Abstract

Industry 4.0 has gained recent attention due to the dynamic nature of businesses. Implementation of technologies of industry 4.0 offers numerous benefits to the business, and the supply chain is no exception to it due to the growing need to adopt new technologies, especially in MSMEs, as they face liquidity issues. This study is conducted to determine the adoption factors for supply chain finance in MSMEs, eventually enhancing supply chain effectiveness. This study has considered negotiation, collaboration, the external environment, digitizing trade, and the role of financial institutions. The study uses PLS Based Structural Equation Modelling to analyze the proposed conceptual model wherein the data was collected from various MSMEs in India. Results indicate that internal factors like negotiation, collaboration, and digitizing trade play an essential role in adopting supply chain effectiveness, and implementing supply chain finance leads to improved supply chain effectiveness.

Full Text
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