Technology adoption has emerged as an important determinant of competitiveness inrnrecent global trade. Gaining competitiveness in the quota free trade became a drivingrnforce for the manufacturing firms to adopt technologies. However, there has not beenrnmuch research focused on technology adoption of manufacturing industries in Ethiopia.rnThe purpose of this study is to investigate the status and the effects of organizational andrnenvironmental factors on the level of technology adoption.rnA survey methodology was employed to collect data from 115 firms. A purposivernsampling technique was used to select firms those engaged in the manufacturing leatherrnand textile products. A combined quantitative and qualitative data analysis approach wasrnused as an analytical lens to interpret responses gathered from manufacturing enterprises.rnThe data was analyzed by both descriptive and inferential statistics.rnThe reasons, product and process quality improvement and productivity enhancementrnare firmâ€™s primary reason to adopt new manufacturing technology. Comparatively softrntechnologies are better adopted by the firms than hard technologies. The results revealedrnthat the entire variable, except firm age, positively influences the technology adoptionrnlevel of a firm. The effect of firm size, certification, competition, employee technical skill,rnfinancial resource and government support was significant. On the other hand, the resultsrnindicated that the top management commitment and firm age did not have significantrneffects on the technology adoption level. Recommendations are made for future research onrntechnology adoption within the broader spectrum of manufacturing enterprises Keywords: Technology adoption, organizational and environmental factors, manufacturingrnenterprises