FinTech Adoption and Sustainable Business Growth: The Mediating Role of Digital Transformation

Abstract

The study examines how FinTech adoption contributes to sustainable business growth and explores the mediating role of digital transformation in this relationship. Rapid advancements in financial technologies have reshaped business models, yet their implications for long-term sustainability remain underexplored, particularly in emerging economies. The aim of the study is to investigate whether FinTech adoption enhances sustainable business growth directly and through digital transformation as a mediating mechanism. A quantitative, cross-sectional design was used, drawing data from firms operating within a structured business environment. Validated measurement scales were applied, and responses were assessed using SmartPLS for structural equation modeling and SPSS for preliminary analyses. The results demonstrate that FinTech adoption significantly improves sustainable business growth and strongly predicts digital transformation. Digital transformation also shows a positive effect on sustainable business growth, while mediating the relationship between FinTech adoption and sustainability outcomes. These findings highlight the strategic importance of integrating FinTech within broader digital transformation initiatives to achieve long-term growth objectives.

Keywords: FinTech Adoption, Sustainable Business Growth, Digital Transformation and Technology–Organization–Environment (TOE)