Effect of Technology Competence on Competitive Advantage With Mediating Effect of Human Capital

This study explores the effect of technological competence on competitive advantage, the mediating role of human capital, (SMEs) in Ethiopia. Being technologically competent is becoming more and more acknowledged as a critical factor in determining an organization's success in the quickly changing business environment of today. According to this study, technology proficiency improves human capital, which in turn leads to better competitive results, in addition to having a direct impact on competitive advantage. Structural equation modeling (SEM) was used to analyze the data and assess the connections between the constructs. The results show a strong positive correlation between competitive advantage and technological competence, underscoring the role that technology capabilities play in helping SMEs stand out in a crowded market. The study also finds that human capital plays a crucial mediating role, implying that the effect of technical proficiency on competitive advantage is achieved through its influence on employees' abilities and expertise.