Digital business activities in the peripheral regions of Germany: patterns and key enabling factors

Building on earlier studies of urban-rural disparities, regional capabilities, and the specifics of entrepreneurial dynamics in the periphery, this paper investigates the relationship between a set of local framework conditions and digital business growth in the peripheral regions of Germany. It demonstrates that the latter primarily depends on a dynamic entrepreneurial activity, local knowledge stock and presence of digital qualifications while it finds limited confirmation for the often suggested role of digital infrastructure. Methodologically, it contributes by applying topic modelling as a way to improve and complement more conventional classifications of entrepreneurial activities in the digital field. Thus, reflecting on the most recent dynamics of rapid technological development, this paper outlines the relationship between certain types of framework conditions and the specific types of digital business activity they favour.