Various research findings have shown that SMEs significantly contribute to economic growth, especially in developing countries. However, the competitiveness of SMEs in facing environmental uncertainty is still a matter of debate. The purpose of this study was to examine the effect of implementing e-commerce, innovation, and payment gateways on the competitiveness of SMEs. This study used a questionnaire addressed to 101 SME owners in the Sleman Regency of Yogyakarta. This study uses non-probability sampling with the criteria that only SMEs use e-commerce to obtain data faster. The survey results prove that innovation has a significant role in increasing the competitiveness of SMEs, besides the use of e-commerce and payment gateways will have an impact on increasing the competitiveness of SMEs facing environmental uncertainty. This research implies a need for government commitment to improve infrastructure, organize training for owners, and provide easy access to financial institutions to strengthen SMEs' performance.
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