The Role of Governments in Driving Industry 4.0 Adoption in Emerging Countries


Mohiuddin, Muhammad and Reza, Mohammad Nurul Hassan and Jayashree, Sreenivasan and Al-Azad, Md Samim and Ed-Dafali, Slimane (2023) The Role of Governments in Driving Industry 4.0 Adoption in Emerging Countries. Journal of Global Information Management, 31 (1). pp. 1-31. ISSN 1062-7375

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Industry 4.0 contributes to the virtualization of production system and enhances capabilities. However, the adoption process poses substantial challenges for SMEs in emerging markets due to institutional voids, resources, and public supports. This study explores the role of government in adopting Industry 4.0 by the SMEs and how organizational structure influences the process. It employed a quantitative approach and surveyed 225 managers. Industry 4.0 adoption is significantly influenced by government policy and subsidies. Government policy and subsidy transform organizational structure to be more transparent and flexible, streamlining them in adopting Industry 4.0. The organizational structure substantially mediates the relationships between government policy, subsidy, and Industry 4.0 adoption. This study implies that governments are vital in helping SMEs to adopt Industry 4.0 in emerging markets. Thus, governments should make policies that support technology adoption by offering sufficient funding/subsidies to boost innovation and technological transformation.

Item Type: Article
Uncontrolled Keywords: Adoption, Emerging Market, Government Role, Industry 4.0, Organizational Structure
Subjects: H Social Sciences > HF Commerce > HF5001-6182 Business > HF5410-5417.5 Marketing. Distribution of products
Divisions: Faculty of Management (FOM)
Depositing User: Ms Nurul Iqtiani Ahmad
Date Deposited: 05 Jul 2023 01:07
Last Modified: 05 Jul 2023 01:07


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