This literature review explores the intersection of digital adoption and family businesses, identifying research gaps through comprehensive searches in Scopus and ProQuest. It adopts several underlying theories, including family business systems (analyzed through the Three-Circle Model), Socioemotional Wealth (SEW), Dynamic Capability, and the Technology-Organization-Environment (TOE) framework, to understand the unique characteristics and decision-making processes of family businesses in the context of digital technology. The review highlights how family businesses, distinguished by their strong ties to SEW, differ from non-family businesses in their approach to digital adoption, influenced by both internal factors like family dynamics and external factors like market conditions and government policies. Furthermore, the review investigates existing literature on digital adoption in Indonesian enterprises, emphasizing the need for empirical studies focusing on family influence, entrepreneurial orientation, and leadership support, and concludes with a review of 53 articles from Scopus, Proquest, and Emerald, identifying key themes and research gaps, including the limited research on digital adoption in Indonesian family businesses, and constructs the state-of-the-art by reviewing the relevant works of literature.