literature review on handicrafts

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A design thinking-based study of the prospect of the sustainable development of traditional handicrafts.

1. Introduction

1.1. research background and motives, 1.2. research method and purpose, 2. relevant studies, 2.1. features of design science, 2.2. design thinking, 2.3. relationship between design and craft, 2.4. traditional craft value, 2.5. construction of traditional handicraft value indicators, 3. design thinking-based exploration of the internal factors of handicrafts, 3.1. research framework and design procedure, 3.2. phase 1: empathize section title, 3.2.1. contents of workshop practice, 3.2.2. strategy and implementation, 3.3. phase 2: define, 3.3.1. indicator screening, 3.3.2. level construction, 3.3.3. naming of sustainable design value indicators, 4. design thinking-based design and evaluation of handicrafts, 4.1. phase 3: ideate, 4.2. phase 4: prototype and making, 4.3. phase 5: test and evaluation, 4.3.1. test preparation and process, 4.3.2. evaluation of measurement results, 4.4. model and summary, 5. conclusions, author contributions, conflicts of interest.

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Li, W.-T.; Ho, M.-C.; Yang, C. A Design Thinking-Based Study of the Prospect of the Sustainable Development of Traditional Handicrafts. Sustainability 2019 , 11 , 4823. https://doi.org/10.3390/su11184823

Li W-T, Ho M-C, Yang C. A Design Thinking-Based Study of the Prospect of the Sustainable Development of Traditional Handicrafts. Sustainability . 2019; 11(18):4823. https://doi.org/10.3390/su11184823

Li, Wen-Tao, Ming-Chyuan Ho, and Chun Yang. 2019. "A Design Thinking-Based Study of the Prospect of the Sustainable Development of Traditional Handicrafts" Sustainability 11, no. 18: 4823. https://doi.org/10.3390/su11184823

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SYSTEMATIC REVIEW article

Sustainable crafts: describing conceptual evolution through a bibliometric analysis and systematic literature review.

• 1 Department of Marketing and Market Research, University of Granada, Granada, Spain
• 2 Department Business Organization, Catholic University of Murcia, Murcia, Spain
• 3 Drawing Department, Faculty of Fine Arts, University of Granada, Granada, Spain
• 4 Department of Management-1, University of Granada, Granada, Spain

Sustainability has been progressively incorporated into all dimensions of society as a response to the negative externalities of the traditional production model, and the craft sector has been no stranger to this. Thus, the present work constitutes a bibliometric analysis of 894 research articles from the Scopus database on sustainable crafts in the 21st century, identifying the growth trends, published articles, and the most productive journals, authors, institutions, and countries. Additionally, we have identified the main research topics that have emerged in sustainable crafts in three time periods: before the international financial crisis, the post-crisis period, and, finally, within the 2030 Agenda and the Sustainable Development Goals set out by the United Nations (UN). Based on the bibliometric indicators analysed, we conclude that this research area has grown exponentially, particularly in response to the Sustainable Development Goals, increasing the abundance and diversity of the issues investigated.

1 Introduction

Modern society has become increasingly aware of the need to incorporate economic, social, and environmental concerns into a model characterized by globalization, climate change, the depletion of natural resources, and an ageing population, which invite us to modify our current habits. As a result, sustainability has acquired considerable significance in recent years ( Nguyen et al., 2021 ), even more so after the United Nations established its 17 Sustainable Development Goals ( United Nations, 2015 a).

However, the concept of sustainable development is not so novel and emerged in the early 1970s to protect the environment and ensure development without the associated destruction ( Nguyen et al., 2021 ). It was defined by the World Commission on Environment and Development (WCED) in 1987 as “ meeting the needs of the present without compromising the ability of future generations to meet their needs ” ( WCED, 1987 ). Subsequently, the United Nations has shown its commitment through Agenda 21 ( United Nations, 1992 ), the Millennium Development Goals ( United Nations, 2000 ), and the recent Sustainable Development Goals ( United Nations, 2015 ).

In addition to the support of supranational institutions, over the last 50 years, several currents of economic-environmental thought have focused on sustainability. One of the first was industrial economics, introduced by Stahel and Reday (1976) , which refers to the combination of factors of production for generating products and services destined for the market. Years later, Stahel himself introduced the need to evolve from the concept of ownership to that of use, thus limiting the exploitation of natural resources ( Stahel, 1982 ). Then, in 1996, Lyle introduced the notion of regenerative design ( Lyle, 1996 ), which prolonged the useful life of products, making them more sustainable, and in 1997 Benyus began to analyse natural models for this purpose, thus introducing the concept of biomimetics ( Benyus, 1997 ). By the 21st century, the concepts of cradle-to-cradle ( McDonough and Braungart, 2010 ), loop and performance economy ( Stahel, 2010 ), blue economy ( Pauli, 2010 ), and ecology ( Commoner, 2020 ) had already emerged. Moreover, recent years have seen the introduction of the Circular Economy, which figures centrally in a proposed model that considers the balance between technical and biological cycles to favour the conservation of natural resources ( Ellen Macarthur Foundation, 2012 ; Birat, 2015 ).

However, sustainable development is more than a concern for environmental issues; it is a concern for the longevity of the planet and all its life forms, and, consequently requires a commitment to social equality and democratic and inclusive processes, as well as a concern for the needs of future generations ( Ferraro et al., 2011 ). Therefore, sustainable development encompasses cultural, social, economic, environmental, ethical, and political aspects ( Thackara, 2014 ; Leal-Filho et al., 2015 ).

The volume of production in the craft sector has gradually decreased over the last century and has been replaced by industrial production. In today’s post-industrial era, the artisan has to compete nationally and internationally with products that appear to have been made by hand, when in fact they are mass-produced ( Fillis, 2012 ). However, in recent decades there has been a resurgence of crafts and artisanal processes ( Fox-Miller, 2017 ), as new markets have emerged, particularly among urban consumers, who have attributed ethical, environmental and sociocultural value to crafts ( Wood, 2011 ). According to Fuller-Love et al. (2006) , crafts are a source of creativity and innovation, with a positive impact on the development of the rural economy. This change has reestablished the links with sustainability, creating a context in which both crafts and artisans have become more valued ( Zhan and Walker, 2019 ).

According to these authors, the environmental impact of crafts has traditionally been considered low. On the one hand, the materials used are generally renewable. On the other hand, manual skills and human energy are an important part of the process ( Zhan & Walker, 2019 ). Furthermore, handmade objects often have a long lifespan and their traditional designs give them an appearance of timelessness ( Nugraha, 2012 ). Yair (2010) highlighted the importance of craft materials to ensure environmental sustainability, while Cox and Bebbington (2014) proposed other relationships such as responsible and sustainable business performance, development of knowledge and skills, social responsibility and business continuity. cultural and aesthetic experience. In addition, UNESCO has considered crafts as part of our intangible heritage, establishing the objective of safeguarding and respecting intangible cultural heritage ( UNESCO 2003 ), while for Fillis (2008) , crafts are a creative industry. Thus, Hartley (2005) and Hesmondhalgh (2007) indicate that the recent literature on crafts suggests that the craft sector should be considered as part of the cultural and creative industries.

However, the concept of sustainable crafts is relatively new ( Väänänen and Pöllänen, 2020 ). For Bamford (2011) , this dimension is incorporated into the sector based on “design for sustainability” as an antidote to the combined impacts of hyper-efficient production and rampant “throw-away” consumerism. Väänänen and Pöllänen (2020) consider that sustainable craft is currently a broad concept involving two fundamental components: craft (design) and sustainability, concluding that craft can be a catalyst for the transformation toward more sustainable societies. Finally, Zhan and Walker (2019) examined the definition and nature of craft from practical, epistemological, and ontological perspectives. According to these authors, craft is characterised by its ecological attributes, connection to the locality, exemplification of systems thinking, and its relationship with authentic notions of self. Traditional crafts can therefore provide insights for positive transformation, as they embody a manifestation of community, knowledge, practices, and values based on context and place.

However, the concept has not been clearly defined. Thus, Väänänen et al. (2017) consider a need to define the concept of sustainable crafts in the face of growing concern and debate about the presence and future of crafts in a context of sustainability. Offering a novel perspective on the concept as a holistic system consisting of craft practice, product, and intangible craftsmanship, Väänänen and Pöllänen (2020) raise the need to conceptualise sustainable crafts from both a theoretical and practical perspective. We also know that the transition towards more sustainable societies requires a major shift and reorientation of consumer mindsets, lifestyles, patterns, and values ( Ferraro et al., 2011 ). In this context, our research aims to analyse the degree of development of the concept of sustainable crafts. To this end, we propose the methodology of scientometrics or bibliometric analysis to map the evolution of the concept ( Donthu et al., 2021 ; Kumar et al., 2021 ) and analyse the degree of current knowledge and future research trends in this area of knowledge. Therefore, we address the following research questions:

Q1. What is the trend of scientific publications on sustainable crafts?

Q2. What are the main thematic areas and the most relevant publications in sustainable crafts?

Q3. Which are the most prolific authors, journals, institutions, and countries in sustainable crafts?

Q4. What are the main Global cooperation networks of authors, institutions, and countries?

Q5. What are the main current and future research topics in sustainable crafts?

2 Methodology

2.1 database and methodology of bibliometric analysis.

Scientometrics or bibliometric analysis is a technique that mainly aims to identify, organise, and analyse metadata to examine the evolution of an area of knowledge over a specific period ( Lievrouw, 1989 ; Cronin, 2001 ; Keathley-Herring et al., 2016 ; Rey-Martí et al., 2016 ).

For the data, we used the Scopus database. However, the main scientific repositories such as Web Of Science, Scopus, PubMed, and Google Scholar have been consulted, following the recommendations of Harzing and Alakangas (2016) and Mongeon and Paul-Hus (2016) . Scopus was selected because 1) it is the repository that contains the largest volume of information in terms of authors, countries, and institutions ( Zhang and Eichmann-Kalwara, 2019 ); 2) it contains the greatest volume of articles and journals that meet the scientific quality requirements of peer review ( Ackerson and Chapman, 2003 ; Mingers and Lipitakis, 2010 ); 3) although its metrics correlate highly with Web of Science, the coverage provided by the latter is lower ( Bakkalbasi et al., 2006 ; Archambault et al., 2009 ); and 4) it shows detailed attributes and variables of publications ( Nascimento and Rodrigues, 2015 ). Thus, Scopus has been selected as the most suitable repository for bibliometric reviews ( Donthu et al., 2021 ).

2.2 Methodological Procedure

The bibliometric or scientometric analysis was carried out in three phases (see Figure 1 ).

FIGURE 1 . Applied bibliometric analysis methodology. Source: Authors’ own.

First, the search criteria were selected to identify the records in the repository (identification phase). Then, having obtained the records that met the search requirements, the data were exported for analysis using the Vosviewer v. 1.6.18 software (analysis and visualisation phase). Finally, the connections and associations between the scientific documents were established, and a discussion was established (results and discussion phase).

2.2.1 Identification Phase

The search for the selected terms was carried out using the fields “article title, abstract, and keywords."Accordingly, the search terms used were as follows: (TITLE-ABS-KEY (“craft” or “craft” or “craft practice” or “craft product” or “crafts” or “craft production” or “handicraft” or “handicrafts” or “craft industry” or “craftmanship”) AND TITLE-ABS-KEY (“sustainable” or “sustainability” or “sustainable development")) AND (EXCLUDE (PUBYEAR, 2022) OR EXCLUDE (PUBYEAR, 2000) OR EXCLUDE (PUBYEAR, 1999) OR EXCLUDE (PUBYEAR, 1998) OR EXCLUDE (PUBYEAR, 1997) OR EXCLUDE (PUBYEAR, 1996) OR EXCLUDE (PUBYEAR, 1995) OR EXCLUDE (PUBYEAR, 1994) OR EXCLUDE (PUBYEAR, 1993) OR EXCLUDE (PUBYEAR, 1992) OR EXCLUDE (PUBYEAR, 1991) OR EXCLUDE (PUBYEAR, 1990) OR EXCLUDE (PUBYEAR, 1989) OR EXCLUDE (PUBYEAR, 1986)) AND (LIMIT-TO (DOCTYPE, “ar")). The data were downloaded in January 2022, obtaining 1,537 documents that met the search requirements.

The first filter applied in Scopus was the type of scientific paper. Next, research articles were selected since, according to Paul et al. (2021) , these are evaluated based on novelty and undergo a rigorous blind peer-review process, ensuring higher scientific quality. Consequently, we excluded 585 publications that did not meet the search criteria.

The time horizon filter was then applied, selecting 2001–2021. As a result, the total number of documents meeting the search requirements was 894.

2.2.2 Analysis and Visualisation Phase

Additionally, we used Voswiever v.1.6.18 to generate network maps, which allows us to cluster and process words ( Sedighi, 2016 ; Meseguer-Sánchez et al., 2021a ; Gálvez-Sánchez et al., 2021 ). Consequently, from the sample of articles meeting the search requirements, we analysed the interactions between authors, countries, and the evolution of keywords. This procedure has been widely used in many review studies for visualising co-citations and co-occurrence maps based on keywords ( Van Eck and Waltman, 2010 ; Belmonte-Ureña et al., 2021 ; Meseguer-Sánchez et al., 2021b ). The keyword analysis allowed us to examine the conceptual domains and detect the existing interrelationships.

2.2.3 Results and Discussion Phase

Authors, journals, subject areas, countries, institutions of affiliation, Global cooperation networks, and keywords were analysed. In the case of authors, institutions, and countries, Global cooperation networks have been established based on the analysis of co-authorship. Thus, as the frequency of co-authorship increases, the interrelationship between them intensifies, increasing the conceptual relationship between them. The keyword analysis is based on the co-occurrence method, developed to identify a conceptual and thematic structure. The results show an overview of the most explored research themes in the relationship between crafts and sustainability.

3 Publication Trends in Sustainable Crafts

This section presents the results concerning the main characteristics of the scientific production of sustainable crafts in 2001–2021 (see Table 1 ). Specifically, the results are presented on the number of published articles, authors, countries, institutions, citations, journals, the average number of citations, and the average number of authors in the research area.

