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Paper Type
Complete
Abstract
SMEs face a significant 'intention-action' paradox in digital transformation (DT). Grounded in Dynamic Capabilities Theory, this study investigates the mediating role of technological reserves between innovation activities and digital adoption. Using data from 220 SMEs in China, we find that innovation activities significantly drive DT both directly and indirectly through the accumulation of technological resources (e.g., AI, cloud computing). This resource accumulation pathway accounts for 32.3% of the total effect, acting as a critical 'converter' that materializes abstract innovative intent into tangible digital infrastructure. Our findings unpack the 'black box' of SME transformation and provide practical insights for managers to prioritize hard technological investments as a fulcrum for systemic change.
Paper Number
1615
Recommended Citation
He, Yutian and LEE, OOK, "Bridging the Gap: The Mediating Role of Technological Reserves between Innovation and Digital Transformation in SMEs" (2026). AMCIS 2026 Proceedings. 9.
https://aisel.aisnet.org/amcis2026/sig_osra/sig_osra/9
Bridging the Gap: The Mediating Role of Technological Reserves between Innovation and Digital Transformation in SMEs
SMEs face a significant 'intention-action' paradox in digital transformation (DT). Grounded in Dynamic Capabilities Theory, this study investigates the mediating role of technological reserves between innovation activities and digital adoption. Using data from 220 SMEs in China, we find that innovation activities significantly drive DT both directly and indirectly through the accumulation of technological resources (e.g., AI, cloud computing). This resource accumulation pathway accounts for 32.3% of the total effect, acting as a critical 'converter' that materializes abstract innovative intent into tangible digital infrastructure. Our findings unpack the 'black box' of SME transformation and provide practical insights for managers to prioritize hard technological investments as a fulcrum for systemic change.
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