The development of digital technology has brought about major changes in the way small and medium enterprises (SMEs) run their businesses. Generation Z, as a group that grew up with technology, has an important role in driving innovation and digital marketing strategies for MSMEs. This article examines how Gen Z involvement can improve MSME competitiveness through the use of social media, e-commerce platforms, and the use of other digital technologies. In addition, this article discusses the challenges faced by Gen Z in implementing digital innovation and effective marketing strategies. With a qualitative approach and literature study, this article provides an overview of Gen Z's real contribution to the digital transformation of MSMEs as well as recommendations for increasing synergy between the younger generation and MSME actors for inclusive and sustainable economic progress.
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