TABLE 1 . Main characteristics of the scientific production in sustainable crafts. Source: Authors’ own.

The first publication in sustainable crafts was by Stahel, W. R. in 1986, concerned with optimising the lifespan of craft products ( Stahel, 1986 ). Since then, at least 953 articles have been published in this line of research and are available in the Scopus database. Table 1 shows the significant annual increase in all the scientometric indicators analysed in 2001–2021. This line of research has grown considerably and has acquired a relevant position in the current scientific literature, particularly since 2015.

However, as shown in Figure 2 , there are three distinct periods in the evolution of scientific output on sustainable crafts.

FIGURE 2 . Annual evolution of the number of published papers. Source: Authors’ own.

The first period runs until 2008 when the international financial crisis was declared and is characterised by a practically residual scientific production: a trend that has continued since this line of research began in 1986. The second period begins just after the financial crisis. It covers up to 2015, when there was a slight increase in research, possibly caused by changes in consumer habits resulting from the profound international economic and financial crisis. In fact, for Antal and Van den Bergh (2013) , after the global crisis of 2008, “ decoupling growth and environmental pressures is the main hope and focus of policy and a large part of the economy ,” alluding to the increasing popularity of green growth. Finally, the third period from 2015 onwards has seen exponential growth, possibly triggered by the 2030 Agenda and the 17 Sustainable Development Goals of the United Nations ( United Nations, 2015 ), which seems to have prompted researchers to more readily adopt the guidelines of the international community and apply these to the craft sector.

4 Most Influential Subject Areas and Publications in Sustainable Crafts

This section describes the results of the main thematic areas of publications on sustainable crafts, along with the most influential articles in this line of research.

Figure 3 shows the distribution of published research articles on sustainable crafts according to the various thematic areas of the Scopus database.

FIGURE 3 . Thematic areas in sustainable crafts. Source: Authors’ own.

Twenty-five thematic areas were identified concerning this line of research. Social Science is the subject area with the highest volume of scientific papers ( n = 351; 20.53%), followed by Environmental Science ( n = 225; 12.84%); Business, Management and Accounting ( n = 173; 9.87%); Arts and Humanities ( n = 159; 9.08%); and Agricultural and Biological Sciences ( n = 150; 8.56%). The remaining 39.61% of the publications are distributed across 20 thematic areas, indicating that the research topics in sustainable crafts are widely distributed. Therefore, this line of research is being approached from a multidisciplinary perspective.

Table 2 shows the most relevant publications in this research area according to the number of total citations.

TABLE 2 . Most relevant publications on sustainable crafts. Source: Authors’ own.

We have found different trends within the most relevant contributions to research on sustainable craftsmanship.

One trend is concerned with the sustainability of the craft sector based on the benefits of sustainable agriculture. Thus, while McCabe (2003) analysed agriculture to overcome the pressures of population growth, Calvo-Iglesias et al. (2006) explored the management of farmers’ knowledge to protect local cultural heritage and promote changes in the landscape.

Pieroni (2008) analysed how botanical taxa contribute to sustainable trade activities based on food, medicines, and craft products, while Schmidt et al. (2007) examined the effects of harvesting on population ecology for craft sustainability.

Other research articles address sustainability in the crafts sector from a broader perspective. For example, Wiek and Iwaniec (2014) critically reviewed sustainability criteria and their applications in crafts. Pansera and Sarkar (2016) , on the other hand, studied how new craft entrepreneurs are creating innovations that offer solutions to meet unaddressed and ignored consumer needs while achieving higher levels of sustainability, productivity, poverty reduction, and local inclusion. Feng and Chen (2018) also studied the impact of environmental regulation on green innovation in the craft sector.

Finally, the most cited research articles include proposals to protect the property rights of artisan cultural models ( Santagata, 2002 ). Some of these articles also explore the impact of sustainable tourism on the generation of jobs and wealth in local communities ( Mbaiwa, 2011 ) and the development of new concepts such as direct manufacturing resulting from the combination of artisanal production, mass production, and mass customisation ( Chen et al., 2015 ).

5 Major Contributions and Global Cooperation Networks

This section presents the productivity results of authors, institutions, countries, journals, and their Global cooperation networks. Global cooperation networks provide insight into the relationships between researchers and the dissemination of knowledge ( Chen, 2006 ), while collaborations enable new high-impact research by generating synergies that contribute to exchanging ideas ( Acedo et al., 2006 ). In the international cooperation maps, the size of the circles indicates the number of published scientific papers, the colours indicate the clusters of cooperation, and the distance refers to the frequency of co-authored publications. Table 3 shows the ten most productive authors in sustainable crafts in 2001–2021 and their main characteristics.

TABLE 3 . Most productive authors according to the number of research articles published. Source: Authors’ own.

Bernal, R. and Galeano, G., both of Colombian origin, are the most productive authors, with six published research articles, five of which have been co-authored. In addition, all the articles published by the other Colombian author in this line of research, García, N., were co-authored with his compatriots. The same is true of the British authors Walker, S. and Zhan, X., who have co-authored all their publications in this line of research.

Bernal, R., and Walker, S. are the two authors with the greatest dissemination of their research outcomes (37 and 34 total citations, respectively), the latter having the highest average number of citations per article (8.5). The low number of citations of the ten most productive authors in the research area translates to an H-index of between 1 and 3.

Figure 4 shows the global cooperation networks of the co-authors in sustainable crafts. For 2,394 authors, co-authorship on a minimum of two published articles was selected. A total of 132 authors were obtained, of which 36 form the eight clusters of international cooperation in sustainable crafts.

FIGURE 4 . Global cooperation networks of co-authors in sustainable crafts. Source: Authors’ own.

Table 4 shows the ranking of the 10 most productive institutions and their international cooperation results in the period 2001–2021 in the research line of sustainable crafts.

TABLE 4 . Ranking of the ten most productive institutions in sustainable crafts. Source: Authors’ own.

The most productive institutions are the American Arizona State University and the British Oslo Metropolitan University (both with eight research articles). The American institution has the highest citation volume and average number of citations per article (186 and 23.25, respectively). However, Lancaster University and The University of British Colombia achieve the highest H index in the research area (both with H index = 5).

Regarding the research outcomes of global networks, only the National University of Colombia publishes more articles from international collaborations than domestic co-authors (CI = 57.1%). In contrast, the Arizona State University and the Chinese Academy of Sciences published the same number of articles with international co-authors as those with domestic co-authors. At the other extreme are the two African institutions that have not published any articles with other international co-authors in this line of research. These findings suggest that the average number of citations is higher for articles published with domestic co-authors in 70% of the institutions, except for the Universidad Nacional de Colombia, Universidade de São Paulo, and the University of Waterloo.

Figure 5 shows the global cooperation networks of the institutions in sustainable crafts research. For 1,685 identified institutions, an interaction of at least two published research articles was selected, and 19 international institutions were identified.

FIGURE 5 . Global cooperation networks of institutions working on sustainable crafts. Source: Authors’ own.

There is a lack of connections between the institutions identified, indicating no Global cooperation network between the institutions working in this research area.

Concerning the most productive countries and their cooperative research results, Table 5 presents the top 10 in sustainable crafts in 2001–2021.

TABLE 5 . Top 10 most productive countries in sustainable crafts and their cooperative networks. Source: Authors’ own.

The United States and the United Kingdom are the most productive countries in sustainable crafts research, with 154 and 92 published articles. At the same time, these countries have also achieved the highest dissemination of their research results, with 2,786 and 1,168 total citations, respectively. Moreover, together with China, they are the countries with the highest H index in the research area (20 and 18 respectively). Despite this, Germany is ranked in the top 3 for total citations (915), making it the country with the highest average number of citations per article (32.68).

In terms of international cooperation results, the United States and the United Kingdom have the highest number of international contributors (37 and 34 respectively). However, most of their articles are published by domestic co-authors. Only Germany has cooperation rates above 50% (CI = 53.6%), while Canada and Australia have an international cooperation rate of 50%.

Figure 6 shows the Global cooperation networks of countries working in sustainable crafts for 2001–2021. For the 108 countries identified, analysis of at least six published research articles resulted in seven Global cooperation networks consisting of 37 countries. The high number of countries, together with the high level of interaction, indicates that a stable and extensive Global cooperation network on sustainable crafts exists at the international level.

FIGURE 6 . Global cooperation network of countries in sustainable crafts. Source: Authors’ own.

Finally, Table 6 shows the ten most productive journals in sustainable crafts and their main characteristics in 2001–2021.

TABLE 6 . Top 10 most productive journals in sustainable crafts. Source: Authors’ own.

Sustainability Switzerland is the most productive journal in sustainable crafts, with 35 publications, followed by Design Journal and Craft Research (15 and 14 respectively). However, the Journal of Cleaner Production, with only 12 publications, has achieved the greatest dissemination of research results, with a total of 449 citations. These numbers indicate that this journal has the highest average number of citations (37.42) and, therefore, the one with the highest H index in the research area (9), followed by the two most productive journals (Sustainability Switzerland and Design Journal).

6 Current and Future Research Topics in Sustainable Crafts

This section presents the results of the analysis of the keywords, which are representative of the content ( Comerio and Strozzi, 2019 ) in scientific papers on sustainable crafts up to 2021. Furthermore, this analysis allows for visualising the evolution of these research works throughout time ( Fang et al., 2018 ), creating a picture of the line of research ( Ding et al., 2001 ). Accordingly, co-occurrence is based on records sharing the same keywords are similar ( Kessler, 1963 ; Weinberg, 1974 ). For this purpose, we used the VosWiever tool, which, according to Park and Nagy (2018) , develops the keyword matrix based on extraction and frequency calculation.

Accordingly, the keyword analysis is organised according to the three time periods shown in Figure 2 .

6.1 Introduction of the Concept of Sustainable Crafts (2001–2007)

For a total of 71 research articles published in this period, only 17 keywords were identified, among which there is no co-occurrence. This finding indicates that in these 7 years, in addition to the few articles published, these works are unconnected. Consequently, there are no research topics that have been studied in depth.

6.2 Sustainable Crafts in the Aftermath of the International Financial Crisis (2008–2014)

For 221 research articles published in this period, 1,424 keywords were identified. Following the analysis of at least three co-occurrences, 78 keywords were obtained. After a filtering process that eliminated keywords incorporated in the search and others unrelated to the research (thus avoiding erroneous conclusion), the final number of keywords represented in Figure 8 is 42, divided into five clusters ( Figure 7 ).

FIGURE 7 . Keyword network on sustainable crafts for the period 2008–2014. Source: Authors’ own.

6.2.1 Ecotourism and Sustainable Fishing

Significant contributions have been made to the issue of ecotourism during this period. Thus, Mbaiwa (2011) studied the potential of using sustainable tourism as a tool for the economic sustainability of disadvantaged populations, while García-Rosell and Mäkinen (2013) proposed a stakeholder-based ecotourism evaluation model. In addition, Godratollah et al. (2011) put forward a methodological proposal that includes social, ecological, cultural, economic, and institutional indicators for ensuring tourism sustainability.

In terms of sustainable fisheries, the main contributions were those of Ross et al. (2008) , who developed a technology transfer programme to implement small-scale farming to ensure the sustainability of the Mexican silverside Menidia estor and protect the livelihood of farmers. In addition, Cillari et al. (2012) proposed the use of bottom longlining to ensure the sustainability and recovery of artisanal fisheries in the Strait of Sicily.

6.2.2 Resource Management

Zhang et al. (2010) were the first to propose a waste exchange model to improve energy efficiency and reduce the fossil fuel dependence of the craft sector, while Kabongo and Boiral (2011) created a model for the management of waste materials, proposing up to five types of waste recovery. da Silva Viera et al. (2010) focused on reincorporation into the production cycle, proposing the reuse of sawmill waste as raw material for the design of small wood products, thus ensuring the economic and social sustainability of disadvantaged populations.

Important contributions have also been made to the management of forest resources. For example, Bruschi et al. (2014) analysed the negative externalities of the production model and called for caution regarding the overexploitation and destructive harvesting of woody species to ensure their sustainability. Pieroni (2008) discussed how botanical taxa contribute to the development of sustainable trade activities based on food, medicine, and handicraft products. Moreover, Dovie et al. (2008) found that groups with greater botanical knowledge implement resource selection and apply habits oriented towards prioritisation, planning, and conservation monitoring.

6.2.3 Environmental Performance: Water Management

Important contributions have emerged in the governance of water management. For example, Kuzdas and Wiek (2014) studied various governance styles in water management in response to the impact of climate change, while Jaglin et al. (2011) argue that these measures should be based on workable co-production arrangements between local governments and other actors, underpinned by coherent coordination and regulatory mechanisms.

Moreover, contributions from the management of the cultural heritage of water emerged in this period. For example, Rugani et al. (2011) found that, in the Italian city of Siena, aside from achieving better environmental outcomes than other contemporary management systems, conservation of its network of underground galleries was essential to the cultural heritage of the city. In addition, Studds and Miller (2010) proposed solutions for the reuse of dredged sediment materials to ensure the future viability of the waterway.

6.2.4 Forest Sustainability Management

In this cluster, the contributions are concerned with the management of forest resources. Thus, da Silva Viera et al. (2010) found that the reuse of forest residues contributed to the generation of new products, whose commercialisation also had important social and economic implications for the community. In addition, Bruschi et al. (2014) suggested a model that includes the participation of local communities in the forest management of woody species to avoid deforestation and overexploitation. Furthermore, Glover and Elsiddig (2012) suggested the design of integrated policies for sustainable forest management based on partnerships with local communities and the promotion of property rights, while for Camacho et al. (2012) , the experiences derived from the management of natural forest resource systems vary according to local cultures, beliefs, and traditions. Finally, in this period, Barzekar et al. (2011) proposed a set of multidisciplinary indicators for monitoring ecotourism in forests.

