Village and Space Sustainable Development

Village and Space Sustainable Development

A Grounded Theory Approach to Technology-Based Businesses for Sustainable Rural Development: Evidence from Kermanshah Province

Document Type : Original Article

Authors
1 Ph.D Student of entrepreneurship, Department of Management and Entrepreneurship, Faculty of social, Razi University, Kermanshah, Iran.
2 Associate Professor, Department of Entrepreneurship, Faculty of Social Sciences, ‎Razi ‎University, Kermanshah, Iran
3 Assistant Professor, Department of ‌Interdisciplinary Sciences, Faculty of ‌Strategic ‌Technologies, Razi University, Kermanshah, Iran.
Abstract
1. Introduction
Introduction: In the contemporary landscape of development, technology-based businesses act as transformative engines, playing a vital role in advancing sustainable rural development goals by offering innovative solutions. This key role is realized through effective mechanisms such as increased productivity, sustainable job creation, and a meaningful enhancement of quality of life. Within this context, achieving sustainable development in the villages of Kermanshah Province is a strategic priority, contingent upon the creation and deployment of innovative business models capable of simultaneously and harmoniously supporting the three pillars of economic, social, and environmental sustainability. Given this necessity, technology-based businesses, with their unique capabilities in creating employment opportunities, boosting productivity, and opening doors to new markets, have emerged as pivotal actors in this arena. The present study, adopting a grounded theory approach, is designed with the aim of discovering, formulating, and presenting a comprehensive, indigenous, and operational model for this category of businesses. Relying on authentic field data extracted from the specific and unique context of the villages in Kermanshah Province, this model ultimately provides a strategic and executable framework for policymakers, planners, and entrepreneurs. In the context of global digital economy transformations and the necessity of focusing on the balanced development of rural areas, examining the role of technology-based businesses in the sustainability of villages in Kermanshah Province is of strategic importance. This section of the research delves deeper into analyzing how technology influences various dimensions of sustainable rural development and aims to critically explore the opportunities and challenges of this transformation within the region's specific geographical-cultural context.

2. Methodology
This study is applied in purpose and qualitative and exploratory in approach, conducted inductively using the grounded theory method. The research population consisted of a spectrum of experts and specialists, including faculty members from the Entrepreneurship and Information and Communication Technology departments of Razi University and Islamic Azad University in Kermanshah Province, key informants knowledgeable in the management of technology-based businesses, successful entrepreneurs, and experienced heads of rural cooperatives. The sampling process was conducted using theoretical, non-probability, judgmental, and purposive methods, with its cessation contingent upon reaching theoretical saturation. This point was achieved after ‎‎17 interviews; however, to ensure greater confidence and enhance data credibility, three additional interviews were conducted. The primary data collection tool was semi-structured, in-depth interviews with selected individuals, chosen based on their practical experience, scientific expertise, sufficient knowledge, and deep familiarity with the research topic. The duration of these interviews varied between 40 and 65 minutes. The data collection process, in accordance with the principle of theoretical saturation, continued until the research categories were complete and no new information was extracted in the final interviews, which itself served as evidence of achieving saturation. The data obtained from the interviews were analyzed following the Strauss and Corbin approach through a three-stage coding process (open, axial, and selective), leading to the formation of the initial research model. To ensure the validity and reliability of the questions and data, techniques such as member checking and intra-subject agreement were used to guarantee that the findings accurately reflected field realities. These methodological provisions enhanced the trustworthiness of the research and laid the necessary groundwork for presenting a comprehensive and practical model. This research was conducted during the period April to June ‎‎2024, and its theoretical foundations and empirical background formed the intellectual framework governing all stages of design, implementation, and analysis.

3. Findings
The research findings indicate that in the final paradigmatic model, eight categories of factors were identified as "Causal Conditions": economic, socio-cultural, infrastructural-technological, political-governmental, environmental-geographical, educational-research, technical-innovative, and communicative-network factors. Together, these factors transform technology-based businesses into an essential and inevitable lever for the sustainable development of villages in Kermanshah Province. The "Contextual Conditions" affecting this phenomenon include four main domains: the physical and structural conditions of the villages, legal and ownership frameworks, knowledge and information infrastructures, as well as historical backgrounds and past experiences. Five categories of factors also act as "Intervening Conditions": the specific conditions governing the regional innovation ecosystem, institutional-organizational conditions, cognitive-behavioral conditions (attitudes and beliefs), adaptive conditions, and transformative conditions. The "Core Phenomenon" of this model was determined to be "Technology-Based Businesses in Sustainable Rural Development." In confronting this phenomenon and under the influence of the aforementioned conditions, three main categories of "Strategies" are proposed: human capital empowerment and development strategies, market and sales development strategies, and technology-based product and service development strategies. Finally, the successful implementation of these strategies within the specified context will lead to four major categories of "Consequences": transformation in livelihood and economic patterns, the emergence of new outcomes and institutions, the realization of achievements in the field of digital health, and the occurrence of widespread transformations in education.

4. Discussion and Conclusion
In final summary, it can be emphasized that technology-based businesses, by intelligently integrating innovation and modern technologies, possess tremendous potential to guide sustainable transformation in the rural sphere. The functions of these businesses, including improving access to digital markets, increasing agricultural productivity, developing clean energy, and creating new job opportunities, not only strengthen the local economy and increase the resilience of rural communities but also act as an effective factor in reducing rural migration and preserving and protecting the environment. Accordingly, comprehensive support and planning for strengthening these businesses can be considered a key and pioneering strategy on the path to achieving balanced, inclusive, and sustainable development for rural areas. To accelerate the development of technology-based businesses in the villages of Kermanshah Province, it is proposed to establish rural innovation centers focused on local needs. These centers should provide technical and financial advisory services and conduct training courses in digital skills for villagers. Furthermore, developing digital infrastructure, including improving high-speed internet coverage, equipping villages with electronic payment systems, and creating digital platforms for marketing local products, is essential. In the agricultural sector, promoting precision agriculture technologies and smart irrigation systems can enhance productivity. Additionally, the formation of technology-based rural cooperatives and the development of e-tourism leveraging the region's natural attractions are recommended. Government support through the approval of special financial facilities and tax exemptions for rural technology-based businesses can also play an effective role in the sustainable development of these areas.
Keywords
Subjects

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Volume 7, Issue 2 - Serial Number 26
Summer 2026
Pages 169-192

  • Receive Date 17 November 2025
  • Revise Date 04 January 2026
  • Accept Date 19 April 2026