As a member of ASEAN Economic Community (AEC), Indonesia government initiates the strategy in advancing the medium enterprises in Indonesia in order to able to keep up with the market. Technology adoption is one of the initiation, with technology utilization; small-medium enterprises (SMEs) in Indonesia can maximize the business activities and also minimizing the business expenditures. It also what makes Telkom Indonesia as the largest telecommunication company in Indonesia established “Bagus Indonesia”. The program aims to foster the SMEs in adopting the technology, especially internet, by giving them counseling about digital business and provide the SMEs needs to transform their business digitally. By adopting digital technology, SMEs are believed to increase its business growth. This led us to question the successfulness of digitalization or digital capability in a digital village and how much it will affect the business growth. Thus, this research is intended to analyze the influences of digital index toward business growth.
The objective of the study is to test whether there is a significant influence in digital index toward business growth or not. The population of this study are 79 and total sampling method is used. This research is a quantitative study, Using Likert scale to measure each item in the questionnaire. Multiple regression tests are used to find out the influences in digital index toward business growth.
Keywords: Digital Capability, Small Medium Enterprise, Digital Business, Digitalization Successfulness, Business Growth.