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Unraveling Managerial Resistance: An Analysis of the Reasons of Non-investment in Cutting-Edge Digital Technologies

In: Business Sustainability: Innovation in Entrepreneurship & Internationalisation

Author

Listed:
  • Joaquim Pratas

    (CEOS.PP, ISCAP, Polytechnic of Porto
    University of Porto, Porto Business School
    Universidade de Aveiro, Research Unit GOVCOPP)

  • Maria Antónia Rodrigues

    (CEOS.PP, ISCAP, Polytechnic of Porto)

  • Maria Amélia Carvalho

    (CEOS.PP, ISCAP, Polytechnic of Porto)

Abstract

The aim of this paper is to investigate the managers’ reluctance to invest in cutting-edge technologies, such as Artificial Intelligence (AI), Internet of Things (IoT), Augmented and Virtual Reality (AR/VR), Blockchain, 5G, and Cloud Computing. After conducting a literature review on the characteristics and benefits of these technologies for organizations, we analyzed secondary data related to managers’ perception. This data is based on the Voice of the Industry survey conducted by Passport, a syndicated market research database from Euromonitor International, which included 1752 questionnaires completed by managers. The data analysis employed descriptive measures, index numbers, Chi-square tests, factorial analysis, and cluster analysis. The results highlight three major factors influencing non-investment decisions: costs and resources associated with internal knowledge and organizational factors; lack of a clear business use case and perceived value of technologies for consumers; and regulatory considerations and the quality of user experience with these technologies. When compared to other technologies, 5G and Cloud Computing had fewer reasons for non-investment and appeared easier to implement. IoT, Blockchain, and AR/VR -faced similar challenges due to the absence of a clear business use case and limited perceived value for consumers. AI, on the other hand, presented unique challenges related to substantial costs and resources requirements, as well as organizational obstacles. Finally, valuable insights for academia and organizations are referred, along with limitations and implications for further research.

Suggested Citation

  • Joaquim Pratas & Maria Antónia Rodrigues & Maria Amélia Carvalho, 2026. "Unraveling Managerial Resistance: An Analysis of the Reasons of Non-investment in Cutting-Edge Digital Technologies," Springer Books, in: Fernando Luís Almeida & José Carlos Morais & José Duarte Santos (ed.), Business Sustainability: Innovation in Entrepreneurship & Internationalisation, pages 199-216, Springer.
    • Handle: RePEc:spr:sprchp:978-3-031-99151-6_14
    DOI: 10.1007/978-3-031-99151-6_14
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