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By leveraging advanced information and communication technologies to provide innovative services through Internet, manufacturing service companies successfully integrate and coordinate the value chain activities to cost-effectively produce quality products for global customers. However, those complex electronic service (e-service) innovations usually are not necessarily adopted soon by customers as expected, which leads to slower investment returns and lower online service level. This study tried to understand the relationship between industry institutional factors and adoption intention of e-service innovation, and consider the moderating effect of e-service complexity. A survey included 263 respondent companies was conducted to collect empirical data from semiconductor industry. Research results shown that three institutional factors (technology standardization, propagating institution and institutional pressure) all have positive influence on the e-service innovation adoption intention. The e-service complexity has negative influence on the adoption intention and negatively moderates the effect of institutional pressure and propagating institution, while positively moderates technology standardization effect. Institutional factors can be useful strategic tools for promoting e-service innovation diffusion but need to consider innovation complexity. With the findings, this study contributes to academic understandings and provides several managerial implications for practitioners.

How to Promote Adoption of Complex E-Services Innovation? An Institutional Factor Perspective