6.2.5 Knowledge Management for Sustainability

Finally, the smallest cluster includes some contributions toward knowledge management to achieve sustainability in the artisanal sector. The main works are those of Gavronski et al. (2012) , who established the relationship between knowledge management and the social climate of the plant to ensure sustainability in operations. In addition, Kabongo and Boiral (2011) proposed an analytical framework for managing waste material recovery practices, while Griffiths (2012) concluded that environmental quality standards contribute to developing new, more sustainable manufacturing technologies.

6.3 Sustainable Crafts in the Framework of the 2030 Agenda and the 17 SDGs (2015–2021)

From 602 research articles published in this period, 2,622 keywords were identified. After analysing at least five co-occurrences, 80 keywords were obtained. After further filtering, the final number of keywords represented in Figure 8 is 43, grouped around 4 clusters.

FIGURE 8 . Keyword network on sustainable crafts for the period 2015–2021. Source: Authors’ own.

6.3.1 Local Sustainability

An important part of the search for sustainability in the craft sector has been based on local impact. The latter constitutes the main axis of the sustainable development of traditional crafts, as their end products have dual artistic and economic characteristics ( Fan and Feng, 2019 ). Chen et al. (2015) established different manufacturing paradigms ranging from handcrafting to mass production with the industrial revolution, finding that artisans often produced various products. Still, the products shared similarities in their production methods, although sometimes their marketability was limited to the local community Chen et al. (2015) .

Along these lines, some authors have analysed how craft brewers are clear indicators of urban renewal and economic development of territories ( Gatrell et al., 2018 ), while souvenir shops selling artisanal products tell local and ‘real’ stories and are therefore more accepted by tourists than mass-produced souvenirs, even if the latter are often cheaper ( Anastasiadou and Vettese, 2019 ). Consequently, in the face of increasing tourism, the craft sector contributes to the economic sustainability of local regions more than the industrial sector ( Olya et al., 2018 ). Therefore, the conservation and sustainable management of natural resources require the involvement of all stakeholders, including local communities ( Gosling et al., 2017 ). Additionally, the artisanal sector must be oriented towards green innovation, defined by Feng and Chen (2018) as the application of production technology and equipment in the artisanal production process, while highlighting the need to incorporate aspects of environmental regulation to transition towards a green artisanal economy.

6.3.2 Cultural Heritage Management

Chi et al. (2020) conclude that rural crafts and local cultures are the main attractions for visitors to rural destinations. Therefore, these authors emphasize the importance of protecting and promoting local culture and heritage to maintain and develop tourism in such areas. Furthermore, the handicraft sector is one of the key factors for sustainable tourism development ( Olya et al., 2018 ). In this sense, proper heritage management of the sector contributes to people learning, protecting, and enhancing traditional crafts while achieving sustainable management and efficient use of resources ( Li et al., 2019 ). In this context, Pallarès-Blanch et al. (2015) point out that craft activities with high added value are more closely0020aligned with sustainable principles.

From the perspective of ecotourism, guided itineraries allow for a better understanding of the community and its potential, favouring its conservation and the community’s economic development ( Gosling et al., 2017 ). Two major sectors contribute to ecotourism from the standpoint of heritage management: craft breweries, which help to conserve and restore cultural heritage buildings ( Feeney, 2017 ); and craft food shops, which carry the nostalgia of a rural past, satisfying the imagination and needs of visitors, contributing to the sustainability of the tourist destination ( Guan et al., 2019 ).

6.3.3 Resource Management

In terms of resource management in this period, Huang (2015) was the first to propose applying circular economy models to the craft sector, while Bozkurt and Lara-Cohen (2019) highlighted the importance of repair work in developing environmentally sustainable societies. In addition, Pao et al. (2015) emphasized the need to encourage renewable energy development, and Mustafa et al. (2015) drew on natural resource management to enhance ecotourism and local artisan products.

The management of natural plant resources provides people with food, fuel, medicines, and materials for construction and manufacturing handicrafts and many other products. For example, for Schösler and de Boer (2018) , food has become a key aspect of achieving sustainability goals. Accordingly, Sperandio et al. (2017)Accordingly, Sperandio et al. (2017) have provided technical solutions for the valorisation and reuse of brewery waste, while Hannibal and Kauppi (2019) assess the social sustainability of supply chains, considering that information asymmetries can lead to uncertainty about the production and marketing of goods.

Resource management provides the artisanal sector with social, environmental, and economic benefits, and it also contributes to preserving cultural identity and the livelihoods of local communities ( Maroyi, 2017 ).

6.3.4 Social Sustainability

A thorough understanding of livelihoods is necessary to ensure that development policies are compatible with resource conservation and social and economic development goals, i.e., sustainability ( Simard et al., 2019 ).

In the search for social sustainability, authors have mainly paid attention to sustainable agriculture. For example, according to Schösler and de Boer (2018) , food is a central focus for achieving sustainability objectives, and these authors consider the need to adopt more reflective practices that can incorporate the sustainability dimension. For Maroyi (2017) , knowledge about plant species, particularly in developing countries, provides people with food, fuel, medicines, and materials for construction and the manufacture of handicrafts. Similarly, Schnitzer et al. (2016) developed and tested a sustainable livelihood model consistent with environmental protection in handicraft villages in rural areas, based on different techniques and integrated components, including xhandicraft production.

However, some authors have paid attention to other issues. For example, the supply chain is of particular importance in labour-intensive industries such as handicrafts ( Hannibal and Kauppi, 2019 ). In addition, Laitala et al. (2018) focused on fashion to show how repair, redesign, and modification are real alternatives for prolonging the usage life of clothing, correlating positively with the environmental and social benefits perceived by consumers.

Finally, the keywords from this period are ordered from darkest to lightest colour, thus showing future research trends in the craft sector ( Figure 9 ).

FIGURE 9 . Future research trends in sustainable crafts. Source: Authors’ own.

Future research trends in sustainable crafts mainly focus on the potential of heritage management, knowledge, and promotion of the craft sector’s values, traditions, and fundamentals for achieving social, economic, and environmental sustainability.

7 Discussion and Conclusion

This article employed scientometric methodology to address the conceptual development of sustainable crafts in the period 2001–2021. To achieve this objective, we conducted a bibliometric review of 894 research articles available in the Scopus database for the selected period, generating four main conclusion:

C1. The main characteristics of the research area indicate strong growth in the concept of sustainable craftsmanship in the 21st century and, consequently, an increased level of interest from the research community. The large number and weighting of thematic areas presented in Figure 3 suggest a high degree of multidisciplinarity in this area of knowledge. In addition, three distinct periods have been detected, with the period following the declaration of the 2030 Agenda leading to exponential quantitative and qualitative growth in this research area.

C2. The most prolific authors in sustainable crafts have been the Colombian authors Bernal, R. and Galeano, G., while Arizona State University is the most productive institution. The United States is the most prolific country, while the most productive journal is Sustainability Switzerland.

C3. A low degree of international cooperation has been detected, particularly at author and institution levels. However, countries—although showing particularly low output—have significantly larger and more consistent Global cooperation networks.

C4. Multiple research themes have been identified. While in the period 2001–2007, relatively few research articles were published, and these had low interrelation and no particular topic of interest, after the international financial crisis, the following topics were identified: ecotourism and sustainable fisheries; resource management; environmental performance: water management; forest sustainability management; and knowledge management to achieve sustainability. However, the period 2015–2021 saw exponential growth, with four major emerging research themes: local sustainability, cultural heritage management; resource management; and social sustainability. Consequently, we detected a gradual increase in the keywords resulting from the research articles published in each of the three periods analysed and a quantitative and qualitative increase in the research topics, particularly after the United Nations published the 2030 Agenda and the Sustainable Development Goals in 2015. From this perspective, the main research trends in the foreseeable future will focus on the potential of heritage management, knowledge, and the promotion of the sustainable craft sector’s values, traditions, and foundations.

Thus, the present work makes a novel and innovative contribution to this research area. Specifically, we have provided a holistic view of crafts through the lens of sustainability, following the recommendations of Väänänen et al. (2017) , finding a great growth in scientific production in this research field after the 17 SDGs. This increase has caused new concerns to arise in the artisan sector, which is adopting a comprehensive vision of sustainability. Consequently, our conclusion extend the considerations of Fröcklin et al. (2018) and Oyekunle and Sirayi (2018) , finding social, environmental, economic and cultural applications in the concept of sustainable crafts. However, we have not found any research work that addresses the influence of sustainable crafts on the Sustainable Development Goals, so we propose that future research addresses the impact of the sustainable actions of the crafts sector on the various SDGs.

As a result, we conclude that the craft sector has responded to the challenges posed by sustainability. A very relevant aspect of the artisan sector has traditionally been its contribution to local development. While Yang et al. (2018) , Oyekunle and Sirayi (2018) and Zhan and Walker (2019) detected the productive and recovery value and asset management of the sector, our findings extend to the consideration of sustainable craftsmanship that has been the engine of the development of productive sectors auxiliary, such as tourism, thus causing strong professional development and employment growth, especially in rural areas. At the same time, this concern for management has contributed to a greater awareness of environmental issues, giving rise to a more sustainable social and environmental management model. Thus, traditional crafts have adapted to the challenges posed by the major international financial crisis, proposing sustainable solutions and alternatives to the unbridled consumption habits characteristic of industrial production. However, it is consumers who, through their purchasing decisions, ultimately determine the preservation of the sector. Therefore, we propose research studies that analyse the meaning of sustainability for consumers and how this can be incorporated into the brand image of artisan products.

A very relevant theme of sustainable crafts is concern for the environment. Our findings extend the considerations of Zhan and Walker (2019) , finding that sustainable crafts is, at least in its concept, a clean production model that already has instruments to apply the operating bases of the circular economy. Consequently, we have verified that solutions have been proposed for the correct management of natural resources, as well as for recycling, the recovery of waste and its reincorporation into the supply chain. However, there are still margins for improvement in sustainable crafts in the environmental dimension, especially linked to the development of indicators to measure the circularity of the craft production process, for which we propose the development of lines of research that contribute to the development of indicators. that help the craft sector to continue moving towards a cleaner production model.

For all these reasons, we conclude that after the Sustainable Development Goals, sustainable crafts have experienced strong growth in their concern for social, economic and environmental sustainability, becoming a productive model that respects the environment, generating growth and economic development. local, which coincides with the findings of Väänänen and Pöllänen (2020) .

Consequently, our findings could be useful for policymakers since we provide a scientific basis for the impact of the craft sector on environmental, social, and economic sustainability. As a result, policymakers could implement mechanisms to ensure and promote the values and survival of traditional crafts. In addition, our findings could be valuable for the artisans themselves and their representative institutions by demonstrating examples of good sustainable development practices to enhance sustainability at the local level. Finally, our results could also help researchers, as we provide data that could underpin their future hypotheses concerning the trajectory of the existing discussion on sustainable crafts.

Finally, we should note that this study has certain limitations that should be considered for future research. The database used was Scopus, so we propose considering other repositories such as Google Scholar or Web of Science. In addition, we have only considered research articles in this review. Thus, in future work, we consider it worthwhile to incorporate a greater diversity of research documents, such as book chapters or conference papers, which could complement the information obtained. Moreover, the computer tool used for data visualisation and clustering was VosWiever, and so using other software could also provide slightly different or complementary results. Finally, the bibliometric analysis methodology does not consider that citations require time to be analysed. Thus, content analysis could provide a complementary method for evaluating research in the future ( Hughes, 2011 ).

Data Availability Statement

The original contributions presented in the study are included in the article/supplementary material, further inquiries can be directed to the corresponding author.

Author Contributions

Conceptualization, MP-P, FG-S, and AG-L; methodology, MP-P, and FG-S; formal analysis, MP-P, and FG-S; writing—preparation of the original draft, MP-P, FG-S, and VM-M; Writing—Proofreading, and Editing, MP-P, FG-S, AG-L, and VM-M; supervision, AG-L, and VM-M; acquisition of funds, AG-L, and VM-M. All authors have read and accepted the published version of the manuscript.

This study was funded by RRREMAKER. RRREMAKER MSC-RISE-H2020 project has received funding from the European Union’s Horizon 2020 Research and Innovation programme under the Marie Skłodowska-Curie, proposal number: 101008060.

Conflict of Interest

The authors declare that the research was conducted in the absence of any commercial or financial relationships that could be construed as a potential conflict of interest.

Publisher’s Note

All claims expressed in this article are solely those of the authors and do not necessarily represent those of their affiliated organizations, or those of the publisher, the editors and the reviewers. Any product that may be evaluated in this article, or claim that may be made by its manufacturer, is not guaranteed or endorsed by the publisher.

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Keywords: sustainable crafts, environmental sustainability, social sustainability, scientometrics, literature review

Citation: Prados-Peña MB, Gálvez-Sánchez FJ, García-López A and Molina-Moreno V (2022) Sustainable Crafts: Describing Conceptual Evolution Through a Bibliometric Analysis and Systematic Literature Review. Front. Environ. Sci. 10:949681. doi: 10.3389/fenvs.2022.949681

Received: 21 May 2022; Accepted: 07 June 2022; Published: 29 June 2022.

Reviewed by:

Copyright © 2022 Prados-Peña, Gálvez-Sánchez, García-López and Molina-Moreno. This is an open-access article distributed under the terms of the Creative Commons Attribution License (CC BY). The use, distribution or reproduction in other forums is permitted, provided the original author(s) and the copyright owner(s) are credited and that the original publication in this journal is cited, in accordance with accepted academic practice. No use, distribution or reproduction is permitted which does not comply with these terms.

*Correspondence: Francisco Jesús Gálvez-Sánchez, [email protected]

† These authors have contributed equally to this work and share first authorship

Disclaimer: All claims expressed in this article are solely those of the authors and do not necessarily represent those of their affiliated organizations, or those of the publisher, the editors and the reviewers. Any product that may be evaluated in this article or claim that may be made by its manufacturer is not guaranteed or endorsed by the publisher.

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Chapter 2: literature review on the handicraft industry and institutional change.

The author will review what has been discussed in the Introduction and inspect the previous findings and debates to lay a foundation for future analysis. The literature review will be focused on the following questions: What were the properties and fate of the handicraft industry from the Ming and Qing Dynasties to the Republic of China, especially in the late Qing and the early Republic of China periods? Was the handicraft industry flourishing or completely destroyed under the influence of commercialization? If it developed to some extent or flourished, what was the driving force? What was the effect of institutional change on the handicraft industry?

