Research background:E-commerce is a key driver of global economic growth, influenced by technological, economic, and social factors. While prior research has focused on economic andtechnological determinants, the macroeconomic role of social capital—defined by trust, norms, and networks—remains underexplored. Social capital reduces transaction uncertainty, strengthens consumer trust, and facilitates business expansion, yet its cross-national impact on e-commerce adoption requires further investigation. Purpose of the article: This study examines how social capital influences e-commerce development in European countries, exploring whether higher levels of social capital contribute to greater e-commerce adoption and transaction intensity while accounting for economic factors such as GDP per capita and disposable income. Methods: The study analyses panel data from 28 European countries (2015–2023) using the Social Capital Index (SCI) to measure national trust and networks. E-commerce activity is assessed based on online purchase participation and business turnover from digital sales. Panel data models with fixed and random effects are applied to examine the relationship between social capital and e-commerce adoption. Findings & value added: The results confirm that social capital significantly influences e-commerce adoption. Countries with stronger trust networks and social cohesion see higher participation in digital commerce. Economic conditions, including GDP per capita and disposable income, moderate this effect, with wealthier nations benefiting more from trustdriven e-commerce expansion. The study underscores the importance of fostering social capital to enhance consumer confidence, lower transaction costs, and promote sustainable digital market growth, offering policy recommendations to strengthen trust mechanisms and support e-commerce ecosystems.

The e-commerce sector has experienced significant growth in the past two decades, outpacing other economic sectors and contributing to sustainable consumption, increased labour productivity, competitiveness, consumer incomes, and GDP growth. This trend is expected to continue, making e-commerce a key driver of sustainable economic growth in Europe. This study aims to explore the relationship between a nation’s innovation level and its population’s inclination towards online shopping in various EU member states. It hypothesizes that higher innovation levels within a country lead to a greater tendency for online purchases. This study conducts a thorough analysis of the interplay between European economies’ innovation levels and the e-commerce market’s evolution. A composite innovation index was created using the Technique for Order of Preference by Similarity to Ideal Solution (TOPSIS) methodology, and panel data models were utilized to examine the dependencies, with data from Eurostat and the Global Innovation Index. The focus is on the period from 2019 to 2021, which was marked by unique market dynamics and the impact of the COVID-19 pandemic. The findings confirm the significant role of innovation in driving e-commerce expansion within the context of sustainable consumption, supporting the main hypothesis. This research also highlights the pandemic’s positive effect on the e-commerce sector. The pandemic-induced changes in consumer behaviour, particularly due to social isolation and crises in certain economic sectors, have emphasized the importance of online shopping. Notably, the most active online shoppers are identified in the 25 to 54 age group, revealing a key demographic trend.