In the digital era, strategic management has evolved significantly due to the rapid advancements
in technology and the changing nature of global markets. Traditional strategic management
practices, while still relevant, have had to adapt to a new set of challenges and opportunities
created by digital transformation. The purpose of this paper aims to overview a critical literature
review in the context of Strategic Management in the Digital Era analyzing existing research,
theories, and methodologies relevant to how digital transformation impacts strategic
management practices. The review should synthesize scholarly works, identify trends, gaps, and
emerging themes, and provide a foundation for understanding how businesses can adapt their
strategies in response to digital disruption. The purpose of this paper was to explore existing
research on the impact of digital transformation on strategic management and to highlight key
areas of change in business strategy as organizations transition into the digital age. The literature
review will focus on various aspects of strategic management, including digital transformation,
technology adoption, data-driven decision-making, customer-centric strategies, innovation, agility,
and the role of leadership in digital businesses. In the end the study highlights future directions for
strategic management theory, focusing on innovative areas like AI-assisted strategic
decision-making. It offers new insights into the evolution of strategic management theory in the
digital age.
Keywords: Strategic Management; Digital Transformation; Technology Adoption; Business
Strategy; Innovation.
JEL: L10; O33; M10; O31.