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Investigating the adoption of E-Business Technology by Small and Medium Enterprises

Author

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  • Mohamed Saleh Abd AL Khuja

    (University Sains Islam Malaysia, Nilai, Malaysia)

  • ZainalAbidin Bin Mohamed

    (University Sains Islam Malaysia, Nilai, Malaysia)

Abstract

The main purpose of this study is to identify factors affecting E-business technology adoption and organizational performance. Firms in Libya are facing competitive pressure that creates urgency of working efficiently in the competitive market. This makes an urgent need of e-business adoption strengthening their capacity and capability. Quantitative method was utilized for the data collection and statistical analysis. Data is collected using non-probability random sampling technique and the respondents were the managers having experience of using E-business. Data were analyzed using structural equation modelling technique to confirm the hypothesis developed. The quantitative findings revealed that beta coefficient of trial-ability and observability was having high influence on adoption of E-business technology by 0.466 and 0.371. With the significant standardized regression weights of all the constructs and items, the overall square multiple correlation was found to be 0.55 (55%) which is considered as very strong and significant finding of the study. This paper contributes to the adoptiondebate extending the Diffusion Innovation Theory framework by the inclusion of trial-ability and observability towards E-business and organizational performance as an antecedent factor. E-business has potential to increase revenues, operational efficiency and relationship development. The present study adds to the limited empirical work performed in this area investigating the antecedents and outcomes of e-business adoption, within the context of a highly competitive and rapidly evolving industry.

Suggested Citation

  • Mohamed Saleh Abd AL Khuja & ZainalAbidin Bin Mohamed, 2016. "Investigating the adoption of E-Business Technology by Small and Medium Enterprises," Journal of Administrative and Business Studies, Professor Dr. Usman Raja, vol. 2(2), pages 71-84.
    • Handle: RePEc:apb:jabsss:2016:p:71-84
    DOI: 10.20474/jabs-2.2.3
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    References listed on IDEAS

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    Cited by:

    1. Siti Aishah Mohd Selamat & Simant Prakoonwit & Reza Sahandi & Wajid Khan, 2018. "Enhanced CRISP-DM model for SME coach operator," Journal of Advances in Technology and Engineering Research, A/Professor Akbar A. Khatibi, vol. 4(6), pages 241-253.
    2. Rabiu Adamu, 2017. "A Usability Evaluation of Mobile Banking Applications in Nigeria," International Journal of Technology and Engineering Studies, PROF.IR.DR.Mohid Jailani Mohd Nor, vol. 3(1), pages 29-37.
    3. Pharot Intarot & Chutima Beokhaimook, 2018. "Influencing Factor in E-Wallet Acceptant and Use," International Journal of Business and Administrative Studies, Professor Dr. Bahaudin G. Mujtaba, vol. 4(4), pages 167-175.
    4. Saratchanut Boonvut, 2017. "The Quality Financial Statements of Small and Medium EnterprisesBusiness (SME's) in View of the Tax Auditor," International Journal of Business and Economic Affairs (IJBEA), Sana N. Maswadeh, vol. 2(6), pages 335-340.

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