A conceptual model of government-business interaction in the digital environment
The main problem with the interaction between the state and businesses in the digital environment is that it is not very efficient, particularly within the small and medium-sized enterprise (SME) sector. Existing models of digitalization reproduce administrative bureaucracy, ignore the institutional specifics of the country, and do not provide a synergistic effect. The article identifies the following systemic gaps: the dominance of a centralized approach, weak business involvement, fragmentation of digital platforms, low digital maturity of SMEs, and the lack of adaptive feedback mechanisms. The purpose of the study was to develop a conceptual three-component model of digital interaction between the state and business, taking into account the Russian institutional specifics and capable of overcoming the identified barriers by balancing between centralization and autonomy, as well as ensuring a synergistic effect from cooperation. The study is based on institutional analysis using the theory of institutional matrices by S.G. Kirdina (X-Y theory). The methods of theoretical analysis and synthesis, comparative analysis (taking into account the experience of the EU, the USA, China, and Singapore), analysis of secondary data (reports by the Higher School of Economics, NAFI, the World Bank, and the OECD), and conceptual modeling were used. Based on this, a three-component (X-Y-Z) model of digital interaction was proposed. As a result of the research, the author developed an original conceptual model of digital interaction, which includes the following the X-component reflects state institutions (centralization, sovereignty, and regulatory oversight); the Y-component includes market mechanisms (flexibility, initiative, networking, APIs, and crowdsourcing); and the Z-component acts as a meta-level of integration, encompassing digital law, adaptive regulations, cross-matrix standards, and a technological interface (AI, digital twins, and blockchain). The model also includes a feedback system based on DAO-like mechanisms and offers a step-by-step implementation process, from diagnosing the institutional landscape to quantifying synergies. The proposed X-Y-Z model does not oppose the state and business, but integrates them into a single adaptive ecosystem, where digitalization becomes a tool for institutional transformation rather than just automation. This creates a foundation for sustainable, balanced, and inclusive digital economy development, focusing on SMEs and regional characteristics.
Alisultanov, V. S. (2026), “A conceptual model of government-business interaction in the digital environment”, Research Result. Business and Service Technologies, 12 (1), pp.
















While nobody left any comments to this publication.
You can be first.
Abdrakhmanova, G.I., Vasilkovsky, S.A. and Vishnevsky, K.O. et al. (2022), “Digital transformation: expectations and reality”, Report for the XXIII Yasinskaya (April) International Scientific Conference on the Problems of Economic and Social Development, Publishing House of the Higher School of Economics, National Research University Higher School of Economics, Moscow, Russia, ISBN 978-5-7598-2658-3. (in Russ).
Digital Kazakhstan (2025), Adviser [Online], available at: https://www.tadviser.ru/index.php Казахстан (Accessed 15 September 2025). (in Russ).
Digital transformation of the state: how technologies are changing the work of government agencies (2025), KT Team – IT service company. Available at: https://www.kt-team.ru/blog/digital-transformation-in-government-how-tech-changes-public-sector (Accessed: 15.08.2025). (in Russ).
Digitalization of small business – trends and opportunities in 2024 (2024), RBC Radio [Online], available at: ttps://www.rbc.ru/industries/news/65f00fa99a79471b280fe42c (Accessed 12 March 2024). (in Russ).
Efremova, M.V. and Chkalova, O.V. (2021), “Digital innovations of small and medium-sized businesses as a factor in sustainable development of the Russian economy”, On Guard of the Economy, 2 (17), pp. 28–35. ISSN 2588-0071. (in Russian). (in Russ).
European Commission (2025), The 2025 state of the digital decade package [Online], available at: https://digital-strategy.ec.europa.eu/en/policies/2025-state-digital-decade-package (Accessed 01 August 2025).
Khalilov, T.A. (2017), Interaction between the state and business in the context of the institutionalization of the political order in post-Soviet Russia, PhD thesis abstract, Rostov-On-Don, Southern Federal University, 30 p. (in Russ.).
Khlebenskikh, L.V. (2022), “Digitalization index of an organization: influencing factors”, Bulletin of the Altai Academy of Economics and Law, 8-1, pp. 136–141. ISSN 1818-4057. (in Russ.).
Kirdina, S.G. (2014), Institutional matrices and Russia’s development: an introduction to the X-Y theory, 3rd edn., Nestor-Istoriya, St. Petersburg, 468 p. (in Russ.).
Leskin, I.A. (2021), “The impact of business digitalization on the development of small and medium-sized entrepreneurship in Russia”, Chrono economics, 6 (34), pp. 43–45. (in Russ.).
OGI website (2025), Open Government Partnership Local – Indonesia [Online], available at: https://ogi.bappenas.go.id/en/ogplocal#rencana-aksi-ogi (Accessed 12 August 2025). (in Russ.).
Otkrytie Bank (2022) Small business interest in digitalization and remote working sharply increased in 2022, NAFI analytics [Online], available at: https://nafi.ru/analytics/bank-otkrytie-interes-malogo-biznesa-k-tsifrovizatsii-i-udalennoy-rabote-rezko-vyros-v-2022-godu/ (Accessed 21 August 2025). (in Russ.).
Rostelecom's forecasts for the launch of commercial quantum services in 2025–2026 (2025), System.PB [Online], available at: https://systempb.ru/company/articles/rostelekom-prognoziruet-v-techenie-dvukh-let-zapusk-pervykh-kommercheskikh-servisov-s-ispolzovaniem-/ (Accessed 15 September 2025). (in Russ.).
Rudnik, P.B. and Zinina, T.S. (eds.) (2024), Digital transformation: effects and risks in the new conditions, in Agamirzyan, I.R., Gokhberg, L.M., Zinina, T.S. and Rudnik, P.B. (ed.), National Research University Higher School of Economics, ISSEK HSE, Moscow, 156 p. ISBN 978-5-7598-3009-2. (in Russ.).
Turturika, N. (2024), “Digitalization of small business in Russia: problems, prospects, and investment risks: experience of an investment platform specialist”, BUSINESS SECRETS – business media from T-Bank: Company Blogs [Online], available at: https://secrets.tbank.ru/blogi-kompanij/cifrovizaciya-malogo-biznesa/ (Accessed 17 August 2024) (in Russ.).
United Nations (2024), UN E-Government Survey 2024, Division for Public Institutions and Digital Government (DPIDG), UN DESA [Online], available at: https://publicadministration.un.org/egovkb/en-us/ (Accessed 15 August 2025).
Zemskova, I.A. (2020), “Digital development of society in Russia: state and business aspects”, Industry: Economy, Management, Technology, 2 (81) [Online], available at: https://cyberleninka.ru/article/n/tsifrovoe-razvitie-obschestva-v-rossii-gosudarstvennyy-i-biznes-aspekty (Accessed 15 September 2025). (in Russ.).