Innovation Hubs as Catalysts for Industry 4.0 Adoption to Enhance Business Growth

The objective of this paper is to analyse the ways that innovation hubs support the implementation of Industry 4.0 in the textile industry of Latvia and establish a relationship between digitalisation, business model innovation and sustainability for the growth of the sector. Thus, it is possible to state that further research allows us to determine that industry capability in Latvia’s textile sector and readiness for Industry 4.0 can be improved by the integrated approach based on technologies’ integration and development and economic and sustainable strategies application. The authors used an online questionnaire survey to gather responses from different experts and analysed the data using Spearman correlation analysis. The findings thus re-emphasise the need for a range of support from hubs, bearing in mind that the support that is required ranges from physical structures, access to strategic information, advisory services, and other essential services for firms to be able to effectively transform digitally and adapt their business models. Recommendations, which are focused on the improvement of the Latvian innovation environment, are the increase of support for innovation hubs, the development of business model innovations, the better tackling of sustainability issues and the provision of further tailored high-quality innovation support services for the textile sector.