ABSTRACT
This research effort focuses on the Malaysian small and medium-sized enterprises (SME) sector to meet the agenda of sustainable development through the adoption and implementation of the latest technological development, entrepreneurial activities, sustainability, and innovative capabilities. The prime purpose of the current research is to assess the role of technological influences on innovative capabilities through promoting entrepreneurial practices. The study was conducted on the Malaysian 120 SMEs by applying structural equation modeling (SEM), and the results revealed that a strong association was reported between the adoption of emerging technologies and innovativeness capacity for sustaining entrepreneurial performance. Technological adoption has the tendency to increase the innovative capabilities that significantly influence sustainable entrepreneurial activities. The study also focuses on the complex dynamics of innovation capabilities and sustainable entrepreneurship by assessing the moderating effect of technological adoption for operations. This research is novel because it examines the Malaysian SME sector in-depth and applies a particular conceptual model that combines the ability to innovate with technology adoption to promote sustainable entrepreneurship. By offering factual proof of the crucial role technology plays in fostering innovation and sustainability in emerging economies, the findings add to the conversation on sustainable development. This study enriches the theoretical framework around sustainable entrepreneurship and offers practical insights for policymakers and business leaders aiming to leverage technology for sustainable growth.