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A Systems View Across Time and Space

• Open access
• Published: 12 October 2023

Digital and innovative entrepreneurship in the Indian handicraft sector after the COVID-19 pandemic: challenges and opportunities

• Uma Shankar Yadav 1 ,
• Ravindra Tripathi 1 ,
• Mano Ashish Tripathi 1 ,
• Indrajit Ghosal 2 ,
• Ashish Kumar   ORCID: orcid.org/0000-0003-0201-082X 1 ,
• Mitu Mandal 1 &
• Akanksha Singh 3  

Journal of Innovation and Entrepreneurship volume  12 , Article number:  69 ( 2023 ) Cite this article

5062 Accesses

6 Citations

Metrics details

This research focuses on the factors that barriers and foster (drivers) digital innovation and entrepreneurship amongst small businesses operating in the Handicraft industry after the economic downturn. From the perspective of new Indian craft entrepreneurs, digital and innovative entrepreneurship is crucial to surviving the crisis. It will eventually encourage the development of the handmade goods market and the artisanal reconfiguration as a business. In this study, the qualitative method was used. For the creation of themes, Inductive content analysis (analytical, inductive technique) was used to interview fifty online handicraft business owners who rely on their craft talents for income. After the pandemic, two types of motivation were generated for handmade entrepreneurs. The first motivation was extrinsic, which conditioned the handicraft market, restricted mobility, and upgraded household status for entrepreneurship. The second was intrinsic motivation among the craft entrepreneurs who generated individual and professional skill growth. These two factors encouraged digital craft innovations and entrepreneurial advancement of transitioning handicraft companies to digital platforms. After the interview, respondents explained several hindrances or restrictions, market interruption, and quality internet. Even after that, it resolved as the effect of the pandemic reduced and digital skill training for innovation and entrepreneurship passion increased for developing a robust programme that supports the handicraft new entrepreneurs after the economic calamities. This finding contributes to the area of investigation and contributes to entrepreneurship literature. This study will open the route for making the policy and development of solid strategic plans for the handicraft sector’s new craft entrepreneurs. With the help of innovative and digital entrepreneurs, small-scale or craft industries will boost the Indian economy and give some of the best suggestions for global economies. For developing economies, this study will also empower entrepreneurs to open new dimensions for marketing, supply chain, and exportation and will finally increase the Globalisation of handmade products.

Introduction

The pandemic of COVID-19 has caused widespread calamities across all sectors of society. The World Health Organization estimates that 279 million individuals were infected with the COVID-19 pandemic, and 5 million died (WHO, 2021 ). To prevent the spread of coronaviruses, many countries instituted societal and economic restrictions that limited people’s ability to travel and communicate with one another.

Physical isolation and closure have sped up the transition to digital entrepreneurship in the handmade goods industry, particularly with the rise of digital platforms (Dannenberg et al., 2020 ). Recent years have seen an uptick in research debating the elements and conditions that make the e-technology transition of craft companies possible, as well as government policies that encourage such a shift (Sahut et al., 2019 ). The economy and job creation suffered greatly due to the pandemic. Some of the most well-known digital and inventive enablers (Steininger, 2019 ) include open social media, educational resources, 3D printing, data mining, crowdsourcing, and digital photography, all stimulating new artisans or entrepreneurs by lowering the restriction between small-scale business creation and invention. As noted by del Olmo-Garca et al. ( 2020 ) and Gavrila et al. ( 2020 ), the COVID-19 pandemic also played a role in hastening the digital transformation of small and large businesses, particularly in the handicraft sector (Small scale industries). As lockdowns become the standard, companies and customers in the handmade goods industry are moving progressively to digital platforms, selling and purchasing more practical and aesthetically pleasing goods and services online, growing worldwide e-share commerce by 14–18% between 2019 and 2020. By 2024 (Coppola, 2021 ), it could reach 22%.

The effects of economic disasters vary greatly depending on the company’s size. The UN Conference on Trade and Development (UNCTAD, 2021 ) produced a study detailing the successes and failures of various firms. The robust handcraft business relies on several critical factors, both internal and external to the organisation, such as financial literacy, savings habits, and the adoption of technology. However, small-scale businesses, especially those in the handicraft industry, often struggled financially and did not have an online presence (Igbinakhase, 2021 ). There are three possible routes to modest prosperity; those with the most digital maturity have transformed the transition to digital handicraft-related companies.

Those with low digital maturity and cash flow issues modernise their sales methods. Finally, partners with exceptional digital skills help those with limited computer literacy (Priyono et al., 2020 ). Many developing and industrialised nations rely heavily on the handicraft sector (Mukhoryanova et al., 2021 ). Since the traditional and cultural industry is a part of tiny businesses in the digital and global world, research is required to analyse its ongoing development.

More than two-thirds of India’s workforce is employed by micro, small, and medium-sized enterprises (Handicraft industries). Although research on the effects of the COVID-19 pandemic on Handicraft industries has been conducted elsewhere (Herrera, 2020 ; Kim, 2021 ; Sahoo & Ashwani, 2020 ), it has received less attention in India. To wit, studies by Parilla ( 2021 ), Hidalgo et al. ( 2021 ), and Tudy ( 2020 ) looked into how mobility restrictions caused by the pandemic affected the digitalisation of small enterprises. Reyes ( 2021 ) conducted a more in-depth study that evaluated the economic effects of the pandemic and the government’s policies and interventions from the perspective of the executives and directors of the country’s leading business firms. Therefore, this study aims to add to the existing body of literature by investigating the motivations and problems of Handmade industries’ digital transformation in economic upheaval from the perspective of new handicraft business owners in India. Understanding how new entrepreneurs are viewed is critical because of their potential to spur innovation and economic progress and their determination to make a positive difference in their communities (Agoot, 2015 ; Damoah, 2020 ).

The primary goal of this research is to examine how economic calamities motivate M&S enterprise innovation. In particular, we hope to (1) learn about new people’s first-hand accounts of running a business after the COVID-19 crisis; (2) delve into the difficulties of moving a company into the digital realm; and (3) assess the implications of these findings for economic recovery through online entrepreneurship from the perspective of new people themselves. As a case study, India served as a setting for interviews with new handicraft business owners who provided their insights into the study’s central questions. Qualitative inductive content analysis was used to analyse the data. The investigation uncovered Handmade industries’ digital innovation drivers (intrinsic and extrinsic motives) and problems in the face of economic upheavals like the pandemic. This study’s findings can be used to advocate for government and stakeholder support of entrepreneurship as a strategy for economic recovery after the pandemic.

Background of digital entrepreneurship

According to the European Commission ( 2015 ), “digital entrepreneurship” is starting new enterprises or reimagining existing ones by creating or adopting cutting-edge digital technologies and novel applications. Innovation in internet-delivered businesses, products, or services encompasses new business and digital product launches. The digital transformation of a preexisting business activity within a company or the public sector was also considered part of digital entrepreneurship. With risk-taking attitudes and dogged determination, entrepreneurs create fresh ideas, develop novel products, and bring them to market for commercialisation. Many doors will open for handicraft business owners willing to embrace strategic innovation through digital platforms.

From an economic standpoint, platforms can be considered “two-sided markets” (Armstrong, 2006 ) where sellers and buyers meet to conduct transactions. Digital platforms are a standardised infrastructure on which various services can be hosted. Those findings can be found in Ojala et al. ( 2018 ). Use Airbnb to rent a home in a foreign nation or use Airbnb to listen to music on Spotify or iTunes. Value generation and distribution rely heavily on digital channels. The proliferation of digital platforms acts as innovation boosters for start-ups to create supplementary goods and services (Gawer, 2009 ). About background and development of digital entrepreneurship, please see figure where there is clear classification of development of digital and innovate entrepreneurship, on how traditional entrepreneurship transformed to social entrepreneurship and now converted and transformed in digital and innovate entrepreneurship. How drivers and barriers affect this entrepreneurial development. So there are 3 steps given in Fig.  1 (Yadav et al., 2023a ).

Development of digital and innovative entrepreneurship within small industry (Handicraft industry) in theoretical view. Sources: figure designed by authors

Entrepreneurs now have access to exciting innovation prospects thanks to contemporary digital technologies, including social media, mobile technology, business analytics, big data gathering, and AI (Chalmers et al., 2020 ; Cohen et al., 2017 ; Holmström, 2022 ; Holmström & Hällgren, 2021 ). The ‘democratisation of entrepreneurship’ (Aldrich, 2014 ) and the lowering of barriers for digital startups have been made possible by these new digital technologies, referred to as ‘external enablers’ (Davidsson, 2015 ). This is because they make it easier for entrepreneurs to transition from having an idea to launching a successful business (von Briel et al., 2018 ). The activity of exploring “new venture opportunities presented by new media and internet technologies” (Davidson & Vaast, 2010 ) is known as digital entrepreneurship, and as a result, it is gaining attention on a global scale (Fang et al., 2018 ; Nambisan, 2017 ). Even while this type of entrepreneurship and traditional entrepreneurship share many similarities, there is a substantial distinction between the two in that some or all of the critical activities in the former are in digital rather than non-digital formats.

For the sake of this essay, a digital startup is defined as an enterprise that uses digital and innovative entrepreneurship in its operations or offers a digitally oriented-good or service. According to Huang et al. ( 2017 ), rapid scaling concerning digital startups is a process by which a venture’s user base grows significantly over a short period. Rapid scaling is not always generative and must be carefully monitored by reflective agents to survive (Garud et al., 2010 ). We contend that in the case of digital companies, such attention entails thoughtful actors working to scale their user base. Although previous research indicates that digital and innovative entrepreneurship is essential to this scaling, little is known about how digital companies achieve scaling. Complexity rises as digital entrepreneurs use new digital and creative entrepreneurship to create unique entrepreneurial acts that hasten the creation of new businesses (Huang et al., 2017 ). To reduce the barriers associated with entrepreneurship, many organisations and service providers are trying to act as incubators (Al-Mubaraki & Busler, 2017 ; Gonthier & Chirita, 2019 ; Pettersen et al., 2015 ; Ratinho et al., 2020 ; Shankar & Shepherd, 2019 ; Shepherd & Gruber, 2020 ). Aspiring digital entrepreneurs must develop, learn, and change in these incubator environments.

Background of the handicraft sector

We know that the handcrafted item was created manually or using simple tools in which the leading role of the hand is used. In India, the handmade industry has provided a top job to rural and tribal people, even through unorganised work. Handicraft products are called artisans, and they are mostly unskilled and semiskilled. Nowadays, many craft entrepreneurs are taking training, and now they are primarily skilled artisans. The handicraft industry has been connected in India since the marina period, and our older tradition was using handmade products in our daily lives. There was 33% export after the Mughal period (Yadav et al., 2020 ). Indian carpet was exported from India to other countries like the Gulf, Iran, and the Middle East, and Indian terracotta was also shipped from India to their country. The brass industry, pottery industry, Banarasi sari, Chanderi sari, kalamkari, Patola sari, and Bandhani sari are some example of handmade product that has significant demand in other countries. But after that, the use of the handmade industry declined, destroying the use of handmade industry products and replacing them with machine-made craft products. And thus, Indian traditional craft artisans became jobless and straining with earning and work.

Even in the last decade, the Indian government has been trying to revise this industry as our local talent and increasing the promotion of craft products at local and international levels. But when the worldwide pandemic COVID-19 affected the world and some workers from other countries and states returned to their homes and became jobless, these workers had no option. At that time, there were again turned towards handmade products; meanwhile, the Indian prime minister gave a slogan (vocal for locals and launched a program called Aatmanirbhar Bharat Abhiyan on 12 May 2020 (Kumar et al., 2022b ). Due to the pandemic, the handicraft sector, with another industry, also experienced some problems: financial calamities and due to the toy lockdown, the handmade product was not sold at the global level.

At this time, digital and innovative entrepreneurship and innovation in the handicraft industry has given a new dimension to handicraft products as part of the small-scale industry. Most entrepreneurs are not technical and traditional, but must turn their skills to digital and innovative entrepreneurship and create their craft with innovation. In this, they have to compete with global machine-made products. There are different factors and challenges in this sector and front of craft entrepreneurs, especially new craft entrepreneurs, because they face competition with international machine-made craft. The pandemic also affected their market, decreasing sales (UNCTAD, 2021 ). In this way, new handicraft entrepreneurs or artisans have faced different difficulties, restriction and now, they need government support to promote and produce craft products.

The paper aims to analyse the difficulties of digital entrepreneurship platforms and propose solutions based on those difficulties. The goal is to investigate and support digital entrepreneurship and innovation for its potential to enrich lives and boost economies. The biggest challenge facing digital entrepreneurs is the consumer base’s reluctance to change their buying habits in favour of buying via digital platforms. Especially among the senior population, there is a lack of familiarity with cell phones for making purchases and interacting with digital media. The availability of reliable internet service is another issue that has hampered the expansion of digital enterprise in some remote places.

Current studies

Research efforts are concentrated on digitalising and innovating handicrafts to compete favourably with machine-made items across various sectors and geographies. According to a survey conducted digitally before and after the outbreak, businesses in India’s service, wholesale, manufacturing, and tourism industries increased their use of digital and innovative entrepreneurship after the pandemic (Muhamad et al., 2021 ). The current research draws on effectuation, resilience, Bricolage, and dynamic capabilities to understand the difficulties new people starting businesses online after the pandemic face.

Customers have more faith in the efficacy of digital and innovative entrepreneurship as a problem-solving tool because research shows that its use after COVID-19 increased customer satisfaction in the infrastructure and manufacturing (secondary sector) industries (Mohapatra et al., 2021 ). According to research conducted by Jorge-Vázquez et al., ( 2021 ), in the European handmade and unorganised Cooperative Sector, the growth of online platforms and structures of craftsmanship product business has been an undeniable component of interest as a promotional tool for a series of calamities procedures yielding benefits in terms of effectivity, productivity, business and marketing competitiveness, supply chain of craft product, and efficiency. blockchain technology, machine learning (ML), deep learning, and artificial intelligence (AI), which simplify some data analytics and data management challenges, are examples of how digital and innovative entrepreneurship transformation may help solve problems with craft skills (Massaro, 2021 ).

