PLATFORM EMPLOYMENT AND SELF-EMPLOYMENT AS A BASIS FOR SMALL BUSINESS DEVELOPMENT

Abstract

The growing digitalization of the global economy and the rapid expansion of platform-based business models have significantly transformed traditional approaches to employment and entrepreneurship. In this context, gig economy development and the increasing prevalence of platform-mediated work have become important factors influencing structural changes in labor markets and reshaping the boundaries between employment and entrepreneurial activity. These processes are particularly relevant for the evolution of small entrepreneurship, which is increasingly influenced by digital ecosystems that lower entry barriers, expand access to markets, and create new forms of economic participation. The relevance of this topic is determined by the accelerating spread of digital platforms that enable individuals to engage in flexible, task-based, and project-oriented work without the need for traditional organizational structures. Such transformation raises important questions regarding the changing nature of self-employment, the emergence of hybrid forms of work, and the potential of platform-based activity to evolve into sustainable business structures. At the same time, the growing dependence on digital intermediaries introduces new challenges related to income stability, professional development, and long-term economic security, which require deeper conceptual understanding. Special attention is given to the role of platform employment as an intermediate stage between traditional labor relations and entrepreneurial activity. This form of economic participation creates conditions for skill accumulation, market adaptation, and gradual transition toward independent business creation. The transformation process is influenced by a combination of economic, technological, and institutional factors that shape individual behavior and determine the potential for business development within digital environments. The discussion also highlights the diversity of platform-based work, ranging from micro-tasking and freelance services to creative and service-oriented activities. These differences indicate varying levels of autonomy, income potential, and capacity for business scaling. As a result, platform work cannot be considered a homogeneous phenomenon, but rather a complex system of labor relations with different trajectories of development. Overall, the topic reflects the need to reconsider the conceptual boundaries between employment and entrepreneurship in the context of the digital economy and to better understand how platform-based work contributes to the formation of new small business models, entrepreneurial trajectories, and sustainable forms of economic activity.