Despite growing attention to digital innovation, there is a notable gap in research focusing on its antecedents in small and medium-sized enterprises (SMEs), especially given the distinct challenges and opportunities SMEs face compared to large firms. Building on the awareness–motivation–capability framework, this study investigates how professional industry connections influence digital innovation in SMEs, while also examining the moderating roles of industry competition and slack resources. Using data from publicly available sources on Chinese firms, we find that: (1) professional industry connections foster digital innovation by enhancing SMEs' digital attention; (2) industry competition weakens the positive impact of digital attention on innovation; and (3) slack resources strengthen the relationship between digital attention and innovation. This study not only contributes to the understanding of digital innovation in SMEs but also provides actionable insights for managers seeking to leverage external connections and internal resources to drive innovation.
