A Multi-Level Economic Model for Increasing The Competitiveness of The Services Sector in The Digital Economy

This paper develops a multi-level economic model for boosting service-sector competitiveness in the digital economy. Competitiveness is conceptualized as an outcome of interacting drivers at the micro (firm), meso (industry/region), and macro (national institutions and digital infrastructure) levels. The theoretical foundation integrates competitive strategy and value chain thinking, resource-based theory, service-dominant logic, the service-profit chain, and digital transformation/platform economy perspectives. For empirical assessment, the paper proposes a composite Service Competitiveness Index (SCCI) and an estimation framework based on multilevel regression (HLM/MLM), with an alternative multilevel SEM (MSEM) specification. The "Results" section provides indicator matrices, model equations, an implementation algorithm, and illustrative tables and conceptual figures. The paper concludes with actionable recommendations for macro-policy, meso-ecosystem design, and micro-level firm strategy.