Industry Internet of Things (IIoT) Adoption Pressures in SME OEMs

Small and Medium Original Equipment Manufacturers (SME OEMs) face challenges in IIoT adoption due to a lack of technical expertise, additional costs, and preferences of the end-users and significant institutional pressures. This research investigates the influence of Environmental Attitude on the Adoption Intention of Industry Internet of Things (IIoT) technologies among Small and Medium Enterprises and Original Equipment Manufacturers (SME-OEMs). This research analyses the effects of End-user Pull and Institutional Pressure in this relationship. A survey of 263 SME OEMs from 11 industrial sectors across 67 cities was conducted using purposive sampling. Structural Equation Modeling (SEM) was used to analyze data, assessing direct and indirect effects. Results show a significant positive relationship between Environmental Attitude and IIoT Adoption Intention. Mediation analysis reveals significant indirect effects through End-user Pull and Institutional Pressure, with complete mediation as the direct effect becomes insignificant. Findings highlight the crucial role of environmental attitude in shaping IIoT adoption intentions among SMEs. A positive environmental attitude drives SMEs to explore IIoT benefits. End-user Pull and Institutional Pressure are key mediators in this process. These insights are valuable for industry stakeholders, policymakers, and SMEs aiming to promote IIoT adoption. Fostering a positive environmental attitude and leveraging End-user Pull and Institutional Pressure can facilitate IIoT adoption. Policymakers can create initiatives to raise environmental awareness and encourage sustainable practices through IIoT. Industry players can form strategic partnerships to support SME OEMs in IIoT adoption.