More than 69 per cent of India’s artisan labours are employed by the handicraft industry, which accounts for over 87.5 per cent of all registered enterprises (Kumar et al., 2022a ). Although several studies (Herrera, 2020 ; Kim, 2021 ; Sahoo & Ashwani, 2020 ) have examined the effects of COVID-19 on the international handicraft industry, this vital issue has been given surprisingly little attention in India. Several studies have examined how the pandemic has affected the trend toward digitising handicraft products (Hidalgo et al., 2021 ; Parilla, 2021 ; Reyes, 2021 ; Tudy, 2020 ; Yadav et al., 2022a ) to determine the monetary impact of COVID-19 and government policies and activities by conducting interviews with the top brass of India’s most lucrative firms.

This study aims to add to the existing body of knowledge by investigating, from the vantage point of new Indian handicraft entrepreneurs, the forces driving and impeding the handicraft industry as part of the digital transformation of small-scale industries amid economic crises. Motivated to do good for their communities, today’s new handicraft business owners are shaping the future of digital and innovative entrepreneurship, innovation, and economic growth (Damoah, 2020 ). Given India’s status as the world’s social media capital (Agoot, 2015 ), it is no surprise that India’s new handicraft artisans are enthusiastic about the success of the country’s economic strategy for the middle class for handicraft businesses.

Justification of the research

This study plays a vital role and justifies that it is unique because most of the research has been done in the small industry or manufacturing sector, and the maximum use of digital and innovative entrepreneurship and entrepreneurship is in another industry. However, this study will focus on using digital and innovative entrepreneurship in handicraft industries after economic calamities. This will explore the idea of the opportunity and challenge different factors that affect new handicraft entrepreneurs. And it also studies the impact of the pandemic on the craft industry in India. This unique base site is entirely qualitative and inductive content analysis. Most of the Research is qualitative, exploring the theoretical knowledge of new entrepreneurs. It studies the barriers, challenges, reasons for business closure, and business productivity after such a position.

Research questions

For a better understanding of this study’s different problems in the handicraft sector, we have created some open-ended questions like the following questions developed following the hypothesis and research framework of this study:

How did you start or participate in an online business sailing or promoting handmade products after the pandemic?

What problems did you face while running your online handicraft store after COVID-19?

“What did you take away from these experiences?”

After COVID-19, what policies may be implemented to encourage artisanal entrepreneurship and help new people get their firms off the ground?

How did the pandemic affect your craft business, and what difficulties did you face?

Contribution of the study

This study will support the different craft entrepreneurs on how to work in this sector when some calamities occur. This will help the researcher develop new ideas that assist the industry sector, whether manufacturing, MSME or handicraft sector, to create demand and market supply of the product. It will also generate job or employment options for workers, even after financial or pandemic crises. The government can make policies for artisans and entrepreneurs to support them even in such a situation. The managerial decision can manage the industry to operate in the worst condition without harming any job and maintain the organisation’s demand. This will recommend to the government to make policy and social development.

The objective of the study

The primary purpose of this study is to investigate how economic calamities stimulate innovative practices among Handicraft industries; to study digital and innovative entrepreneurship in the handicraft industry with particular reference to India; examine the barriers and drivers that affect entrepreneurship development in the craft industry. It is hoped that this research will serve as a foundation for organisation promotion, craft-related strategies, government policies, and economic recovery through online entrepreneurship by (1) exploring the experiences of new handicraft business owners after the COVID-19 crisis; (2) examining the challenges of transitioning to the digital realm; and (3) evaluating the significance of these findings. Interviews with new handicraft entrepreneurs in India were conducted to gather perspectives on the challenges.

Structure of the study

This article will be organised as shown below in 7 sections. Section 1 introduction (background, justification, current study, research questions, significance or contribution, Justification and overall study structure) can all be found in the first portion of a research paper. 2 Literature contains, 3: research methodology, 4: result, 5: discussion, 6: implication of the research, and 7 contains a conclusion. All other subsections under these sections are in italics emphasis.

Literature review

Theoretical background of entrepreneurship theory.

Some theory has been supported in filling the research gap on entrepreneurial development and innovation in the small and handicraft industries. In the same way, we have covered five different hypotheses here. Entrepreneurship and handicraft expertise involve providing services and items with a twist of imagination to satisfy the growing needs of the local Indian population. The foundation of every entrepreneurial endeavour is the capability to capture opportunities that emerge in the tertiary sector, commodities, and handicraft production techniques (Cohen et al., 2017 ; Frederick et al., 2016 ). Entrepreneurship can be defined as the willingness to try new things, take calculated risks, and put one’s own money into a firm. It is, therefore, viewed as an effective technique for addressing youth dependency and unemployment, potentially sparking artistic innovation and economic growth in any nation (Al Rayes and Kayiaseh, 2017 ; Geibel & Manickam, 2017 ; Page & Holmström, 2023 ).

In the last few decades, effectuation, entrepreneurial, bricolage, user entrepreneurship, and the creative perspective have described the principles and practices that drive small business growth and the differences between conventional and cutting-edge entrepreneurship approaches Fisher ( 2012 ). The latest COVID-19 conundrum has inspired academics to try new approaches like calamity theory, dynamic capacities, resilience, and digitalisation to better understand and explain the effects of the economy on handicraft sectors in nations with lower incomes, the severity of the crisis, and firm sizes (Belitski et al., 2021 ). Investigating the factors influencing and impeding digital and entrepreneurial innovation in the handcraft sector after the pandemic will be based on these ideas.

Effectuation theory Effectuation theory at first propounded by Sarasvathy ( 2001 ). When faced with uncertainty, craft artists, according to Effectuation Theory (Sarasvathy, 2001 ), veer away from the rational entrepreneur model and instead use a new set of criteria to make decisions. Current research by Haneberg ( 2021 ) indicates that companies’ reactions to the second “wave” of the COVID-19 outbreak depended on their level of uncertainty and the amount of knowledge they had gained from the “first wave”. The results also show that managers are more willing to experiment and focus on small losses when faced with calamity. Customers make purchases in precarious market conditions. Rather than focusing on goals, businesspeople often take charge of the available possibilities (Fisher, 2012 ). So, starting a business with the means is also an example of effectuation. New businesses in the handcraft industry are springing up all over the place (Chalmers et al., 2020 ; Frederick et al., 2016 ).

Resilience theory Meyer ( 1982 ) argues that the approach of resilience, which examines how businesses respond to crises and exogenous shocks, may also be used to characterise business uncertainty. Shocks are sudden, dramatic changes in the market reactions to news or other stimuli from outside the industry. Long-term recovery of individuals, organisations, and entire neighbourhoods is at the heart of resilience (Belitski et al., 2021 ). Beyond the COVID-19 pandemic, it argues that emerging enterprises can learn from their entrepreneurial spirit and adapt quickly to the economic upheaval caused by the pandemic.

Entrepreneurship bricolage theory According to Baker and Nelson ( 2005 ), entrepreneurial bricolage comprises “making do by using mixtures of the assets at hand to new problems and possibilities.” According to the bricolage idea, new entrepreneurs flourish where there are few resources or minimal economic progress and are more likely to create something new out of nothing by repurposing parts of old businesses. Because of the unpredictability of this pandemic, new ways of doing business have emerged. For instance, due to nationwide lockdowns and government limitations, consumer behaviour shifted toward internet purchasing (Lungu et al., 2021 ; Okumu et al., 2019 ). As a result of these conditions, new craft industries sought new business prospects. After the economic crisis, many handicraft business owners said they were forced to improvise and chart new organisational pathways (Kuckertz et al., 2020 ).

Theory of dynamic capability The micro and unorganised firm’s ability to build, correlate, and externally source skills and internally re-modify to meet rapidly shifting circumstances is defined by the Theory of Dynamic Capabilities (Teece et al., 1997 ). This notion has connections to the bricolage method of entrepreneurship. Absorptive capability refers to the organisational and strategic processes that enable entrepreneurs to modify their resource base (integrating resources, losing and obtaining resources, and recombining resources) to generate new methods of creating value. For instance, to adapt to the altered ecosystem caused by the pandemic, many small firms are rethinking their business models and acquiring new digital skills and technologies (Priyono et al., 2020 ).

The theory of digitisation is the result of merging the abovementioned ideas; it investigates how digital capabilities are used to adopt new business models, manage uncertainty, and strengthen resilience.

Institutional theory and variety of institutional system: digital entrepreneurship in developing economies

According to Meyer and Rowan ( 1977 ), institutional theory strongly emphasises how social context affects individual and organisational behaviour. According to institutional theory, people interact within social contexts with informal and formal rules and regulations that influence how people and organisations think and act (Fainshmidt et al., 2018 ).

To discuss how institutions in developing nations may have a different impact on people and organisations, the Varieties of Institutional Systems (VIS) framework has been advanced.

Institutional voids, described as inadequate or nonexistent market mechanisms (Jamali et al., 2017 ), are common in developing nations. While these gaps could present difficulties for digital companies, they could also introduce new possibilities. We can categorise institutional voids using the VIS framework into internal and external elements, which belong to the macro and microenvironment, respectively. Human capital, exposure to technological advances, ICT capabilities, technical knowledge, skill-based resources, financial situation, and perceptions and attitudes toward society and technology are all examples of internal institutional holes in a firm. The government, market e-readiness, level of social Trust, financial market, and supporting industries’ e-readiness are some examples of external institutional holes. Even if the aforementioned institutional components are linked to effective online venturing, material and cultural factors must also be considered when evaluating the success or failure of digital entrepreneurial endeavours.

The State can impact the economy through its various forms and direct and indirect market interventions. There are four different sorts of states: welfare states, developmental states, predatory states, and regulatory states. According to Rosecrance ( 1996 ), the latter form of State imposes and upholds regulations that directly impact economic activity. In a welfare state, the government primarily redistributes wealth to ensure its residents’ economic and social well-being. A development state is interested in using industrial strategy to progress various business sectors. Governments strategically oversee and support commercial ventures, trade, and e-commerce operations inside a development state. If present, developing governments can create the essential infrastructure to augment new digital infrastructure, providing the necessary space for businesspeople to exchange and refine their concepts during the opportunity formation process. Unfortunately, development states are uncommon in underdeveloped nations, where predatory regimes predominate more frequently than not. According to Carney and Witt ( 2014 ), predatory states are characterised by elites who monopolise power through the absence of market competition, covert decision-making procedures, and a lack of institutional support. As a result, the State tends to withdraw from any activity that can help, organise, and protect digital entrepreneurs.

As they acquire and distribute capital, financial markets are the central component of institutional systems (Davis & Marquis, 2005 ). Because family money is viewed as a limited resource, developing economies frequently replace financial markets with internal capital markets based on accumulated family wealth (Steier, 2009 ). In a digital enterprise, financial resources are essential. Even though starting an internet business is less expensive than opening a brick-and-mortar location, persons from lower socioeconomic classes especially face difficulties due to a lack of funding.

Corporate governance has to do with how businesses are run and governed. In developing nations, family members hold disproportionate corporate ownership (Khanna and Palepu 1997 ; La Porta et al. 2000 ). Therefore, ownership concentration impacts how owners, employees, and management get along. In Asia, affluent families are ordinary. Due to this, family companies end up being the dominant organisational type. These firms care about non-financial benefits, including maintaining family power and the family’s identity and financial rewards (Kumar et al., 2022a , b ). In the context of digital entrepreneurship, corporate governance levels relate to the degree to which senior management directs and structures a business by incorporating technology and e-commerce concepts and projects. Therefore, creating a family-friendly climate where corporate digital entrepreneurship can flourish becomes a two-edged sword. Digital entrepreneurs may have easy access to family wealth to fund their ventures. Still, they may also run into older family members who hesitate to provide funding for such uncharted and unpredictable business avenues.

The development of knowledge and skill within a handmade organisation and the organisation of labour are included in the fourth component of the VIS taxonomy. The effectiveness of labour relations determines whether or not business employees will possess the knowledge and abilities required to engage in strategic activities. Because of increased employee flexibility and turnover rates brought on by more fragmented labour markets, work becomes less efficient and effective, and political and familial ties-based foundations become the organising principle (Kaur et al., 2023a ). Technical expertise is also regarded as a human capital resource. Learning about digital selling tools and technologies is essential for creating an online presence and communicating effectively with website developers, business professionals, and tech-support providers, especially in emerging settings. Depending on the availability of a skilled workforce capable of supplying digital firms with the necessary human capital support, the level of technical knowledge and resources obtained may vary. A country’s degree of knowledge capital also affects how effectively businesses interact with their workforce. For instance, the availability of knowledge capital within companies enables organisations to invest in firm-specific talents. Still, knowledge capital shortage may lessen incentives to invest in particular industries or competencies (Rushita et al., 2023 ). In this situation, the high cost of hiring and retaining them may be responsible for the shortage of qualified and highly skilled ICT workers. Therefore, the presence of employees with the necessary knowledge and exposure to ICT skills to carry out e-commerce projects successfully denotes the emergence of entrepreneurial opportunities. This implies that hiring experts at a higher level may be more expensive for business owners in emerging nations. The absence of long-term strategic planning may cause the staff members’ limited understanding of e-commerce potential, which is indicated by their low ICT awareness.

Additionally, because they lack the information, expertise, and resources necessary to succeed in digital entrepreneurship, small enterprises might not gain from ICTs. The degree of technology adoption in entrepreneurship is significantly influenced by the sufficiency of ICT skills, including the quantity of local communication and software engineers and content authors. The extent of technological inclusion is also influenced by how well technical support is provided.

Culturally speaking, in developing nations, societal perceptions of gender are significant in the legitimacy and validation of women’s resources, which hinders their success as entrepreneurs. Women still encounter sexism and intolerance in the digital workplace concerning professional qualifications. A negative stereotype regarding women and preconceived notions about technological aptitude exist (Kumar et al., 2022b ). Other perspectives on race and social class show how white upper-class and elite males predominate in positions of power in advanced Western nations; as a result, whiteness and masculinity form the ‘ideal” entrepreneurial type and are thought to be intangible resources for the legitimacy of entrepreneurial activity (Kaur et al., 2023b ; kumar et al., 2022a ).

