Comparative Analysis of the European Union and the Western Balkans (2010–2024)

Volume: 1 Number: 1 October 16, 2026

Digitalization and Startup Ecosystem Maturity: A Comparative Analysis of the European Union and the Western Balkans (2010–2024)

Abstract

This research paper explores the impact of digitalization on the growth of technology and fintech startups in the European Union (EU) and the Western Balkan (WB) countries between 2010 and 2024. It investigates how digital infrastructure, government digital policies, and internet accessibility have influenced entrepreneurial activity, economic scalability, innovation, and employment across both regions. Using a mixed-methods approach, the study combines government statistics, academic literature, and panel data econometric modeling (STATA) to assess the relationship between digitalization and startup development. The findings reveal that while EU member states generally demonstrate higher levels of startup formation and digital maturity, the Western Balkans have significantly improved their digital infrastructure, reducing the connectivity gap. The statistical model confirms that digitalization positively correlates with startup growth in both regions. However, Western Balkan countries continue to lag in areas such as venture capital access, advanced digital skills, and market integration factors that limit their startup scalability. Policy analysis highlights that targeted investments in digital skills, regional market integration, and innovation hubs are essential to fully realize the benefits of digitalization. The paper concludes with evidence-based recommendations to strengthen the startup ecosystem in the Western Balkans, align digital standards with the EU, and enhance inclusive digital growth. This study contributes to the academic discourse on digital transformation in emerging economies and provides practical insights for policymakers aiming to boost regional innovation and economic convergence within Europe.

Keywords

Supporting Institution

International Balkan University, Skopje, Republic of North Macedonia

Ethical Statement

Ethical approval was not required for this study, as it is based exclusively on publicly available secondary data and does not involve human participants, personal data collection, or experimental interventions.

Thanks

The author would like to thank International Balkan University for providing the academic environment and institutional support that contributed to the development of this research.

References

  1. Acemoglu, D., & Robinson, J. A. (2012). Why nations fail: The origins of power, prosperity, and poverty. Crown Business.
  2. Mildner, S.-A., & Bories, T. (Eds.). (2024). Digitalization and democracy in the Western Balkans. Aspen Institute Germany.
  3. Barro, R. J., & Sala-i-Martin, X. (2004). Economic growth (2nd ed.). MIT Press.
  4. Bican, P. M., & Brem, A. (2020). Digital business model, digital transformation, digital entrepreneurship: Is there a sustainable “digital”? Sustainability, 12(13), Article 5239. https://doi.org/10.3390/su12135239
  5. Brynjolfsson, E., & McAfee, A. (2014). The second machine age: Work, progress, and prosperity in a time of brilliant technologies. W. W. Norton & Company.
  6. Carayannis E., Grigoroudis E. (2016) Quadruple Innovation Helix and Smart Specialization: Knowledge Production and National Competitiveness. Foresight and STI Governance, vol. 10, no 1, pp. 31–42. https://doi.org/10.17323/1995-459x.2016.1.31.42
  7. Czernich, N., Falck, O., Kretschmer, T., & Woessmann, L. (2011). Broadband infrastructure and economic growth. The Economic Journal, 121(552), 505–532. https://doi.org/10.1111/j.1468-0297.2011.02420.x
  8. Djurickovic, T. (2025). Innovation without borders: The growth of the Western Balkan startup landscape. Tech.eu.

Details

Primary Language

English

Subjects

Information Systems (Other)

Journal Section

Research Article

Publication Date

October 16, 2026

Submission Date

August 21, 2026

Acceptance Date

September 25, 2026

Published in Issue

Year 2026 Volume: 1 Number: 1

APA
Baush, A. (2026). Digitalization and Startup Ecosystem Maturity: A Comparative Analysis of the European Union and the Western Balkans (2010–2024). Journal of Technology Management and Information Systems, 1(1). https://izlik.org/JA97XH48NN
AMA
1.Baush A. Digitalization and Startup Ecosystem Maturity: A Comparative Analysis of the European Union and the Western Balkans (2010–2024). Journal of Technology Management and Information Systems. 2026;1(1). https://izlik.org/JA97XH48NN
Chicago
Baush, Abil. 2026. “Digitalization and Startup Ecosystem Maturity: A Comparative Analysis of the European Union and the Western Balkans (2010–2024)”. Journal of Technology Management and Information Systems 1 (1). https://izlik.org/JA97XH48NN.
EndNote
Baush A (October 1, 2026) Digitalization and Startup Ecosystem Maturity: A Comparative Analysis of the European Union and the Western Balkans (2010–2024). Journal of Technology Management and Information Systems 1 1
IEEE
[1]A. Baush, “Digitalization and Startup Ecosystem Maturity: A Comparative Analysis of the European Union and the Western Balkans (2010–2024)”, Journal of Technology Management and Information Systems, vol. 1, no. 1, Oct. 2026, [Online]. Available: https://izlik.org/JA97XH48NN
ISNAD
Baush, Abil. “Digitalization and Startup Ecosystem Maturity: A Comparative Analysis of the European Union and the Western Balkans (2010–2024)”. Journal of Technology Management and Information Systems 1/1 (October 1, 2026). https://izlik.org/JA97XH48NN.
JAMA
1.Baush A. Digitalization and Startup Ecosystem Maturity: A Comparative Analysis of the European Union and the Western Balkans (2010–2024). Journal of Technology Management and Information Systems. 2026;1. Available at https://izlik.org/JA97XH48NN.
MLA
Baush, Abil. “Digitalization and Startup Ecosystem Maturity: A Comparative Analysis of the European Union and the Western Balkans (2010–2024)”. Journal of Technology Management and Information Systems, vol. 1, no. 1, Oct. 2026, https://izlik.org/JA97XH48NN.
Vancouver
1.Abil Baush. Digitalization and Startup Ecosystem Maturity: A Comparative Analysis of the European Union and the Western Balkans (2010–2024). Journal of Technology Management and Information Systems [Internet]. 2026 Oct. 1;1(1). Available from: https://izlik.org/JA97XH48NN
Journal of Technology Management and Information Systems (JTMIS)

Publisher

Afyon Kocatepe University