The predictive robustness of organizational and technological enablers towards blockchain technology adoption and financial performance

Abstract

PurposeBlockchain technology has brought about significant transformation among organizations worldwide. This study aimed to explore the effects of organizational and technological factors on blockchain technology adoption (BTA) and financial performance (FP) in Pakistan.Design/methodology/approachThis is a co-relational study which used the cross-sectional data. We gathered the data from the managers of Pakistan’s small and medium-sized enterprises (SMEs), which functioned their industries with blockchain technology. We applied convenience sampling to identify the respondents. Finally, we based this study’s findings on 274 valid cases.FindingsWe used structural equation modeling (SEM) in this study, to exert a positive and significant impact on organizational factors such as organizational innovativeness (OI), organizational learning capability (OLC), top management support (TMS) and organizational work climate (OWC) on BTA. In addition, the technological factors, such as complexity (CTY), technology readiness (TR), compatibility (CBTY) and technology capability (TC), have a positive and significant effect on BTA. Finally, this study’s findings show that BTA positively and significantly impacts FP.Practical implicationsThis study’s findings will help policymakers and planners to design policies to adopt other blockchain technologies to improve SMEs’ operations. Moreover, this study’s findings will inspire policymakers and planners to actively seek new ideas, knowledge and skills through acquiring new knowledge to assist with their IT-related decisions.Originality/valueThis study empirically confirms the role of organizational and technology factors toward BTA and FP among Pakistan's SME managers.