The generalised trust individuals in a society have in one another is called social capital (Kumar et al., 2022a ; Tripathi et al., 2022b ). According to earlier research, Trust significantly impacts a nation’s economic activity (Kumar et al., 2022b ). Due to lacking Trust, people and organisations must rely on unofficial networks built on more specialised faith forms, such as family links. Market e-readiness in digital entrepreneurship refers to a company’s, customers’, and suppliers’ desire to do business electronically. A support-giving industry’s e-readiness is determined by evaluating the cost and level of development of institutions like IT, telecommunications, and financial ones whose operations may impact e-commerce adoption and initiatives in developing nations. Therefore, one crucial aspect influencing digital entrepreneurship in underdeveloped countries may be trusting a business partner through an e-platform. For instance, given the high prevalence of corruption in developing countries, individuals frequently wonder if a company is dependable, safe to deal with, or would complete the task at hand. The foundation of Trust is a “long-term experience of social organisation, anchored in historical and cultural experiences” (Yadav et al., 2023a ). This is especially true for developing nations, where corruption is rampant and negatively affects public, private, and social Trust. In earlier studies, different levels of Trust and corruption have been observed in developing economies. From the standpoint of digital entrepreneurship, the online environment replicates social inequities among aspiring business owners rather than being a neutral area where all stereotypes, differences, or labels are removed. As a result, it could be challenging for citizens to have faith in the reliability and equity of social structures. Furthermore, the notion that virtually “anyone” can launch a reliable online firm with little cash questions the value of social and human capital amassed in the past higher-status work.

After the COVID-19 pandemic, craft-related entrepreneurship was practised online or through digital platforms

In the handmade industry, digital entrepreneurship is “creating value by leveraging multiple socio-technical drivers to optimise digital information collection, management, distribution, and utilisation (Sahut et al., 2019 ). Technology advances and businesses across all industries recognise digital transformation’s importance in maintaining operations. This digital revolution encompasses numerous facets of business and advertising, such as sales, operations, human resources, finance, customer support service, R&D, and new product creation (Antonizzi & Smuts, 2020 ). As a result of digital entrepreneurship’s monetary influence, more study is being conducted in universities and other fields than ever before. The concept spans technological and ecological disciplines (Sussan & Acs, 2017 ). Beyond its zenith, digitalisation among entrepreneurs has significantly impacted business management (Kraus et al., 2018 ).

The advent of digital and cutting-edge technology has revolutionised the management practices of Handicrafts companies. Businesses that embraced digital and innovative entrepreneurship could launch new products and streamline processes (Nambisan, 2017 ; Shiferaw et al., 2023 ). The entrepreneurs’ solid social network and managerial skills opened the door for the small-scale industry to quicken, especially in the handicraft sector, with the help of digital transformation (Li et al., 2018 ). Some industries may have shut down or experienced financial losses after COVID-19 despite continuing to produce new commercial ideas. Entrepreneurship is heterogeneous because handicraft business owners employ various tactics to ensure continued success and viability. Entrepreneurship is both integrative and iterative due to its reliance on external facilitators.

Due to their resilience in the face of the pandemic’s destruction, entrepreneurs are the unsung heroes of the pandemic (Ma et al., 2015 ; Maritz et al., 2020 ). Since entrepreneurs seek out, create, and capitalise on novel business opportunities, a sustainable economy can arise due to their efforts to address environmental and social problems (Lopes et al., 2018 ). As consumers have become increasingly wary of COVID-19, the efficiency of e-commerce platforms has shown its monetary benefits after the pandemic. Consumers were more likely to purchase online due to its ease and security than in-store. The rise of e-commerce platforms due to consumers’ desire to avoid the virus has boosted the economy (Tripathi et al., 2022a ; Tran, 2021 ). The COVID-19 Pandemic affected the handicraft industry worldwide and in India, much like previous economic calamities like pandemics, world wars, and global financial crises.

Many developing countries’ economies have been affected by harm as a result. After that, several new craft entrepreneurs became increasingly concerned that their businesses would fail due to a lack of capital and consumers. So they transformed their working skill in digital mode like Work-at-home opportunities, e-commerce, e-supply chain, and supply of craft products with the help of drones, online education, and the application of digital skills. There are some advanced running services for the supply of products, marketing through online services, software solution development in India for handicraft sectors like the Handicraft app, and some new digital skills for artisans (Liñán & Jaén, 2020 ; Rushita et al., 2023 ; Singla et al., 2023 ). Slowly, after the completion of the pandemic impact, they again started to do their business. In this time, digital and innovative entrepreneurship has supported many more artisans, and even consumers have begun to purchase the product, and the online transition has also increased very fast.

According to the findings of (Eller et al., 2020 ; Page et al., 2023 ; Yadav et al., 2023a ), Internal factors that can influence the innovative growth of craft industries as part of small microenterprises include digital strategy, technological advancements, financial capacity, and staff abilities to convert the firm to Digital. External influences include market competition, consumer demand trends, and the availability of digital and innovative entrepreneurship (Ayinaddis, 2023 ; Yadav et al., 2023b ; Wiliandri, 2020 ). Incredible advancements in the digital industry occasionally result from societal and environmental upheavals like the COVID-19 tragedy.

Ayinaddis ( 2023 ) and Gavrila et al. ( 2020 ) investigated the interconnections and consequences of digitisation, innovation, entrepreneurship, and digital transformation using quantitative methods and existing literature. The findings indicate that the pandemic has prompted businesses to innovate, digitally convert and change their customers’ habits in favour of sustainable and environmentally beneficial expansion. According to the study’s conclusions, long-term corporate growth was hampered, and people’s relationships with firms and society were altered.

Because policymakers could not address the satisfaction and expectations of the parties involved in response to an exogenous event, Ibáez et al. ( 2021 ) studied the emergence of DSA, also known as (digital social enterprises), as the result of working together among various players. A structural equation based on partial least squares was used in the study by Cueto et al. ( 2022 ) to analyse the relationships between variables and determine the indirect and direct effects of the 130 pandemic-related applications now accessible on Google Play and the App Store. According to the study’s findings, DSE acts as a technology accelerator, facilitates skill transformation, or facilitates the transfer of knowledge to satisfy consumers when the government cannot meet their needs.

Entrepreneurship and its effect on the Indian handicraft industry after the pandemic

Out of the 1428 million Indian population, 600 million are engaged in small-scale or unorganised industries. The population’s 2.4% annual growth rate and rapid development of the economy have led to an increase in demand for goods and services. Its gross domestic product (GDP) is $360 billion, and it grew at a pace of 8% of India’s GDP in 5 years before the pandemic. The service sector contributes 61% of GDP, whereas manufacturing contributes 29% (DIIP, 2021 ).

According to the Department of Industry Innovation Programme (DIIP), there were 1,357,620 commercial organisations registered to do business in the country in 2020. About 80.51% were micro, small, and small medium firms, and 19.49 per cent were major businesses. 10.25% were classified as small enterprises, 88.71% were micro-businesses, and 0.49 per cent were considered medium-sized (DIIP, 2021 ). Before COVID-19, small-scale industries accounted for 68.66% of the country’s employment, with half of those people working in the handicraft industry or, we can say, unorganised artisans. Of this total, 20.38% came from unorganised or micro-enterprises, 25.78% from small businesses and 7.50% from medium-sized businesses (DIIP, 2021 ; Yadav et al., 2022a ). The COVID-19 pandemic has dramatically affected India’s handcraft industry, drastically altering the marketplace.

Losses have been especially severe in the handmade goods sector of the micro industry, which is more vulnerable than larger manufacturing firms in times like these. Researchers and academics in the subject looked into the effects of the pandemic on the handicraft industry and how it rebounded (Kumar et al., 2022a ). The following items are examples of academic literature: The COVID-19’s effects and present state were examined by (Yadav et al., 2022c ; Rodríguez-Hidalgo et al., 2020 ) among those who completed the DIIP’s program for small-scale enterprises, particularly in the handicraft sector in the province of Uttar Pradesh MP, Bihar.

Descriptive methods and a semi-structured online survey were used to uncover information about the students who graduated and the pandemic’s ripple effects, most notably after community quarantine. The research showed that business as usual was maintained despite the pandemic. They emphasised the need for government intervention and action to protect small businesses. Plus, because they had strengthened their resilience through business continuity training and efficiency improvements, the participants were confident in their ability to respond to economic downturns. Tudy ( 2020 ) used a phenomenological technique to examine the lived experimental experienced by professionals in India as they shift from the corporate world to working from home as gig workers or freelancers. When the informant was interrogated, 11 individuals spoke up about their problems, including household distractions and a lack of respect. The benefits have been categorised into several categories, some of which are more time with family, career flexibility, and freedom. The study found that freelancing outweighed its negatives and contributed to creating new, more diverse forms of work. Quarantine regulations and their effects on small businesses’ ability to go digital were explored in these papers (Atwine et al., 2023 ).

To depict the trials and tribulations that new entrepreneurs undergo while venturing into the internet arena, the current study employs the concepts of bricolage, resilience, ideas of effectuation, and dynamic capabilities. This research looks at how economic downturns inspire the use of digital and innovative entrepreneurship in business and innovation in the small-scale manufacturing sector, which includes the handicrafts industry.

The rationale of the study

The literature study reveals a considerable body of work investigating the post-effects of COVID-19 on the handicraft industry and the transition of businesses to electric or artificial intelligence-based platforms. (Alrabba, 2017 ; Lungu et al., 2021 ) Have acknowledged the impact of the COVID-19 pandemic on company possibilities while focusing on future entrepreneurship, the research included a review of relevant literature and multiple regression analyses of the effects of relevant variables on the chances for new business ventures. The results highlighted the potential benefits to businesses of the pandemic, such as digitalisation and adapting to digital and modern market structures (Lim, 2019 ). For the study of this article, it has been taken that the handicraft sector has a significant role in developing countries like India, Africa, and other nations, so for the fulfilment of rationale, different literature supports this study. So, various literature needs to support this title, and we have developed a hypothesis. The handicraft sector has been selected for study because no study has been focused on the entrepreneurial and digital innovation of new craft entrepreneurs in India.

Research gap

Much research has been done on innovation and entrepreneurship and factors affecting entrepreneurial intention in small industries. But especially in the handicraft sector, little research has been done. There is also a lack of proper digital opportunities in the handicraft sector for the welfare of the craft industry’s entrepreneurship. Suppose we see that new entrepreneurs are involved in the craft industry. In that case, a complete research gap is seen, so there has been a focus on digital innovation in craft entrepreneurship and suggesting a policy to the government masked for the handicraft sector to promote the industry and employment generation.

Research framework and hypothesis for research

The previous section covered entrepreneurship’s theoretical foundations and the handcraft industries’ digitalisation. They served as the foundation for this study’s research framework (R) and hypothesis (H), shown in Fig.  1 . One by one, the six possibilities are described. Economic calamities like those caused by the COVID-19 pandemic would encourage new handicraft business owners to keep operating or provide them with challenges. So, if there is a barrier in any industry, craft entrepreneurs hardly feel effective in starting a new business (Almus et al., 1999 ; Meyer, 1982 ). It is challenging to start a new business in the handicraft sector even though the economy at the time of the pandemic experienced difficulties. So, hypotheses H1 and H2 are as follows:

H1: New handicraft business owners would be resilient in the face of economic calamities

Due to natural or artificial calamities, several industrial words suddenly stop or slow down the speed of industries. Similarly, according to Fisher ( 2012 ), handicraft business-related new craft owners initially face challenges, as they have no idea how to fight sudden calamitous changes. So we can formulate a second hypothesis.

H2: It would be challenging for new handicraft business owners to keep going if the economy were to experience difficulties.

On the other hand, difficulties brought on by economic downturns will cause a shutdown of operations if handicraft business owners cannot adapt and thrive (H3). Bricolage theory (Baker & Nelson, 2005 ) states that launching a new business is challenging. The technique developed for this study allows for a thorough hypothesis analysis, leading to more noteworthy results.

H3: A decline in the economy would result in difficulties that would force the closure of businesses.

The handicraft industry, or micro-industry (H4/H5), will be forced to go digital or online to stop the spread of pandemic infection and quickly recover from setbacks caused by interruptions in the business of handmade items with proper operations, particularly if craft employers have the human resources required for this change. Therefore, we have listed H4 and H5 below (Aldrich, 2014 ).

H4: Handicraft industries will be digitalised as a result of these factors.

H5: The handmade market will shift toward digital alternatives.

Particularly if craft organisations have the human resources required for this change, this digital innovation will boost the productivity of entrepreneurial operations because of the tenacity of the new entrepreneurs (H6), according to the effectuation theory given by Sarasvathy ( 2001 ) to explore the opportunity and select a better route for starting a business in small industry. To prove with the theoretical procedure, we have proposed H6. Digital innovation and entrepreneurship in the handicraft sector can boost business productivity and open the supply chain route locally and internationally.

H6: Digital innovation in the craft industry would boost handicraft productivity.

So, all proposed hypotheses are given and interlinked with a model in Figure 2 .

Hypothesis and research structure of the study. Sources: figure designed by authors

Research methodology

Research approach.

This study covered the actual experiences of new entrepreneurs conducting business online throughout the pandemic. It focused more on profoundly understanding a topic than drawing conclusions or representing quantitatively from a sample. We employed the qualitative technique to understand the context, characterise the behaviour and attitudes, identify the processes, and examine the participants’ lived experiences (Batac et al., 2021 ). As a result, it focuses on knowing the different dynamics of social relations that cannot be quantified (not empirically analysed) and understanding and describing parts of reality (Queirós et al., 2017 ). Because they provided detailed answers to a complete virtual interview, the respondents in this study were referred to as “participants”.

