Hi anthony6964,
The reason why you are unable to activate Windows 11 Business on a machine with an OEM license is that the OEM license is tied to the specific edition of Windows that was pre-installed on the device. In this case, the OEM license is for Windows 11 Home, and it cannot be used to activate Windows 11 Business.
When you upgrade from Windows 11 Home to Windows 11 Pro using a generic key, you are essentially purchasing a new license for Windows 11 Pro, which is required to activate Windows 11 Business with your M365 Business Premium account.
I hope this clarifies the issue for you. Please let me know if you have any further questions or concerns.