International Journal of Economics, Commerce and Management United Kingdom ISSN 2348 0386 Vol. 13, Issue 7, July 2025 Licensed under Creative Common Page 45 https://ijecm.co.uk/ BRIDGING THE DIGITAL DIVIDE: EXAMINING THE IMPACT OF DIGITAL TECHNOLOGY ADOPTION ON SME PERFORMANCE IN KENYA Benjamin Nyamai Mwongela PhD Candidate, Department of Management Science and Entrepreneurship, School of Business and Economics, Moi University, Kenya BMwongela@gmail.com Jane Sang, PhD Senior Lecturer, Department of Management Science and Entrepreneurship, School of Business and Economics, Moi University, Kenya Gloria Beth Muthoni, PhD Lecturer, Department of Marketing and Logistics, School of Business and Economics, Moi University, Kenya Abstract Governments across the globe recognize the important role played by small and medium enterprises (SMEs) in economic growth and development, yet many of these enterprises face operational challenges and early closure. While SMEs continue to adopt digital technologies to enhance performance, empirical evidence on that impact is mixed. Grounded in the Unified Theory of Acceptance and Use of Technology (UTAUT) and the Balanced Scorecard Theory (BST), the study examined the impact of digital technology adoption on the performance of SMEs in Kenya. Using an explanatory research design, a cross-sectional approach, the study employed stratified, proportional, and random sampling techniques. Data were collected using a self-designed, closed-ended questionnaire and analyzed using descriptive analysis and regression analysis. Descriptive statistics revealed a moderate to high adoption of digital technologies (mean = 3.89, SD = 0.82), particularly in digital infrastructure and platform usage,