The Role of E-Commerce in the Financial Transformation of Culinary MSMEs in Palu City

Abstract

This study aims to analyze the role of e-commerce in supporting the financial transformation of culinary MSMEs in Palu City, Indonesia. Using a qualitative approach with an exploratory case study design, the research involved five culinary MSMEs: Aesthiccake, Depot Tawaeli Catering, Banana Candu, Nasi Kuning Cahaya Tolis, and Bakso Turlappae. Data were collected through semi-structured interviews, field observations, and documentation, then analyzed using thematic analysis based on the constant comparison principle. The results reveal that e-commerce serves as a catalyst for financial transformation by improving transaction efficiency, accelerating cash flow, and enhancing bookkeeping practices. Early adopters of e-commerce demonstrated more stable cash flow and better financial discipline, while recent adopters faced challenges related to digital literacy and the effective use of accounting features. Differences in adoption levels were influenced by experience, resource availability, and environmental support. Overall, e-commerce contributes to business resilience by expanding market reach and increasing financial accountability. However, limited digital training, high promotional costs, and varying levels of digital literacy remain significant challenges. This study highlights the importance of strengthening digital financial literacy and institutional support to ensure that MSME financial transformation is inclusive and sustainable.