With fewer individuals, data collection through in-depth interviews was more critical than statistical calculation. Participants were questioned online to understand better the difficulties before and after the pandemic (Cueto & Agaton, 2021 ; Lobe & Morgan, 2020 ). The data were analyzed using qualitative and inductive content analysis. The drivers (intrinsic and extrinsic motives) and challenges of digital innovation in Handicraft industries was investigated and identified after economic calamities, such as the pandemic. The study’s findings may persuade policymakers and other stakeholders to encourage entrepreneurialism for economic recovery after the pandemic.

Data collection

We conducted the study in India from the fourth quarter of 2021 until May 2022, more than a year after numerous layers of group interviews. This study included 48 newly established handicraft business owners (median age 35), ages 30–60 (48% men, 52% women, and 2%). New entrepreneurs were employed in terracotta (5%), brass metal (8%), wood and stone carving (13%), the toys industry (7%), and carpet and textile (63%) (Qiu & Man 2021 ). Sixty-one per cent of people work for themselves, while 20 per cent are employed by small businesses (those with five or fewer employees) or in the handicraft industry. In the United States, small businesses employ 10 to 49 artisans or workers in the handmade goods industry (11%), and large businesses employ 50 to 100 regular employees (2%). All are given in Table 1

An internet-based and new artistic creation start-up or business for production and marketing after the COVID-19 period, a new handicraft entrepreneur from India, voluntary participation in the field investigation, and completeness of the reports were the three main survey instructions and questions that determined eligibility for this study, which employed purposeful sampling. Our choice of sample size was influenced by the idea of "data saturation", in which replies become repetitive and additional data collecting yields no new insights. The researchers simultaneously collected and processed the data to avoid having too much of it. The data were gathered using an online survey. The items included a summary of the study’s objectives, suggestions for refining the questionnaire, the respondent’s demographic data, and three primary questions with open-ended answers. The Tata Institute of Social Science (staffed by specialists) and the International Center for Migration Research (ICMR) evaluated the systematic surveys of the handicraft business. Experts assessed the items’ clarity, presentation, suitability, adequacy, and ability to achieve their objectives. Afterwards, the surveys were modified in light of their feedback.

Codes were employed in the survey questionnaire to safeguard the respondents’ privacy, and the coded data were sent back to the respondents so they could verify their answers. The Department of Micro, Small, and Medium Enterprises, the ICMR Ethics Committee, and the Tata Institute of Social Science with Professionals all examined and gave their approval to this Declaration of Helsinki-compliant study. The study’s participants were informed that participating was completely optional and that they could stop at any time. Researchers have also ensured the confidentiality of the responses because only academics and social scientists have had access to the data.

Data evaluation

This study used inductive content analysis, a qualitative research method suitable for studies that begin with an inductive premise or include topics only tenuously linked after employing open data-gathering techniques. In qualitative analysis, themes and theories are isolated by an inductive content analysis applied to textual, audio, and visual sources. In addition to being content-aware, method-neutral, and capable of evaluating a wide range of qualitative data types, this approach is also content-sensitive (Kyngäs, 2020b ). Contrasting with other qualitative research studies, content analysis allows researchers to methodically and objectively characterise study procedures at the fundamental element, which may be applied to various research papers. It can generate strategies, topics, and clusters of thought. Models, maps, and frameworks characterising the examined issue can then be developed using this information (Kyngäs, 2020a ). In this instance, inductive content analysis was utilised to produce categories, themes, and concepts from the data because (deductive content analysis), DCA, is commonly employed for an unrestricted or limited analysis matrix based on the study’s objectives. For short demographic information, please follow Table 1 .

Table 1 shows that age, gender, type of industry in the craft sector, and year of entrepreneurship experience have been given. The table shows that the percentage of female entrepreneurs was 52.08% rather than male. In the carpet industry, many more enterprise owners were involved (52.08%). In the year of starting or experiencing a new business, it has been observed that 53% of entrepreneurs have more than 5 years of experience. In the case of age, the age between 30 and 40 years was 41%.

The steps of qualitative inductive content analysis are shown in Fig.  3 . Planning, organisation, and reporting are the three Ps. One step in getting ready was deciding on a method for gathering data and taking samples. Before beginning the investigation, the researchers read the data several times. After that, the researchers developed the Q-IA ‘unit’ independently. Please see Fig.  3 .

The procedure of a qualitative inductive content analysis step-by-step. Sources: figure designed by authors

Figure  3 shows how content analysis and coding have been done by classifying sections, subsections and results. Following other steps, data collection started in different phases in different organisations, either from handicraft firms or small industries. The next stage in organising the information involved classifying and abstracting it, giving it meaning, and checking to see if the information collected was genuinely representative. In the second stage, the raw data were expressed in open codes using words that were either direct translations of the raw data or significantly modified versions of the regulations. The researchers examined the similarities and contrasts between each open code to assess if they could group them. The evaluation of the open codes served as part of the data abstraction process, yielding subcategories that were then fused into generic and primary categories. The researchers decided whether to proceed with the summary procedure by forming clusters according to the commonalities discovered.

In digital handcraft entrepreneurship, the opportunities presented by the free codes revealed must have been investigated. Therefore, researchers need to double-check the original data. Researchers could correctly name the underlying and overarching notions once they had been defined.

Reporting entailed systematically and logically presenting the results of the analysis. On the other hand, the researchers correctly cited their sources so that the notions supplied through the chosen open codes and subcategories could be explored in light of the underlying data. The selected references should provide a variety of perspectives from the people involved in the analysis.

The results of the content analysis were divided into three groups. The first subcategory looked into how COVID-19 affected the decision-making processes of new and handicraft business owners. In the second, we looked at the issues the participants face when trying to start a digital business, and in the third, we discussed some possible governmental solutions. There are three tables that break out all of the content analysis.

Personal transitions of new handicraft entrepreneurs towards digital entrepreneurship

Seven specialised categories, 25 codes, one broad category, and two generic ones are specified. Table 1 presents abstracts of this information for people who only had business experience in the digital realm after the COVID-19 pandemic. In times of economic upheaval, participants identified two overarching categories of external and internal factors that foster digital innovation in the handicraft sector. Table 2 depicts the results of new entrepreneurs’ encounters with digital entrepreneurship after the pandemic. Code and code statement and clarification are given in Table 2

Table 2 shows some motivators and digital tools in different sections. New entrepreneurs in the handmade goods industry cite external factors such as societal concerns as motivation for using cutting-edge digital tools. In addition to the fourth and fifth idioms (H4 and H5) listed, these challenges include volatile market conditions, unstable household finances, and limited mobility. To prevent the spread of the coronavirus, the government instituted several community quarantine measures, including restrictions on group travel and public transportation. Many facets of society and the economy were profoundly affected.

Market participants cited company shutdowns, a rapid shift in consumer preference toward digital channels, and intense rivalry among businesses offering similar wares as reasons for the industry’s current state. The third, fourth, and fifth hypotheses (H3, H4, and H5) satisfy these conditions. Many workers were laid off when companies went out of business, negatively impacting their ability to provide for their families.

Conversely, participants cited intrinsic motives like self-improvement, professional development, and care for others as primary justifications for launching an (online) internet business, all consistent with the first proposition (H1). The need to provide for one’s family, improve one’s mental health, and broaden one’s horizons are examples of personal motives. Despite their youth, these handicraft business owners recognised the potential for growth in the pandemic and the rise of online commerce.

New entrepreneurs’ “Bayanihan” spirit is refreshing when building successful online businesses. When talking about Indian artificial intelligence, this virtue means “supporting one another, community spirit, or solidarity.” This collaborative effort has followed the sixth hypothesis (H6). The COVID-19 issue in India had a significant financial impact on the country’s population. Therefore, participants sought digitally transformed firms (enterprises) to help affected people. Challenges for new craft entrepreneurs are given in Table 3 .

New entrepreneurs’ start-up challenges in digital entrepreneurship

Table 3 shows how these generalisations about the challenges faced by new entrepreneurs in launching a digital business break down into specific areas. These notions are congruent with the second hypothesis (H2). Challenges to participants’ entrepreneurship skills, issues in the marketplace, and the pandemic’s effect on the business climate were the three overarching themes that emerged from the discussions. Table 3 displays the results of an investigation of new entrepreneurs’ difficulties in developing digital firms after the pandemic.

Because they are still relatively new to the field, many new and upcoming professionals in the handicraft industry lack the requisite entrepreneurial abilities related to doing business online, personal management skills, and information technology. Digital platform market conditions posed new challenges for start-up entrepreneurs. Examples include start-up capital, digitisation of markets, difficulties with online transactions, legal problems with applications for business permits, and copyright worries with content production (like YouTube).

The economic climate after the pandemic also challenges new handicraft business owners as they attempt to convert their small businesses digitally. Telecommunications networks, community quarantine regulations, and power outages are just a few of the problems that must be overcome to contain the infection.

New entrepreneurs’ perspective: promoting online business

For new entrepreneur artisans government has launched the famous scheme in digital era. Some schemes are discussed in table. A summary of the government scheme that supports and promotes artisan for innovation is given in Table 4 .

Table 5 displays the 11 Question 3 abstract codes, including three generic categories, 7 subcategories, and one major category. The broad categories include government support for start-up businesses, training for new entrepreneurs, and improving the infrastructure that facilitates digital entrepreneurship. Table 5 is included.

In a discussion about helping new entrepreneurs get their businesses off the ground, 18 people agreed that having access to capital is crucial. Low-interest loans, government aid after lockdowns, and temporary tax reductions are all examples of this. New entrepreneurs are concerned about the increasing industry competition and difficulty getting their enterprises off the ground. However, consumers and handicraft business owners should be legally protected from fraud (Yadav &Yadav, 2022 ).

After this economic uncertainty and pandemic crisis, the government should provide training in entrepreneurship so that new handcraft industries can be established. Accounting, finance, and tech-savvy entrepreneurship were all abilities cited by respondents. The IT College and the ITI should include elective courses that teach students the basics of business management and entrepreneurship basics. Finally, stakeholders recommended that the government create rules stimulating competition among telecommunications providers to minimise prices while delivering excellent internet connectivity. It is also essential to set up infrastructure that provides a more stable electrical supply, particularly in rural regions (Yadav et al., 2022e ).

After the pandemic, this research examined how new handicraft business owners adapted by moving their operations online. Three exciting issues of contention emerge from the findings. The primary findings are listed in the first bullet point, along with an emphasis on how novel these results are in light of previous studies. The study’s findings on digital progress after economic turbulence are discussed in the second recommendation. The corporate world and potential managerial applications are covered in the final section.

Motivators and problems for handicraft industries’ digital innovations

Table 2 . explains the problems or barriers of the handmade industry for digital innovation. Two fascinating conclusions emerged from using qualitative inductive content analysis to the real-world experiences of new handicraft business owners. Despite the shaky economic climate, digital innovation continues to be propelled by both internal and external forces. To comply with an external obligation, such as to avoid punishment or to reap the benefits of a reward, is an example of an outward urge (Hennessey et al., 2015 ). Stakeholders in this poll attributed these constraints to the COVID-19 issue, changes in the state of marketing and demand for products, and sudden shifts in household financial conditions. Recent research indicates that micro, small, and medium-sized enterprises (Small scale industries) were hit particularly hard by the pandemic crisis due to issues such as a lack of available capital, supply chain calamities, falling demand, lower sales, and lower profits (Asiati et al., 2021 ; Shafi et al., 2020 ; Tripathi et al., 2022c ).

Entrepreneurship qualities and talents, such as access to capital, creative problem-solving, and the ability to network, can be distilled from the factors most important when launching a firm amid a crisis (Ioraite and Guleviciu, 2021 ). Meanwhile, Lopes et al., ( 2021 ) found that students’ preferences for work changed after the pandemic as they came to value entrepreneurship in this novel setting. This shows that people are more conscious of the COVID-19 pandemic and appreciate entrepreneurs because of their creative skill sets. Individuals’ inventiveness increases when driven less by external demands and incentive systems and more by the task’s intrinsic rewards (interest, satisfaction, accomplishment, and difficulty). One’s ability to be an entrepreneur can be hampered by several factors, including the fear of financial loss, the insecurity of one’s employment situation, the unpredictability of one’s income, and the uncertainty of one’s environment or schedule, resulting in the possibility of failure.

Internal restrictions (digital literacy toward digital implementation and lack of awareness) and environmental factors were identified by Costa and Castro ( 2021 ) as the two main types of barriers to the digitalisation of small-scale industries. This research provided additional safeguards against monetary shocks like the COVID-19 catastrophe. Mobility concerns, health risks involved with delivering online orders of goods and services, reduced hours for business operations and banking, and increased operational costs due to stricter motor vehicle restrictions are some challenges new entrepreneurs face today. After the pandemic, people were urged or required to stay indoors, creating severe economic hardships for the self-employed (Liu et al., 2013 ; Yadav et al., 2020 ). For coding, a statement of significant barriers is given in Table 6 . The table code and related reports are shown in the table itself. For barriers in handicraft sector entrepreneurs to apply digital innovation, a summary of generated codes and significant responses is given in Table 6 .

Conversely, when intrinsically motivated, you do something because you genuinely enjoy it. Participants in this study cited these reasons for engaging in online business: the opportunity to learn and grow as future entrepreneurs, the satisfaction of helping others, especially those less fortunate, and their desire to make a difference in the world. Our research disproved the conclusions of previous studies (Asiati et al., 2021 ; Ioraite and Guleviciu, 2021 ; Parilla, 2021 ; Shafi et al., 2020 ) by showing that external objectives were not the only important factor in driving digital innovations in India’s handicraft industry.

This demonstrates the uniqueness of the findings concerning the internal and external factors influencing digital entrepreneurship. In contrast to the restrictive questionnaires used in the quantitative technique, the qualitative approach discussed here permits in-depth exploration and yields more comprehensive results. Gavrila et al., 2020 ; Kraus et al., 2018 ; Qiu & Man 2021 ; Samara & Terzian, 2021 found that some inadequate infrastructure facilities hamper the operations of new start-up owners in institutions (such as policies and regulations, start-up financing, skilled labourers, and digital infrastructure). To motivate entrepreneurs in handicraft industries through digital innovation, please follow Table 7 . For motivators that encourage the handicraft sector entrepreneurs to the application of digital innovation, a summary of generated codes and significant responses is given in Table 7 .

