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Adoption of e‐commerce applications in SMEs

Morteza Ghobakhloo (Departamento de Organización de Empresas, Facultad de Ciencias Económicas y Empresariales, Universidad de Granada, Granada, Spain)
Daniel Arias‐Aranda (Departamento de Organización de Empresas, Facultad de Ciencias Económicas y Empresariales, Universidad de Granada, Granada, Spain)
Jose Benitez‐Amado (Departamento de Organización de Empresas, Facultad de Ciencias Económicas y Empresariales, Universidad de Granada, Granada, Spain)

Industrial Management & Data Systems

ISSN: 0263-5577

Article publication date: 30 August 2011

Abstract

Purpose

The purpose of this paper is to examine the factors within the technology‐organization‐environment (TOE) framework that affect the decision to adopt electronic commerce (EC) and extent of EC adoption, as well as adoption and non‐adoption of different EC applications within small‐ and medium‐sized enterprises (SMEs).

Design/methodology/approach

A questionnaire‐based survey was conducted to collect data from 235 managers or owners of manufacturing SMEs in Iran. The data were analyzed by employing factorial analysis and relevant hypotheses were derived and tested by multiple and logistic regression analysis.

Findings

EC adoption within SMEs is affected by perceived relative advantage, perceived compatibility, CEO's innovativeness, information intensity, buyer/supplier pressure, support from technology vendors, and competition. Similarly, description on determinants of adoption and non‐adoption of different EC applications has been provided.

Research limitations/implications

Cross‐sectional data of this research tend to have certain limitations when it comes to explaining the direction of causality of the relationships among the variables, which will change overtime.

Practical implications

The findings offer valuable insights to managers, IS experts, and policy makers responsible for assisting SMEs with entering into the e‐marketplace. Vendors should collaborate with SMEs to enhance the compatibility of EC applications with these businesses. To enhance the receptiveness of EC applications, CEOs, innovativeness and perception toward EC advantages should also be aggrandized.

Originality/value

This study is perhaps one of the first to use a wide range of variables in the light of TOE framework to comprehensively assess EC adoption behavior, both in terms of initial and post‐adoption within SMEs in developing countries, as well adoption and non‐adoption of simple and advanced EC applications such as electronic supply chain management systems.

Keywords

Citation

Ghobakhloo, M., Arias‐Aranda, D. and Benitez‐Amado, J. (2011), "Adoption of e‐commerce applications in SMEs", Industrial Management & Data Systems, Vol. 111 No. 8, pp. 1238-1269. https://doi.org/10.1108/02635571111170785

Publisher

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Emerald Group Publishing Limited

Copyright © 2011, Emerald Group Publishing Limited