Nostalgia Economy as a Driver of Small Business Development

The aim of the study is a comprehensive analysis of the phenomenon of the nostalgia economy as a strategic driver for the development of small business competitiveness. It is noted that in the context of globalization and digitalization of markets, the potential of nostalgic trends as a significant factor in competitiveness for small and medium-sized businesses is actively discussed. Two fundamental types of nostalgia are analyzed, which are essential for understanding the mechanisms of retro trends in marketing. It is emphasized that choosing between the two types of nostalgia is critically important for determining the target audience when developing marketing strategies based on retro appeals. The tools for influencing nostalgia on consumer behavior are identified. The mechanisms for introducing nostalgia into the business models of small and medium businesses are revealed. In identifying the mechanisms of commercialization of nostalgia, the authors analyzed the key contradictions between the need to preserve authenticity and the demands of the mass market, expressed in the risks of “Disneylandization” (simplification of historical narratives), semantic exhaustion, and ethical dilemmas of appropriation of cultural heritage. The suggested strategies for overcoming these problems are aimed at their solution, i.e., implementation of limited capsule collections with historical verification of technologies and materials; organization of participatory production with strict preservation of the cultural code; and introduction of authenticity verification technologies. It is concluded that the implementation of these approaches will ensure a balance between the commercial efficiency of small businesses, preservation of the ontological value of cultural heritage, and ethical responsibility in the process of nostalgia transformation from a personal experience into a sustainable economic resource. It is suggested that the introduction of cultural memory into business models will allow small businesses to compete not on the basis of the scale of production but through the depth of emotional involvement and the creation of unique consumer practices, which, in the context of digitalization, will lead to the emergence of high-margin niche markets for retro goods, vintage services, and the recreation of historical practices. Authors’ contribution. E.M. Kobozeva – formation of methodology and development of research concept, writing the text of the article, general scientific editing of the text of the article; A.A. Eremeeva – formation of the methodology, determination of logical sequence of stages of the study, generalization of its results, and formulation of conclusions.