Enigma of successful new technology utilization by auto parts MSMEs in northern India

Abstract

Purpose The purpose of this study is to discover the elements that affect the new technology utilization by auto parts’ micro-, small- and medium-sized enterprises (MSMEs) in northern India. Design/methodology/approach Based on the literature and professional reviews, 75 critical factors were identified on the basis of that affecting technology utilization in the auto parts-manufacturing MSMEs in Punjab. A survey was conducted in 113 auto parts industries (MSMEs) in Punjab. Descriptive statistics and factors analysis (principle component analysis) in SPSS software was used to examine the data. Findings After the analysis, 56 prominent factors were presented those are affecting the technology utilization in auto parts industry. After the study, 23 factors were identified, which explains the variance of 74.99 per cent of the total data. Most important factors for new technology utilization in MSMEs in Punjab are proper understanding of current operation and availability of professional consultant, problems with the compatibility of equipment and fear of layoffs, and the least important factors are volume flexibility and maintenance expenses. Research limitations/implications These results deliver valuable perceptions into the awareness of by what means technology utilization has taken place in MSMEs. Practical implications The present work delivers beneficial strategies to MSMEs facing ups and downs because of their industry atmosphere. Originality/value This research adds to the literature on technology utilization and aids MSMEs in improving themselves for the excursion ahead.