Digital Transformation Capabilities, Industry 4.0 Readiness, and SME Innovation Performance in South Asian Manufacturing Hubs
Small and medium manufacturing enterprises (SMEs) face distinct capital and capability constraints during industrial digital transitions. This study investigates the mediating role of dynamic technological absorptive capacity on the relationship between Industry 4.0 investments and export performance. Drawing on empirical data from 284 export-oriented manufacturing firms, we identify modular IoT telemetry and localized ERP integration as critical inflection points yielding measurable total factor productivity gains.
Structured Abstract
verifiedPeer-ReviewedSmall and medium manufacturing enterprises (SMEs) face distinct capital and capability constraints during industrial digital transitions. This study investigates the mediating role of dynamic technological absorptive capacity on the relationship between Industry 4.0 investments and export performance. Drawing on empirical data from 284 export-oriented manufacturing firms, we identify modular IoT telemetry and localized ERP integration as critical inflection points yielding measurable total factor productivity gains.
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