The Impact of Institutional Pressure on Supply Chain Open Innovation in SMEs: The Mediating Role of Absorptive Capacity

Cong Gao, Siti Fatimah Hashim, Hwee Ling Siek, Yongsheng Luo, CuiHua Xie, Guoqing Yan and Zhaoxia Zhang
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Cong Gao: Center for Central and Eastern European Studies, Zhejiang Wanli University, Ningbo, P. R. China†UCSI Graduate Business School, UCSI University, Kuala Lumpur, Malaysia
Siti Fatimah Hashim: ��UCSI Graduate Business School, UCSI University, Kuala Lumpur, Malaysia¶De Institute of Creative Arts and Design, UCSI University, Kuala Lumpur, Malaysia
Hwee Ling Siek: ��UCSI Graduate Business School, UCSI University, Kuala Lumpur, Malaysia¶De Institute of Creative Arts and Design, UCSI University, Kuala Lumpur, Malaysia
Yongsheng Luo: ��Taizhou Vocational and Technical College, Taizhou, P. R. China
CuiHua Xie: �Overseas Warehouse and Digital Governance, International Science and Technology Cooperation Base, Wenzhou University of Technology, Wenzhou, P. R. China
Guoqing Yan: �Overseas Warehouse and Digital Governance, International Science and Technology Cooperation Base, Wenzhou University of Technology, Wenzhou, P. R. China
Zhaoxia Zhang: �Overseas Warehouse and Digital Governance, International Science and Technology Cooperation Base, Wenzhou University of Technology, Wenzhou, P. R. China

Journal of Information & Knowledge Management (JIKM), 2025, vol. 24, issue 04, 1-29

Abstract: This study analyses the mediating role of absorptive capacity and explores in depth the impact of institutional pressure on open innovation in small and medium-sized enterprises (SMEs). Using structural equation modelling (SEM), based on 306 valid questionnaires, this study reveals that SMEs optimise knowledge acquisition, transformation and application through absorptive capacity. Research has shown that coercive and mimetic pressures can stimulate the knowledge management potential of SMEs and promote their open innovation activities, while normative pressures drive enterprises to focus more on compliance, limiting the possibility of knowledge being transformed into innovative results. This study expands the research on absorptive capacity and open innovation within the framework of knowledge management, providing a new perspective for enterprises to enhance their innovation capabilities through optimising knowledge management strategies in complex institutional environments. It also provides guidance for SMEs to design knowledge management practices based on absorptive capacity, helping them efficiently acquire, integrate and utilise knowledge resources in the face of external pressures to promote innovation and enhance competitiveness. This study will contribute in promoting industrial innovation and the integration and application of knowledge resources, thereby achieving SDG 9: industry, innovation and infrastructure, and SDG 17: partnerships for the goals.

Keywords: Institutional pressure; SMEs; absorptive capability; open innovation; SDG 9: industry; innovation and infrastructure; SDG 17: partnerships for the goals (search for similar items in EconPapers)
Date: 2025
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DOI: 10.1142/S0219649225500315

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