The study of different drivers that make handmade industry entrepreneurs with the support of digital innovation is given in Table 8 . A summary of generated codes and significant responses is shown in Table 8 .

Therefore, there has been a dramatic increase in online retail sales and numerous types of personal services, forcing offline businesses to adapt to the online format (Reuschke et al., 2021 ). Support from peers, mentors, and experts is crucial for entrepreneurs to contribute to society, but it can be challenging due to government constraints (Meurer et al., 2021 ). Overcoming these challenges requires efficiency, dynamic capacities, and adaptability, emphasised in the theoretical basis for digital entrepreneurship in economic crisis (Yadav et al., 2022d ).

After COVID-19, participants (stakeholders) identified three main problems with digital entrepreneurship: a lack of entrepreneurial skills, an unfavourable business climate, and a lack of suitable digital platforms. These supported prior research elaborating on the challenges faced by digital artisans (Charlebois et al., 2021 ). In their discussion of the business, technology, skills, supply chain, and innovation restrictions and problems of the handicraft sector as part of small-scale industries while implementing digital innovation, Xing et al. ( 2021 ) illustrative. Challenges for digital entrepreneurship in India have been identified as the unorganised industry’s organisational structure, shifting markets, technology uncertainty (like Google or Facebook), and new business models. In Table 9 , there is a government policy-related statement, and their code is given, which supports digital innovation and handicraft entrepreneurs to do better for our country’s production, marketing, export and increment of GDP. A summary of generated codes and significant responses is given in Table 9 .

Implication of the research

Theoretical implication.

The theoretical implication of the research: this study has several critical aspects in our daily it has theoretical, managerial, practical, and policy implications for future study. Theoretical implication of the research

Theoretically, this research will open a new dimension for researcher policymakers, socially valued. This will increase interest in the research world. This will also help in policy-making to different governments for the welfare of artisans, entrepreneurs, and financial support. This study will support society and motivate people to own businesses and use handmade and sustainable products.

Policy implication of the research

To succeed in today’s digitised marketplace, companies need to constantly innovate their products and services or risk losing customers to competitors that do. However, there were many challenges that new entrepreneurs faced when trying to make technological advances. After and after economic upheavals, the results of this study could have policy implications that help them overcome these barriers and create Internet businesses.

The first step is for the government to back the burgeoning handicraft industry by providing technical resources, financial backing, marketing, and legal procedures for registering handicraft products. Governments have used subsidies, tax breaks and credits, grants, and similar programs to encourage technological innovation in SMEs, which can help boost productivity (Quimba & Rosellon, 2019 ).

After COVID-19, the first policy priority was to address issues with the recovery phase that minimise cash flow challenges and reduce job losses, as these industries are particularly vulnerable to severe economic shocks (Hung Kee et al., 2019 ; Pu et al., 2021 ). As a result, there is a strong connection between government assistance, soft skills, financial, and technical support (mentoring, networking, consulting, awareness-raising, training, accumulating learning capabilities, and problem-solving skills) (Aldrich, 2014 ; Asiati et al., 2021 ; Juergensen et al., 2020 ).

Second, the union government should push up-and-coming handicraft business owners to improve their technology, finance, and sales knowledge. Among the small-scale industries, the handicraft sector benefited greatly from innovation capabilities and technology in the face of a pandemic (Anggadwita et al., 2021 ; Al-Mubaraki et al., 2017 ). Management and financial accounting skills, which have significantly impacted small-scale industries’ performance throughout the pandemic, can be honed with the help of digital and innovative entrepreneurship that provides more precise, efficient, and practical financial reports and financial data (Apriyanti & Yuvitasari, 2021 ). Policies should address the barriers to digital entrepreneurship by providing frameworks that promote the development of digital and entrepreneurial skills through education and training programmes (Reyes, 2021 ). Some in the education sector may see cyber security as essential to digital education because of the rise of mobile banking apps, online shopping apps, and contactless payments. It is also necessary to help new handicraft business owners build more robust networks to gain more accessible access to resources, including funding, customers, opportunities, suppliers, and partners (OECD, 2015 ). These technological and financial barriers are stifling growth in the handicraft industry, and the sector needs governmental support to break through them.

Third, the government must swiftly improve the country’s IT infrastructures to hasten the handicraft industry’s embrace of technological innovations and economic growth. The shift to Digital in the market makes this a must. In the world’s IT condition, India’s Internet infrastructure is behind that of other contemporary rising countries in Asia. Users’ motivation to innovate, promote equitable growth, and create a widespread knowledge society is thwarted (Salac & Kim, 2016 ). The country’s proclaimed and unannounced power outages exacerbated the interruptions and inadequate Internet (Collera & Agaton, 2021 ). This was made worse by the country’s rural electrification and energy security challenges. Internet speeds are slow, and costs are high since there is not enough competition in the industry (Salac & Kim, 2016 ).

The cost of internet connection in nurturing IT infrastructure and making positive energy competitiveness is a crucial feature in addressing these issues, along with the increasing competition for high-quality goods and services, which could reduce the role of government. New satellite systems that can enhance the connectivity provided by fibre technology today should be made available by the government, particularly in remote and rural areas that lack traditional options for reliable broadband connectivity. However, promoting training programmes in information and digital skills on current technologies is necessary to make digital business more competitive and increase the number of online handicraft product services (Jorge-Vázquez et al., 2021 ).

Managerial implications of the study for business sector

The study’s findings affected policy, management, and the private sector. Understanding the dynamics of the digitalisation of the handicraft sector is helpful for enterprises and the industry as they adapt to the new business-standard. To thrive in today’s dynamic business climate, entrepreneurs need to hone two types of information technology expertise: (1) a flexible IT infrastructure, which provides a technological basis for both current and future IT assimilation and IT applications, and (2) the ability to routinise or diffuse IT applications within the business system. The transition from offline to online commerce in the handmade goods sector can be eased if businesses know the possible benefits and challenges of digitalising their goods and services (Costa & Castro, 2021 ). Thanks to the proliferation of digital channels, their customer base would expand with the advent of e-commerce (Yadav et al., 2022c ).

For industries hit most by the pandemic, digital and innovative entrepreneurship appears to be the answer to limiting shifts in corporate strategy (Mohapatra et al., 2021 ). The quality and availability of online resources have increased dramatically due to recent infrastructure upgrades in several countries. The handicraft industry has made great strides in recent years, especially on e-commerce platforms, thanks to the preparedness and strategies of businesses in the form of price sensitivity and adjustments to online buying methods, among other things (Agaton & Cueto,  2021 ). Human resource management (evaluating employee performance, providing telework options), product design, material handling, production, quality control, marketing, advertising, and sales are just some of the many business processes that rely on digital tools (Muhamad et al., 2021 ).

Managers require an in-depth familiarity with e-commerce to restore their company’s reputation and win back lost customers (Farooq et al., 2019 ). SMEs should improve their online and logistical presence to serve their customers better. In addition, handicraft business owners should be aware of how crucial their Internet connection is to the success of their operations, which in turn affects the prices the company may charge and the level of protection its customers’ data enjoys. Blockchain technology can speed up this digital transformation by eliminating problems like inefficient data management (Massaro, 2021 ). In addition, handicraft business owners need to ensure they have enough staff to manage the virtual handicraft storefront and respond to customers’ inquiries and orders (Zahra, 2021 ).

According to social networking, primarily researched in sociological terms, businesses engage in social power through digital connectedness to get a competitive edge or leverage in the digital market–software system (Liu et al., 2020 ). A study by Liu et al., ( 2020 ) found. These new proprietors of handicrafts can develop their own by utilising their social networking and the many e-commerce and social media platforms available today (Li et al., 2018 ). In addition, the actions and judgements of an entrepreneur regarding developing a brand will affect the varying expansion and transactions of a business that supplied multiple services before the Pandemic (Fisher, 2012 ). Therefore, technological progress is essential for educating new handicraft business owners on introducing new products and services. Linked diversification, effective firm reaction, and novel tactics might help reduce risk, even in the face of unprecedented economic calamities like the Pandemic (Yadav et al., 2022b ).

The pandemic accelerated the digital shift of small-scale industries and created an economic climate that encouraged handicraft business owners to use technological advances. Many studies have discussed entrepreneurs using various theoretical lenses. This research focused on effectuation, resilience, bricolage, and emotional abilities that deal with innovations after economic turmoil. Using an inductive qualitative research methodology, the authors of this Study (Yadav et al., 2022a ) investigated the drivers and barriers of online entrepreneurial innovation in the handicraft sectors after COVID-19. The results revealed internal (professional growth, personal, and social) and external (market demand and limits) aspects (after the economic calamities). Compared to large corporations, small firms in India’s handicraft industry often lacked sufficient finance, organisational, and technological resources, making them more vulnerable to the pandemic’s restrictions. This industry was unprepared for the upheavals, which occurred longer and hit harder than expected. Despite minimal government support for small-scale industries, new and growing entrepreneurs in the handicraft sector discovered a way to flourish in industry innovation through digital and innovative entrepreneurship and the increased online demand for services, accommodation, and supply of items.

Contribution and consequences

The study added two significant pieces of information to the body of knowledge. To begin, external and internal forces motivate the development of new digital tools for handicraft businesses. If the digital and traditional markets, digital infrastructure, other stakeholders, and entrepreneurs are not prepared for the shifts, then problems will arise. Economic calamities have a dual role in the innovation-through-digitisation triad as both a hindrance and an external enabler.

The government should take measures to (a) provide financial aid in the form of grants or low-interest loans to budding handicraft business owners, Promote public–private partnerships; (b) lowering financial and technical barriers for small-scale industries; (c) educate and raise awareness among aspiring handicraft business owners to improve their financial literacy and technical skills; (d) offering start-up assistance for marketing and other business requirements; and (e) advancing and enhancing technological developments in tiny businesses and the handicraft industry for the expanding economic value.

Limitations and directions for future research

This research examined how new and upcoming COVID-19 handcraft handicraft business owners viewed and experienced the digital business development process. Therefore, there are several restrictions on research. Statistical analysis is impossible with qualitative data since it relies on respondents’ narratives rather than complex numbers. Findings cannot be replicated in a large population with the same degree of precision as is possible with the quantitative research approach. This qualitative study used a semi-structured questionnaire to encourage open discussion among participants. Neither the quantitative method nor limited, pre-formatted questionnaires with predetermined questions and answers could be used to gather information of this nature. Future research may mix qualitative and quantitative approaches to reap the benefits of both and minimise the limitations of each.

Our online survey included responses from 46 new people working in the handmade goods industry. Online qualitative surveys have several advantages over traditional methods. These include lower risk for researchers due to a lack of direct contact with participants, shorter data collection and analysis times, and more convenient interview scheduling (Braun et al., 2020 ). Online surveys have many advantages but disadvantages, such as low response rates, unrepresentative samples, internet restrictions, and a lack of follow-up data (Rice et al., 2017 ). Due to the constraints of limited face-to-face interaction, participant and researcher safety was prioritised throughout this investigation. Because of the limited number of respondents, we cannot generalise the results of this study to all handicraft business owners in the case country, even though they are based solely on the participants’ perceptions and experiences after the pandemic. In future research, it may be possible to include new entrepreneurs from various industries, such as business process outsourcing, digital solutions, online event management, micro-financing, etc.

In addition, this study only contained responses from new handicraft business owners. Research suggests it’s essential to consider the perspectives of various groups when making policy decisions. Future research may include other actors in digital entrepreneurship, such as LGUs and support units, legislators, and consumers, to make better-informed decisions for initiatives that aid the economy and new entrepreneurs. And businesspeople who still rely on traditional media.

Personal accounts of encounters with the pandemic were also explored in this study. It’s worth noting that many humanitarian issues compounded the pandemic’s effects in many countries, notably India (Cueto & Agaton, 2021 ). Terrorist acts, wars, conflicts, and natural and artificial disasters all fall under this category. The frequency with which disasters strike businesses, particularly in the digital economy, and the strategies employed by new handicraft business owners in the face of these setbacks are essential topics for future study.

Data availability

The cleaned data can be found in Tables 1, 2, 3. The appropriate writers should be contacted if you need raw data.

Abbreviations

Deductive content analysis

Gross domestic product

Digital social entrepreneurship

Department of industry innovation program

Micro, small and medium enterprises

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Yadav, U.S., Tripathi, R., Tripathi, M.A. et al. Digital and innovative entrepreneurship in the Indian handicraft sector after the COVID-19 pandemic: challenges and opportunities. J Innov Entrep 12 , 69 (2023). https://doi.org/10.1186/s13731-023-00337-5

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DOI : https://doi.org/10.1186/s13731-023-00337-5

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ABSTRACT Handicrafts represent a culture, tradition and heritage of a country. The handicraft industry is one of the productive sectors. The important features of Indian Handicrafts Industry are low capital investment, cheap and skilled labour, diversified product portfolio and flexible production. Many women were interested in making handicrafts. But they are unable to scale-up their business. From this research idea certain training can be given to women and awareness about technologies and after completion of the training they join in handicraft business. The teachers and other working women who want to do a part-time job they also welcome to join in handicraft business. To utilize the wastage of the products can also be recycled by using the creativity and innovation. This research is mainly to provide job opportunities for women and utilize the wastages. Customer can make their own gift and present it to others. It creates more valuable than normal gift. Raw materials can be provided to them and give proper training, so that they can make their own gifts. It establishing the brand identity as a provider of quality handicraft that includes unique offerings and it creates strong sales volume with the corporate market. The major findings in this project are many people accept handmade gift shop. So it can have a better scope for handicrafts. Main target age group of handicraft is 15-45 years. There is a lack of handmade gift shops so the handmade gift shop can do well in future. There is no proper training in handicrafts. So this project gives opportunity to give training to the interested peoples. Handmade gifts such as decorative items, household items, cushion items, ceramic items etc. It has also served as a service industry because they conduct classes for teaching handicrafts. This research concluded that the handicraft sector has more scope and scalability in the future.

towseef mohi ud din

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